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Replies: 10 / Views: 989 |
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Pillar of the Community
United States
3294 Posts |
I have built up several 90% silver halves from roll searching. I would like to trade them for an equivalent amount of 90% quarters. The coin shops around me, however, want me to give them additional $ for such a trade. I would think that they would be willing to do it straight up since the coins are only worth silver value (which they could still sell for the same markup) and it gets me into their shop. Is there something more valuable with the quarters that I don't know about or do these coin shops just have below average customer service?
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Moderator
 United States
188770 Posts |
You have to remember, they are a business, so every transaction ideally would generate them some profit. This story reminds me of a friend that wanted to trade his loaded (and paid for) Dodge HEMI truck for a Neon (wholesale value on that truck was considerably more than retail on the Neon). Even though they would come out ahead in the long run, they said they would do it for $500. I almost forgot,  to the forum!
Edited by jbuck 08/12/2008 6:51 pm
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Moderator
 United States
16679 Posts |
I agree that they are a business and every transaction is a potential profit. Absolutely nothing wrong with that. It's free enterprise. But you as a consumer have the right to go somewhere else. If he wants additional money for in my mind is an even trade of troy weight (common dates and wear of course), I would just leave and take my business elsewhere or just hold on the the halves. By the way, 
swcoin.ecrater.com
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Pillar of the Community
United States
673 Posts |
I don't think I would walk in off the street and expect a deal like that from a dealer. If I were a regular customer of said dealer, I may consider asking for such a trade. As jbuck stated, they are in the business of making money, even a trade transaction takes time - and that is money. Spend some time getting to know one or two of the dealers, and spend some money at the shops- a good relationship with your dealer can reap big rewards in the long run. Welcome to the forum !
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Pillar of the Community
 United States
3294 Posts |
I suppose if nothing else, there is always craigslist
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Moderator
 United States
16679 Posts |
There is a coin dealer in my city that has 5 gallon buckets of 90% silver coins mostly Washington quarters and Roosevelt dimes. People bring them in and he gives them 90% spot money and just throws the coins in these buckets! He would trade your Halves for Quarters any day of the week. I guess it just depends on the dealer. He also gives in change, if you pay cash, beat up red seal $5 notes and worn Wheaties. Just keep looking, you'll find someone.
swcoin.ecrater.com
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Moderator
 United States
188770 Posts |
Quote: Spend some time getting to know one or two of the dealers, and spend some money at the shops- a good relationship with your dealer can reap big rewards in the long run.  A lot can be said for a good customer-dealer relationship. Several years ago, I had bunch of Half Dollars I found CRH (duplicates that I did not need). I traded them to a local dealer for store credit at just below spot. I used that credit to buy coins I needed, and he still gave me the usual "loyal customer" discount. In the end it was an even trade, although I am sure he had some cushion in the price he paid for the coins I bought.  The difference is that I had been going their for years before and I continue to go there now.
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Rest in Peace
United States
9104 Posts |
The simplest retail coin store costs over $100 a day in fixed overhead before the owner makes anything for himself (like wages?) If he had a buyer for the halves, he might be able to make an even swap, but if he's like most dealers, he's dumping all of it for scrap, so there's no benefit to him taking the time to count in new inventory and do the paperwork to end up where he already is.
Another thing you have to remember is when you are offering to swap "even up", you are offering something you don't want in exchange for something you do want. I'm sure if the dealer would be the one to offer excess stock in exchange for what he needs, he'd be willing to trade even up. Usually what you want to get rid of, he's already got too much of, from other customers who don't want it, either.
The dealer is in it for a living, the same as the guy who expects to get paid for his labor when he goes to work. Even too many dealers don't understand this, which is why there are now five dealers in an area that used to have a couple dozen.
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Rest in Peace
United States
9104 Posts |
Quote:There is a coin dealer in my city that has 5 gallon buckets of 90% silver coins mostly Washington quarters and Roosevelt dimes. People bring them in and he gives them 90% spot money and just throws the coins in these buckets! He would trade your Halves for Quarters any day of the week. A great way to go out of business. Back when silver was 5.4 times face, a dealer at a show was nice to collectors and had a box of dimes they could pick from at 60¢. He figured he was making out like a fat rat by getting an extra 10% for his common dimes. Until the end of the show when he found how many got pocketed, and his sales plus what was left was less than if he just sold them for scrap. He'd make 6¢ on each sale, and lose 54¢ on each one five-finger discounted. The sales were work, the shoplifting was easy. Anyone leaving buckets of coins around where the public can see them is asking to be held up, and that is a 100% loss, even if you're not killed in the process.
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Bedrock of the Community
United States
20753 Posts |
As already said. A dealer in a coin shop has to make a really decent profit on every sail. Not only is there rent, but gas, electric, phone, water bills, maintenance on the store, fixtures, supplies and then there is that thing called a family. All such things are paid for with his sales so a trade just doesn't help much.
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Moderator
 United States
16679 Posts |
Quote: A great way to go out of business.
You are right. Get to know your dealer, I totally agree. I have known Mel for 20 years and he has been in business for 35 years. I have received some great deals from him. But like I said, he just buys this stuff for scrap. I'll have to ask him what % he makes. All I know is he does not charge me anything so I guess it does pay to establish a good reputation with your dealer. I don't buy scrap myself, just coins.
swcoin.ecrater.com
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Replies: 10 / Views: 989 |
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