Dead Dolphin ashore May 2016

Dead Dolphin ashore May 2016

Tuesday, 7 September 2010

Taken to the cleaners ? a ramble

In this weekends News of the Screws there was an interesting article on the subject of us recession hit Brits cashing in our gold and being taken to the cleaners. Taking the side of the consumer the article suggests a comparison site comparethegoldmarket.com to highlight the great British rip off of the postal cash for gold. It is amazing the difference in prices.
Not all dealers are bad and the article is full of praise for hattongardenmetals.com . I also found two other companies RPM-gold.com and jblundells.co.uk offering fair prices, and I am sure there are many more fair priced dealers on the internet, but then it always pays to shop around.

For some reason silver does tend to be ignored even though it trades at prolonged record prices, yet the chances are that joe average probably has more silver by weight kicking around the house than gold. In many cases it is in the form of pre decimal silver coins. In the past few years pre decimal silver British coins have been putting in a appearance at auctions. The reason being that the people of the pre decimal generation that could afford to hoard silver halfcrowns and florins are in their eighties and many have died. At the time of hoarding the coins did have a substantial face value. However as soon as the coins were no longer legal tender their only value was the silver content. The coins I am referring to are the Pre 1947 sixpences, shillings, florins and half crowns all containing 50% silver which have a minimum of 25 years circulation at the time of decimalisation. Minted between 1920 to 1947 there are few rarities and most coins have no collector value because of the intense wear caused by circulation. Even though these coins have no collector value they have become the cheapest form of investment in silver for joe average if bought at the right price and accumulated into collections. A fine example is on ebay, and this past week I have been looking at the trade in collections (10 or more) of pre 1947 halfcrowns and florins. Both of these coins have a bit of weight behind them which makes them popular making the market on ebay very buoyant. There is a company that trades in investment bags of of pre 1947 coins called 24carat.co.uk, these people really know their stuff and supply is constantly outstripping demand. Earlier on in the year I was in Pressmans in Hatton Garden and someone weighed in bags of pre 1947 silver coins and was paid out £21,000 and I wonder what the return was on that lot. However for the lay man a few pre 1947 are set to be a nice little fall back in these troubled times.

No comments: