Silver bullion is available as coins, bars, or ingots. Typically, bullion is traded in the market. The silver bullion’s purity is determined on the basis of its mass and purity. Silver bullion coins are made available by government mints and they have a purity of 0.999 percent. Coins sell at a higher price than the spot price due to the minting costs. Bars or ingots also come at 0.999 percent purity, but they do not carry as high a premium as coins.
When it comes to selling silver bullion, it is important to ensure that you receive a fair price. Here are a few aspects to keep in mind if you have decided to sell silver bullion:
#1: You must have a clear idea of the value of what you have in your hands. Check its purity, weight, and condition and estimate its value on the basis of the current price of silver. If you are selling silver coins, find out whether they carry any additional value. Price of spot silver is specified in troy ounces (31.1035 grams). You can take your silver bullion to a dealer to get an estimate of its value.
#2: Always compare the prices offered by local dealers and online dealers. Generally, online stores offer better rates as their overheads are lower compared to the brick-and-mortar shops, but shipping costs may apply.
#3: Avoid dealers that follow dishonest business practices. They use every possible trick to make you sell silver bullion at a lower price. Check with consumer watchdog websites such as the Better Business Bureau and go through customer reviews.
#4: If selling online go through the terms and conditions with a tooth comb before agreeing to sell your bullion to any dealer. If you are selling in person make sure you are paid straight away
#5: Ask the dealer you are planning to do business with show his/her credentials and prove that they hold the state license.
Where to Sell Silver Bullion
#1: Local Dealers
If there is a silver or gold bullion dealer near the place where you live, it is a good option to consider. You can sell your coins quickly and conveniently at the dealer’s shop. You can also expect to get a good price here. However, do business only with dealers who have had a few years of experience.
Pawn shops are available in most cities and they pay in cash when you sell your silver bullion to Pawnbrokers. Moreover, they accept silver in any form such as coins, jewellery, sterling, and scrap. However, their reputation is generally not so good so you cannot expect to get a fair price.
#3: Coin Shows
Coin shows can be considered as the starting point to sell silver bullion because many different coin dealers assemble at one place. Typically, such shows are better places for buying silver, but you get quotes from many dealers.
#4: Online Dealers
This is probably the best option to sell silver. The advantage of working with online dealers is that you can sell from the convenience of your house. The shipping part is the biggest downside.
#5: Auction Sites
Selling silver bullion on auction sites like eBay is becoming popular by the day. However, you will have to be wary of the seller fees. Auction sites can fetch you higher prices for your silver bullion than options.