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90% Silver Swapping. Fair Conversion Rates?

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Copper Penny Connection's Avatar
United States
415 Posts
 Posted 06/15/2015  10:13 pm Show Profile   Bookmark this topic Add Copper Penny Connection to your friends list Get a Link to this Message Number of Subscribers
Hey,
If you were trading 90% silver (lets say Roosevelt or Mercury dimes) for 90% peace or Morgan dollars, What would you consider to be a fair exchange rate? I know 10 dimes for 1 silver dollar is a true exchange, but since silver dollars typically carry a premium, how many average circ dimes would it take for you to trade an average circ dollar?
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United States
602 Posts
 Posted 06/15/2015  11:15 pm  Show Profile   Bookmark this reply Add YoshiRules to your friends list Get a Link to this Reply
I believe this might need to be worked out on a case by case basis. No two trades are alike.
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llewellin's Avatar
United States
1005 Posts
 Posted 06/15/2015  11:22 pm  Show Profile   Bookmark this reply Add llewellin to your friends list Get a Link to this Reply
In addition to the inherent premium a silver dollar might hold, it will also have more silver than 10 silver dimes to start with. Furthermore, I would expect for circulated examples of each, the dimes will have lost more weight as a percentage for a similar grade due to their larger surface area to volume ratio.

So, what Yoshi said, case by case basis.
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Misterpostman's Avatar
Australia
208 Posts
 Posted 06/15/2015  11:24 pm  Show Profile   Bookmark this reply Add Misterpostman to your friends list Get a Link to this Reply
One thing to consider is that a silver dollar actually has more than 10 times as much silver as a silver dime - .765 vs .0715 oz for average circulated coins, so the ratio is about 10.7 to 1. So for just silver content 107 dimes would equal 10 silver dollars. Then there is the fact that silver dollars are more in demand.
I would generally pay about $1.20 for average dimes (a little over melt value), and about $18 for average silver dollars, so for me a 15/1 ratio seems about right. There are plenty of people who would pay $20 or more for silver dollars though.
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United States
602 Posts
 Posted 06/15/2015  11:32 pm  Show Profile   Bookmark this reply Add YoshiRules to your friends list Get a Link to this Reply
Indeed. I own merc dimes that are on the lower end of the Sheldon Scale that they are worn enough to take off up to .10c of the coin's normal melt value.
I figured this out after a visit to a LCS and crunching the numbers with my scale and a silver price calculator online.

I agree with llewellin about agreeing with me; case by case basis.
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tkbslc's Avatar
United States
1158 Posts
 Posted 06/16/2015  12:13 am  Show Profile   Bookmark this reply Add tkbslc to your friends list Get a Link to this Reply
I would just use APMEX as a guide. They sell enough of this stuff that they have the market value figured out pretty well.

They sell a roll of circulated Roosevelts for about $78, a roll of mercury for about $83, a cull Morgan/peace for $20

With that in mind, looks like $6.40 in Roosevelt dimes or $6 in Mercury dimes for each Silver Dollar


With silver rounds, the opposite is true. The smaller coins have an over-spot premium each that is about the same as a larger coin. So if you bought four 1/4 oz rounds, you'd end up paying more than you would for a single 1 oz round.
Edited by tkbslc
06/16/2015 12:18 am
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timnic44's Avatar
Canada
535 Posts
 Posted 06/16/2015  01:34 am  Show Profile   Bookmark this reply Add timnic44 to your friends list Get a Link to this Reply
That math don't seem right,tkbslc. 60 mercury or 64 Rooosevelt dimes for one Morgan. If someone wants to do that trade, I might have a couple Morgans to get rid of
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CLS12's Avatar
United States
509 Posts
 Posted 06/16/2015  03:22 am  Show Profile   Bookmark this reply Add CLS12 to your friends list Get a Link to this Reply
Is this LCS or friendly collector trade. Between friends for common circulated I'd guess $1.30-1.50 to a silver peace or Morgan.

LCS is in business to make $$. I asked a very friendly one that been going to past couple months about trading 1964 jfk for dimes or quarters since he's told me halves move the quickest and he basically said he'd give me 10-1 for mine and I'd give him 15-1 on his Ex. I'd give $4.50 in halves for $3 in dimes or quarters. Hope you get a better offer then this!
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Foxwoods Man's Avatar
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4901 Posts
 Posted 06/16/2015  07:06 am  Show Profile   Bookmark this reply Add Foxwoods Man to your friends list Get a Link to this Reply
Melt value of 60 Merc's is $69.60...Morgan melt is $12.39

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sel_69l's Avatar
Australia
21786 Posts
 Posted 06/16/2015  08:40 am  Show Profile   Bookmark this reply Add sel_69l to your friends list Get a Link to this Reply
I think a dealer would exchange something like 12 or 13 silver dimes for a silver dollar.

May be better to do a conversion bullion swap, in 2 steps, may save a dime in the process.
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tkbslc's Avatar
United States
1158 Posts
 Posted 06/16/2015  4:51 pm  Show Profile   Bookmark this reply Add tkbslc to your friends list Get a Link to this Reply

Quote:
That math don't seem right,tkbslc. 60 mercury or 64 Rooosevelt dimes for one Morgan. If someone wants to do that trade, I might have a couple Morgans to get rid of


Wow, sorry, I am definitely way off by a factor of 5! I was figuring out how many dimes per $5 in Morgans since a roll of dimes is $5 face value. But then I typed $1 instead of 5x$1.

So that would be 60-64 dimes per Five $1 dollar coins.
Edited by tkbslc
06/16/2015 5:00 pm
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