Have you been reading about all the recommendations that preppers stock up on precious metals? If you want to buy gold or silver or have some you want to know more about before you sell then this article is for you. Many people have gold, silver, or coin and paper money collections they inherited and know next to nothing about the items. You need to educate yourself on what you have before you try to sell them so you can get the best price. And if you are looking to buy, you don't want to pay too much.
Some people accumulate and keep 90% silver U.S. coins, silver bars or gold coins and bars. They keep these coins as a "store of value" for several reasons.
A speculative investment in hope of higher values in the future.
A hedge against inflation. Some say inflation is minimal now, but my grocery bill has more than doubled over the last 7.5 years. Has yours?
A hedge against the collapse of the dollar and other economic disasters (like that narrowly averted event 8 years ago).
For future use in barter situations.
As of right now, the value of silver coins is based on their "Spot Price". Here is a quick and easy list of precious metals spot prices provided by Kitco.com. These prices are updated approximately every 5 minutes.
Before you deal in precious metals you MUST know what you have, exactly! This is true to a lesser extent with other barter items.
For 90% silver dimes, quarters, and half dollars (U. S. coins dated 1964 and earlier) first you must know how much silver your coins contain. This is sometimes called Actual Silver Weight (ASW).
Circulated 90% coins contain about 0.715 troy ounces of silver for each $1 face value.
Un-circulated (BU) 90% coins contain about 0.723 troy ounces of silver for each $1 face value.
Now you must determine how much $1.00 face value is worth.
This is calculated:
Spot Price * 0.715 = "Factor", for example: $15.52 (Spot Price) * 0.715 = 11.09 (Factor)
Count the face value of your coins and get a "total face value".