Everything You Need To Know About Buying Silver Coins| MENAFN.COM

Sunday, 26 June 2022 07:46 GMT

Everything You Need To Know About Buying Silver Coins


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When it comes to buying silver , coins are one of the most popular places to start. A coin collector or investor who is used to buying gold may like the idea of taking that same investment strategy and applying it to silver.

Buying silver coins is one of the oldest methods of investing that has lasted for centuries. It's definitely a good way to start. But as with any decision involving your hard-earned money, it's always a good idea to do your research beforehand.

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While there are many factors to consider when buying silver coins, the process is much simpler than you may think. Once you learn what to look out for, everything seems to fall into place. This guide will teach you how to buy the right type of silver coin.

Table of Contents show
  • 1. What To Buy
    • 1.1. 1 oz Silver American Eagle $1 Coin
    • 1.2. 1 oz Silver Canadian Maple Leaf Coin
    • 1.3. 1 oz Austrian Silver Philharmonic Coin
    • 1.4. 1 oz Silver Britannia Coin
    • 1.5. 1 oz Silver Krugerrands
  • 2. How Much Should You Pay?
  • 3. Understanding Spot Price
  • 4. How To Store Silver
  • 5. Conclusion
What To Buy

Silver coins have been produced for centuries. Since the beginning of the bartering system, people placed tremendous value on metals that are rare in nature (gold, silver, platinum , and palladium ).

To this day, silver coins are viewed as money and a store of wealth. Silver coins are created by national mints and are acknowledged by sovereign governments all over the world.

1 oz Silver American Eagle $1 Coin

First minted in 1986, the 1 oz American Silver Eagle Coin has become one of the most cherished coins in U.S. coinage history. The US Mint's original plan was to release a surplus of silver into coin circulation.

Every year the supply and demand for the American Eagles Coins continue to increase, as the mint currently issues about 40 million one-dollar American Silver Eagle Coins during each year of the series. The Eagle coin is minted with 1 troy ounce of .999 fine silver and carries a $1 USD face value.

1 oz Silver Canadian Maple Leaf Coin

The 1 oz Canadian Silver Maple Leaf Coin is the most notable silver coin produced by the Royal Canadian Mint. The silver maple leaf design was produced in 1988 and is still used to this day.

The Canadian Silver Maple Leaf coin contains the highest purity of silver, .9999, it is the second most sought-after silver coin after the American Silver Eagles.

1 oz Austrian Silver Philharmonic Coin

The Vienna Philharmonic has been displayed on the obverse of the 1 oz Austrian Philharmonic Silver Coin since 1998. This popular silver coin was issued by the Austrian Mint following the massive worldwide success of the Austrian Gold Philharmonics coin .

The Austrian Silver Philharmonic is minted on an annual basis and is a huge hit among collectors and investors around the globe, with over 54 million coins sold.

The Austrian Philharmonic Silver coin is minted with 1 troy ounce of .999 pure silver with a face value of 1.50 euros, backed by the Austrian Government. This coin is available as a Brilliant Uncirculated (BU) piece, which signifies that it has no wear or tear and has conserved most of its original mint luster.

1 oz Silver Britannia Coin

First released in 1987, the Gold Britannia coins achieved great success amongst investors and collectors alike. This inspired the Royal Mint to create the first 1 oz. Silver Britannia coin version in 1997. First, the mint struck over 20,000 1 oz. Proof Silver Britannia coins, each having a face value of £2 (two pounds).

Then, the next editions issued between 1998 and 2012, were minted from .958 fine silver (higher than the standard British sterling, produced from .925 fine silver).

In 2019, the Royal Mint began issuing coins containing .999 pure silver.

The Silver Britannia is an amazing piece of British coinage, symbolizing Britain 's influence and power. The image of Britannia has an important historical purpose, as“Britannia” was the moniker given by the Roman soldiers over 2,000 years ago for the British Isles and its inhabitants.

Throughout centuries, Britannia has acquired goddess-like status, as well as the role of protector of the British Isles.

The Silver Britannia coin is among the most circulated silver coins in the world.

1 oz Silver Krugerrands

Out of all the South African Mint Silver Coins, the Silver Krugerrands is the most favored coin. The Gold South African Krugerrand was first minted in 1967 as the world's first modern coin. Following its great success, the South African Mint created the 1 oz. Silver Krugerrand in 2017.

Krugerrand coins honor South Africa's first president, Paul Kruger. President Kruger was best known for his military acumen and his leading role in developing the South African Republic.

The name of the coin is a combination of Kruger's name and the official currency of South Africa, the Rand. The animal seen on the obverse is the national symbol of South Africa, known as the springbok.

How Much Should You Pay?

The price for silver coins is determined by their weight and the current spot price of silver . The spot price is the cost at which you can buy or sell silver on the open market.

Silver coins are sold in troy ounces, which is slightly heavier than a regular ounce. One troy ounce is equal to 31.1 grams or 0.0675 pounds. The weight of each coin is indicated on its face. All you have to do is multiply the number of troy ounces by the current spot price of gold to determine its value in dollars.

Understanding Spot Price

Please note, that the price of silver per ounce is not the same as the silver bullion price. This is because the spot price of silver does not include distribution, manufacturing, and dealing costs. These minor costs are what eventually make silver bullion more expensive than the spot price.

Premiums may vary depending on the product and manufacturer. In addition to the product's manufacturing and distribution costs, most dealers incorporate a nominal dealer fee. This will be included in the premium.

Sometimes, you will find an additional premium on the price of rare, uncommon, and otherwise valuable items, since their collector appeal is increased. For all these reasons, you usually cannot buy silver at the spot price.

How To Store Silver

Preserving silver coins can be pretty tricky, particularly if you're new to investing in bullion. If you're looking for a safe place to store your silver coin collection, it's important to understand what makes a good storage solution. Here are some tips on how to store silver coins:

  • Choose the right size: Silver coins come in many different sizes, so make sure that your chosen storage box is large enough for all of your coins. If you have a small coin collection, then a small box will do the trick. But if you plan on storing larger collections, then you should consider buying a larger model.
  • Choose a durable material: The best way to protect your collection is by choosing an airtight container made from durable materials such as metal or plastic. This will ensure that moisture doesn't get into the box and cause damage to your precious metals collection.
  • Consider security features: Even if your chosen model has an airtight seal and is made from durable materials, there's still a chance that someone could break into it without permission. A secure safe is a great option for storing your silver bars, coins, and rounds. It will make it difficult for someone to break into the safe and extract all your silver items.
  • Conclusion

    If you're looking for a cost-effective way to accumulate silver then coins will be an excellent way to do so. Don't let the small size fool you—these coins contain pure silver and have been used as currency for centuries.

    If you're new to buying silver coins, follow the steps outlined above, and soon you'll be on your way to building your own collection!

    Updated on May 20, 2022, 3:05 pm

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