Looking to invest in precious metals, need advice

[WilliamC]

As far as selling it to buy things. I don't think, unless we have a collapse, that I would sell it to buy basic needs (food, water).

I'm thinking long-term like retirement, down payment on a house, or general insurance. Honestly, I have trouble saving and believe the silver not only would be a nice opportunity to hopefully see growth over the years, but give me the insurance of having a hard asset.

The only real asset, I own is my car.

I rent an apartment and all my bill consist of general monthly expenses (water, electric, food, etc...)

Your car isn't really an asset unless you are making more money with it than it costs you to operate it.

Your small business is your best bet at getting wealthy, so long as it is turning a profit. If you can start, grow and sell businesses you can become wealthy.

Another way is to buy houses in need of some repair below cost, living in them while fixing them, then selling them at a profit. Since you are young and single this is more feasible than if you had a family. Do this three-four times successfully over a few years and you can buy your own house for cash. Then buy and manage rental properties, if you have the skills to do so.

Supposedly the above two ways are the most certain to get you rich should that be your goal. Even if you fail a few times so long as doing so doesn't leave you in debt it only takes once to win.

[zHorns]

I'd go half junk silver and half silver ounces.

A couple questions about junk silver.

The way I understand it is that pre-1965 you can get nickles, dimes and quarters that have 90%+ silver in them. So, instead of selling for face value, they're selling for the value of the silver contents. But, it remains illegal to melt them for metal, correct?

Now, how would junk silver favor during hyper inflation, would folks want to trade goods/services for nickles, dimes and quarters for more than face value when it's illegal to melt and people are focused more on basic essentials?

[WilliamC]

A couple questions about junk silver.

The way I understand it is that pre-1965 you can get nickles, dimes and quarters that have 90%+ silver in them. So, instead of selling for face value, they're selling for the value of the silver contents. But, it remains illegal to melt them for metal, correct?

Now, how would junk silver favor during hyper inflation, would folks want to trade goods/services for nickles, dimes and quarters for more than face value when it's illegal to melt and people are focused more on basic essentials?

Dimes, quarters, half-dollars and dollars were 90% silver prior to 1965, and half-dollars 40% silver to 1969, but not nickles unless you count the 1944 year when they were (I think) 35% silver due to nickle shortage of WWII.

Of those only the 90% coins are worthwhile to hold, and only because they are so well recognized and are typically the 'cheapest' silver you can buy with regards to paying a premium above spot price.

Also it's at least as easy to sell junk silver as it is American Eagles, and possibly easier than other forms of silver bullion, so there is that going for it too.

But once you get a bit of it it is bulky, so there is some merit to saving up for the occasional gold ounce as well.

[eduardo89]

A couple questions about junk silver.

The way I understand it is that pre-1965 you can get nickles, dimes and quarters that have 90%+ silver in them. So, instead of selling for face value, they're selling for the value of the silver contents. But, it remains illegal to melt them for metal, correct?

Now, how would junk silver favor during hyper inflation, would folks want to trade goods/services for nickles, dimes and quarters for more than face value when it's illegal to melt and people are focused more on basic essentials?

The reason I say to get some junk silver is that in case of hyperinflation or SHTF scenario, you can use them in every day payments. You're not going to use an ounce of silver to buy bread, but a dime will work fine. They hold their value and are easily recognizable.

[zHorns]

The reason I say to get some junk silver is that in case of hyperinflation or SHTF scenario, you can use them in every day payments. You're not going to use an ounce of silver to buy bread, but a dime will work fine. They hold their value and are easily recognizable.

Good point.

It's smart to thing about minor/micro transactions.

1/2 ounce of silver is selling on APMEX for $18 a piece.

What about grams of silver, if were talking about small exchanges, would that be better or worse than junk silver?

[WilliamC]

I'd go junk over fractional silver every time, too much markup on the latter.

[eduardo89]

Good point.

It's smart to thing about minor/micro transactions.

1/2 ounce of silver is selling on APMEX for $18 a piece.

What a grams of silver, if were talking about small exchanges, would that be better or worse than junk silver?

Thing is, no one knows what a gram of silver is. Everyone knows what a dime, quarter and half dollar are.

[Black Flag]

As far as selling it to buy things. I don't think, unless we have a collapse, that I would sell it to buy basic needs (food, water).

Then do those things right now, with the money you would buy gold.

There are ample resources to help with food/water storage etc.

If you wait until a collapse, well, you will be a day late and a gold coin short, trust me.

I'm thinking long-term like retirement

Look up:
John Schaub - "Building wealth one house at a time."

Use this money to invest in rental property - knowing that people need a place to live, but will no longer be able to afford to buy a house.


If you have a good credit rating this is possible - and if you have a poor credit rating but cash, you can partner with someone who has a great credit rating and little cash.

Or, if you have little cash but a great credit rating, you can partner with someone who has cash.... you get the idea.

The major purpose of metal (I will discuss silver vs gold in a bit) is to provide inter-generational wealth - that is, give your grandkids a big head start.

I would suggest gold over silver.

Rich buy gold, not silver.
Central banks buy gold, not silver.

Buy what the banks and the rich buy.

[zHorns]

Thanks for the advice so far.

Interesting bit about investing in rental properties.

The only problem I have with gold is that I don't really have the funds to start buying it. Of course, the thought of getting 1/10 or 1/20 ounce coins could be the best strategy for now, along with buying 1/2 or 1 ounce silver coins, then some junk silver here and there.

A few folks made a good point, that if hyper inflation happens that I won't be able to make micro transactions with 1 ounce silver coins or gold coins, so they suggest junk silver. The only problem is I worry a bit about the idea of exchanging money for lower valued money (face value).

That something I'll have to overcome in my head.

Also, I do worry about the prospects of folks still exchanging junk silver post-collapse or hyper inflation. I think the idea of exchanging any US based currency after the paper and current coins are basically worthless could worry folks (or at least me) when they go to exchange tangible goods for it. But, I guess the fact that it's silver contents are still valued at something will make it worth trading in the event an economic downturn, because I believe we would need some kind of post-currency to make facilitating trade easier.

[smh317]

I have a question? I was looking around at buying silver myself, but was wondering how easy it is to verify that what you have bought is legit. Would one need to purchase a set of scales in order to verify the weight of silver or gold in home, or are there certain sellers of bullion out there that are highly respected and to be trusted