So, you’ve decided to buying silver coins, and now it’s time to choose which ones. If you are buying for the first time, congratulations!
You have joined an ever-growing community of people that enjoy the benefits of collecting a large range of silver coins. To ensure your new experience is a pleasurable one, here are the top key points you should consider when buying from online silver sellers.
Customers must decide how many pieces they would like to order and what type. For example, if you buy a silver coin with a low premium, such as the Britannia silver 1 oz coin, your shipping costs will be less than buying individual bars.
So, it is essential to check the shipping costs before you make your purchase.
According to Statista, the mine production of the precious metal silver came to a global total of some 25,000 metric tons in 2020.
In addition to the cost of shipping, there may be extra costs such as customs and excise charges. These charges vary from country to country and do not often apply in Australia.
It’s worth checking how much these additional charges will be before buying because they can take away savings on the amount of silver you buy.
Buying Silver Coins from a Reputable Dealer
When buying silver coins online, choosing a reputable dealer that offers a secure payment system and a firm buyer protection policy is essential. You may wish to read our article about choosing a gold or silver dealer for advice.
Buy from a Dealer that Provides Insured Postage
When you’re looking to buy a large range of silver coins online, it’s vital to ensure the package is insured by the carrier. If anything goes wrong, such as your coins being lost in transit, not arriving, or arriving damaged, then you will need to be able to claim for damages.
Insurance is usually included in the shipping costs, but it’s worth checking before buying to avoid any surprises after checkout. The customer might be asked to sign for the coins when they are received, so it is essential to check if this has been done and whether or not it is possible to sign for the package as ‘unchecked’.
Quality and Authenticity
When deciding which pieces to purchase, set yourself strict parameters to ensure authenticity.
If you buy silver coins at a low premium over spots, such as the Britannia range, or Gold Coins from reputable dealers, you can be confident in their authenticity.
For example, make sure any hologram on the coin is intact and that all information on the coin’s face matches with information shown on the reverse. Also, make sure all information on the coin is clear and easy to read.
Spot Price vs. Premium
Silver coins are often available at a low premium over spot price, which means that if the spot price where you live is $25 per ounce, then you can buy silver coins for less than $25 each.
The premium over spot for silver coins can vary considerably and will depend on many factors, including:
Country of origin – overseas minting means it costs more to create the coin.
Design – different countries (and even royalty) have different preferences, which drives the price.
Market Demand – if a large number of collectors or investors seek a particular coin, this will drive the price up.
Supply and Demand – if the coin is not readily available, this drives up the price; if it’s readily available, the premium over spot might be lower.
Make sure you buy from a credible dealer that will carefully pack your silver coins. Not all dealers use thick, high-quality packaging materials to protect silver coins during transit.
It’s worth looking at reviews and checking whether a dealer has a good reputation for packing coins well, so they arrive in perfect condition.