School Me On Physical Fractional Silver / Gold

[worddoer]

Yes, I tried to use the search function, but was bombarded with posts and threads about the colors of things, not the precious metals.

From what I am seeing, it seems to me that the US dollar is becoming increasingly unstable. I have often heard and seen that having some Gold / Silver physically on hand is a wise move.

My family is finally in a place where we can start looking into doing some of this. Honestly, with the price of Gold right now, I am thinking that Silver would be an easier option for us to start. I am not looking to buy a pile as large as my house. Just a bit to keep around for a short term SHTF situation.

However, I really like the idea of "Fractional" Silver like the Goldline MapleFlex for bartering purposes. https://www.goldline.com/product-catalog/2-oz-rcm-silver-mapleflex/

Is this the best option out there?

What other sellers should I consider?

Are there any other options I am not aware of?

 

[Hoosierdood]

Just buy rolls of old silver quarters, or silver dollars. I don't see the point of breaking apart a 2 oz. bar into smaller pieces. Gather multiple sizes and quantities and use them as necessary.

 

[snorko]

Questions asking for "the best" rarely have cut and dried answers. But for fractional silver I think one can say pre-65 (1964 or earlier) U.S. coins are the best option for fractional silver. $1.00 face value of these coins contains 0.715 troy ounces. At the current spot per Monument metals of $23.07 that equals $16.50 of silver per $1.00 face melt value. Monument is currently selling $10.00 face for $187.76 or $26.26/troy ounce.

Their cheapest 1/10 tr oz round is $55/tr oz, their cheapest 1/4 tr oz round is $37.44/tr oz.

Pre-65 U.S. coins, also known as "junk silver" or "Constitutional silver", are the best option for fractional silver. Not only do they have the lowest premium but they are widely recognized with known content. And they are easy to calculate value as 2 Halves equal 4 Quarters equal 10 dimes.

Link to Monument: https://monumentmetals.com/silver/90-40-silver-coinage/90-silver-rolls.html?page=1

 

[55fairlane]

Bullion (.999 pure) gold or silver has no sales tax on it , in the state of Indiana.
If your buying gold the smaller the faction the larger the premium on it. 1/10 oz is like 10% vs 1 oz at 4%....you will have to pay a premium.
I like the 1 oz gold "flats" that have perforated lines , so the can be broke into 1/10 oz squares, best of both worlds, smaller trade denomination & smaller premium.

Here is a resource https://findbullionprices.com/

coins (not "rounds") have both gold (or silver value) but are the most expensive , foreign coins are the cheaper way to go.

Start by going to all your local coin shops and get to know them, better deals can be had locally if you shop around and are know. Silver Towne in winchester is a neat shop. Fairfields in Ft Wayne has an amazing amount of gold & silver. Bullion & coin.(one of the best selection/ amount in a 200 mile radius)

Sometimes goldline or PM , runs a once year buy up to 3 oz at spot, no premium, no shipping cost.

Reddit has some good coin, gold, silverstacker forums ..... good luck.

 

[worddoer]

So it sounds like Junk Silver may be the most practical option.

Other than Snorko's link, are there any other good places to buy Junk Silver?

 

[rosejm]

Come and join us in this thread as well. Lots of discussion and various links to online dealers.

Is Silver next?

Not sure what forum to put this in....mods, please move if necessary. The Plebes have started a firestorm.. first it was Gamestop, then Nokia... Now Silver? https://www.zerohedge.com/markets/reddit-preparing-unleash-worlds-biggest-short-squeeze-silver The laws of unintended consequences is in...

www.indianagunowners.com

 

[55fairlane]

Coin shop & pawn shops. You will pay tax on junk silver, where you will not on bullion.

 

[Magyars]

Occasionally, in the classified section, someone has some for sale.

 

[Bugzilla]

Start by going to all your local coin shops and get to know them, better deals can be had locally if you shop around and are known.

Agree.

 

[Leo]

Coin shop & pawn shops. You will pay tax on junk silver, where you will not on bullion.

I buy a roll of 90% on a fairly regular basis, and I have never paid sales tax at the local coin collector shop.

 

[spencer rifle]

You will not usually pay tax on junk silver since it’s US currency. Bullion less than .999 is taxed ,as are foreign billion coins of less than .999. Austrian 20 Coronas used to be a good deal (1/5 ounce gold) until they started being taxed.

 

[Leo]

Agree.

One thing to be aware of, is that there is such a thing as fake silver, and it is very good looking and even shows good on a scale, and sounds about right when you ring check it. Coin dealers have a Metalytics tester that can tell fake silver from good. The most basic tester is $1000. I just watch who I buy from and hope for the best. An established shop will check everything they take in to protect their reputation.

 

[MCgrease08]

What's your reason behind wanting to buy it?

Do you want something shiny to look at that you can put your hands on every once in a while?

Or are you looking at it as a wealth building tool?

Because frankly, gold and silver are horrible wealth building tools. Gold, like other commodities doesn't generate any dividends or income. It just sits there. It's also impossible to predict when the value might go up and down. The price is essentially set by fear (more people buying means more demand and price goes up) or greed (value is up, people sell, driving down demand and prices.)

From January 1980 through January 2023, the S&P 500, with dividends reinvested, returned an annualized 11.4% before inflation. Adjusted for inflation, the market's annualized total return came to 8.0%.

As for bonds, the benchmark 10-year Treasury note delivered an annualized total return of 5.6% over the same period. Adjusted for inflation, the 10-year note delivered an annualized total return of 2.4%.

Gold's returns over the same span haven't been quite so lustrous. From January 1980 through January 2023, the yellow metal generated an annualized return of 3.1% before inflation. After adjusting for inflation, gold produced an annualized return of -0.01%.

Source: https://www.kiplinger.com/slideshow...-in-gold-10-facts-you-need-to-know/index.html

So realistically, the way to make money with gold would be to buy it when the economy is strong and inflation is low and to sell it when the economy is weak and inflation is high (like right now). Now seems to be a terrible time to get into it.

I also seriously question the value of any precious metal other than bullets being used as a bartering tool. If the economy collapses, water, cigarettes, booze and bullets are going to be much more useful.

 

[Bugzilla]

I also seriously question the value of any precious metal other than bullets being used as a bartering tool. If the economy collapses, water, cigarettes, booze and bullets are going to be much more useful.

Agree but you will still need some form of currency. I feel silver fits this need better than gold.
And you should always keep a few silver bullets on hand just in case!

 

[spencer rifle]

I also seriously question the value of any precious metal other than bullets being used as a bartering tool. If the economy collapses, water, cigarettes, booze and bullets are going to be much more useful.

All true, along with PMs being an unreliable tool for wealth building. But in certain situations - after the initial shocks have worn off - the reasons to use PMs as currency re-emerge.

PMs were used as a medium of exchange because of convenience, compactness, difficulty in faking, and sometimes use in other endeavors. People in other parts of the world wear their currency as jewelry that can be separated/divided for a reason. Sometimes those reasons were superstition, and sometimes economic.


Here's a more modern take:
https://www.aier.org/article/why-drug-dealers-rappers-and-pimps-wear-their-wealth/

 

[MCgrease08]

Here's a more modern take:
https://www.aier.org/article/why-drug-dealers-rappers-and-pimps-wear-their-wealth/

That's really interesting. I hadn't ever thought about that.

 

[blain]

That's really interesting. I hadn't ever thought about that.

The problem with wearing your wealth is that it's much easier stolen vs having it stored in your prison wallet.

 

[ZurokSlayer7X9]

I'm not an expert on this, I just pretend to be. Ill give you the same advice some I gave my friends and family that asked similar questions. This is more philosophy rather than the technical in's and out's of the precious metals market.

1. Precious metals are not to generate wealth, they are for wealth preservation (unless those theories about metals being artificially suppressed are true, like silver really being worth $400 an ounce). As some have mentioned above, metals likely will not increase your purchasing power, but will much better at resisting inflation and the other pitfalls of fiat currencies. All they way from Mad Max World to just a mild economic crash, you'll not lose all of your wealth.

2. Do not put all your eggs in one basket. Diversify your "portfolio". Sleeping in a house full of gold like Smaug will not do you any good without food or water, and other commodities may be better in certain situations.

3. Do NOT buy paper metals. I've heard estimates that the paper metals market trade in a seven to one ratio to physical metals, meaning if you have an ounce of silver, that ounce has been traded 7 times already on the paper market. They are trading on matter they don't have. In the words of the wise Steve Quayle, "If you don't hold it, you don't own it."

4. You can't eat gold, but those who have gold never starve. Human civilizations have used precious metals for thousands of years, and this will likely not change. Metals have and intrinsic value that has lasted all this time. Perhaps it's because we are attracted to shiny stuff. There is a reason many countries are hoarding gold right now. Even though metals have a disadvantage to commodities like food and water when it comes to value in a TEOTWAWKI situation, it would have to be very bad for metals to not have any value. Another way of looking at it is this: there are stories of people escaping genocide because they bribe the border guards with gold. Some Jews survived the Holocaust by ripping out their gold fillings to get food or avoid extermination. Someone I used to work with survived a year in Venezuela after the collapse and escape because he had metals.

5. Keep in mind your OPSEC. This is more an allegory. I've heard a few people say instead of getting just minted coins, they also get a bunch of random gold rings from a pawn shop or something. The reasoning is: let's say we're in Bartertown after the nukes filled with super ebola drop. If you take out a stack of maple leaves in a nice plastic tube to pay for bread or an M-60, you'll likely attract a lot of attention. The thought of someone's mind might be "let's follow him, he may have more stashed away." Pulling a "wedding ring" off your finger and using that as payment would make you seem like a desperate family man just trying to get food. Turn around with your cloak and put on another "wedding ring" and continue bartering.

6. Silver is better for bartering than gold, but gold coin is worth 20 silver coins. Silver will be much more appropriate for bartering, as it is more divisible than gold, however gold is much more compact. I can keep a coin or two hidden in the sole of my shoe, but what will have more value if I can only hide 2 coins? Gold is also better for larger purchases and will likely be more desired. There is a saying that is thrown around the survivalist community: "silver is for food, gold is for your life." Point is silver is better for the everyday person, but having a little gold would be advisable. This kind of goes into Diversify your Investment in No. 2.

7. Trading in metals has been, and likely will be illegal at some point. The government has restricted ownership and trading in gold before. Keep in mind that if or when a currency collapse occurs, the government will likely try to restrict the usage and ownership of metals. They may try to fix the economic issues by seizing the metals of its citizens. Gold would likely be outlawed before silver, which would go back to No. 6.

 

[Nugget]

... vs having it stored in your prison wallet.

You storing tubes of coins/rounds in there, or stacking bars?

 

[blain]

You storing tubes of coins/rounds in there, or stacking bars?

The article linked was about people wearing gold chains.
Limited space rules out any white metals. So silver need not apply.