Foreign "Junk Silver" Coins

I've gotten the best deals on foreign silver (and gold) from coin shops. Some shops take foreign silver with the other scrap and will usually sell it for melt if they have any. I've gotten a lot of common UK .925 sterling and French .800 and .900 this way. Big dealers also sort the better foreign coins and put them in flips. I've gotten silver for less than melt buying old flips that haven't been updated.

Welcome to the forum. You are asking a question that indicates (at least to me) that your experience is rather limited. If in fact you are relatively new to the hobby there are a few key facts that you must keep in mind when dealing with coin dealers.

First : NEVER expect to pay less than a fair value for any coin - Looking only for "bargains" will set you up to get scammed. The vast majority of "bargains" you will find are actually rip-offs. There are millions of non-silver junk fakes available so knowing how to spot them is critical before buying any world silver coin. Get a cheap pocket scale to check the weight of each coin and know how much silver actually wears off a coin. Most collectors tend not to recall that silver coins were made to wear quickly so that only 5 or 10% weight loss results in an AG level coin (the point at which banks pulled them from circulation). The dimes can weigh 90% of original spec but larger coins like halves should weigh 95%. So know the weights of all your target coins.

Second : STUDY your target coin or coins so that you know exactly what you want. Do not set up vague goals. This is because going into any sale you need to know what to offer and what should be available. If you want 900 fine silver coins near bullion value look for worn or culled Cuban and Philippines issues that were struck in the US mints. Look for coins that are NOT popular among collectors. Target common dates in lower grades. If the fineness is not the real issue look at coins like the Netherlands Antilles which are bountiful and have few interested collectors. These are 720 fine silver and most US dealers know they will never get a premium for them.

Third : Watch out for the alloy of the coin. There are many alloys that do not sell well as bullion coins. The 100 fine Mexican pesos are classic examples. They do contain silver but try to sell them to a smelter and see your profits evaporate in drastically higher smelting fees. This applies to many coins that are under 500 fine silver. At some times melt fees rise - especially for lower grades of silver. Also alloys with Manganese like the US 5 cent coin can raise smelting charges.

Finally : Do not expect a profit right away. You need to be able to cover smelting fees upon sale. So to do that you need to wait for a 5% to 15% increase in silver melt price to break even.

I waited my turn and got into the local dealer's junk box today. 3 Edwardian sterling shillings and a Halifax quarter for $11. Low grade but what the heck. Thrill of the hunt.

Canadian Halifax mint. Date is 1880's but too worn to see the last digit.

wmc1982 - here in the UK, I often get foreign 'junk' silver for far less than an equivalent British coin would cost! You can sometimes find early 1960s Roosevelt dimes and Washington quarters in cheap trays, as dealers don't realise they are silver!

When purchasing British silver coins in the USA, remember that the silver content was reduced from 92.5% (Sterling silver) to 50% in 1920. So a worn 1921 halfcrown should cost much less than a worn 1919 one! Any UK 'silver' coins dated from 1947 onwards are cupro-nickel (except for Maundy Money and some proofs, which are unlikely to turn up in junk trays).