Why coin dealers drink---Part CCCCXXVIII

CaptHenway · January 15, 2015 2:10AM

Inevitable whenever there is a sudden jump in metals:

"1st call of the day: I have 10 rolls of silver eagles locked in with you at (cheap price) and want to know if I can pick them up today?

Me( after checking) Are you sure you have them locked in? I can find no
record.

Caller: Well, maybe not locked in, but I did talk with you about buying
silver last week...."

MGLICKER · January 15, 2015 2:12AM

The bullion dealers have a stronger stomach than me.

TopographicOceans · January 15, 2015 2:27AM

You'll have to call him back to get your money after silver drops below his locked in price.

OldEastside · January 15, 2015 2:49AM

Well Gee Captain, I drove past your store last week when it was 15 something, does that meen I can pick em up for that price

Steve

SmallTownCoins · January 15, 2015 2:51AM

The most repeated phrase in this business seems to be
"but yesterday you said....) Haaaa

AMRC · January 15, 2015 2:52AM

Now's the time that I meant when that time we talked about the time I would come in.

Walkerguy21D · January 15, 2015 3:10AM

And he'll probably stop at the gas station on the way, and ask to return the tankful he pumped last week at $2.12/gal, here's my receipt.....

Justlooking · January 15, 2015 3:20AM

Wonder what would happen if everybody just rounded up, or down, to the nearest dollar?

CaptHenway · January 15, 2015 3:22AM

<< Well Gee Captain, I drove past your store last week when it was 15 something, does that meen I can pick em up for that price

Steve >>

Ain't my store no mo' I am retired to Colorado!

Dentuck · January 15, 2015 3:53AM

A friend of mine, whenever gasoline drops notably in price (and/or if he finds
a gas station that's a few pennies cheaper than another), will say, "I ought to
fill my tank up, and fill up a few drums to store in my garage."

After hearing this a few times, I told him, "You seem very commodity
driven in terms of investing strategy. You should buy gold and silver and hold
onto it, dollar-cost-averaging your investment."

He would have nothing of it.

Dentuck · January 15, 2015 3:54AM

(And yet the drums of gasoline in the garage seems like a good investment?)

LindeDad · January 15, 2015 4:25AM

Have to put you on hold just got a email for 2015 eagles.

PerryHall · January 15, 2015 4:55AM

<< (And yet the drums of gasoline in the garage seems like a good investment?) >>

Only if your house is greatly over-insured.

TopographicOceans · January 15, 2015 4:59AM

<< (And yet the drums of gasoline in the garage seems like a good investment?) >>

You know the old saying - You can never have too big of a bomb stored at your house

Tomthecoinguy · January 15, 2015 5:06AM

<< 

<< (And yet the drums of gasoline in the garage seems like a good investment?) >>

Only if your house is greatly over-insured.

>>

And your coins are at a secure off-site location.

WTCG · January 15, 2015 5:12AM

At least they didn't buy those silver eagles then when silver dropped two weeks later call you and ask for a rebate. I've actually had that happen before.

telephoto1 · January 15, 2015 6:27AM

Just had a similar thing happen with a couple of one ounce gold coins... quoted a price Tuesday and wants me to honor it today with spot up another $30 plus.

coindeuce · January 15, 2015 8:32AM

<< Just had a similar thing happen with a couple of one ounce gold coins... quoted a price Tuesday and wants me to honor it today with spot up another $30 plus.

>>

No problemo - just tell the customer that you saved them at Tuesday's price, plus a $30 per coin storage fee if they're paid for today.

PerryHall · January 15, 2015 8:17PM

<< 

<< Just had a similar thing happen with a couple of one ounce gold coins... quoted a price Tuesday and wants me to honor it today with spot up another $30 plus.

>>

No problemo - just tell the customer that you saved them at Tuesday's price, plus a $30 per coin storage fee if they're paid for today.

>>

Or, just say that you sold them all but you just got in a new supply but you had to pay more to get them.

ricko · January 15, 2015 10:01PM

For these people, a statement at time of discussion is necessary - "The price now is $XXXX.xx, subject to change by the time you get here." Cheers, RickO

PerryHall · January 15, 2015 10:13PM

<< For these people, a statement at time of discussion is necessary - "The price now is $XXXX.xx, subject to change by the time you get here." Cheers, RickO >>

Good point. Dealers shouldn't quote a specific price without stating that it's subject to change depending on market conditions. This is obvious to the bullion stackers here but it may not be obvious to many in the general public.

Treashunt · January 15, 2015 10:16PM

so, that is why they drink.

I don't blame them

BUT!

How about trying to buy at a show and the price has dropped.

Dealer, but I bought it at $X

Collector: Yeah, but today the price is less.

Dealer: But, I can't take a loss

Collector: But I can?

The above conversation has been repeated more than once
It does appear that the losses are only supposed to be one sided

PerryHall · January 15, 2015 10:48PM

<< so, that is why they drink.

I don't blame them

BUT!

How about trying to buy at a show and the price has dropped.

Dealer, but I bought it at $X

Collector: Yeah, but today the price is less.

Dealer: But, I can't take a loss

Collector: But I can?

The above conversation has been repeated more than once
It does appear that the losses are only supposed to be one sided >>

Is this why coin collectors drink?

CaptHenway · January 15, 2015 11:28PM

When I was at the store and anybody asked for a price on a precious metals item and then asked how long that price was good for, I would say "Until you walk out the door."

Now obviously we had some regulars who would come in and get a price and say "OK I'll take it" and then go to the bank next door and get some cash and that was a done deal.

telephoto1 · January 16, 2015 2:11AM

<< so, that is why they drink.

I don't blame them

BUT!

How about trying to buy at a show and the price has dropped.

Dealer, but I bought it at $X

Collector: Yeah, but today the price is less.

Dealer: But, I can't take a loss

Collector: But I can?

The above conversation has been repeated more than once
It does appear that the losses are only supposed to be one sided >>

"Collector" can't take a loss or make a profit unless he/she actually sells the item- so the little scenario above is invalid. You don't lose or make money by the act of purchasing something.

Tell me... if the seller (be it a dealer OR collector) who either needs or desires to make a profit on something they own can't make any money selling something at a certain price, then why should he be obligated to sell it cheaper just because the market dropped?

If the answer is "to get my business"...why does he need or want the business of someone who won't allow him to make a profit?

If the answer is "because I can buy it cheaper elsewhere"...

a) how does that change the fact that this seller still needs to get $x to make a profit... and
b) why don't you simply buy it from the cheaper source rather than insisting that this seller bend to your wishes?

Now I've certainly lost money on items I've sold...all dealers have at one time or another...but I've never sold at a loss to simply get a sale from someone who thought they had it coming.

MGLICKER · January 16, 2015 2:14AM

<< When I was at the store and anybody asked for a price on a precious metals item and then asked how long that price was good for, I would say "Until you walk out the door."

Now obviously we had some regulars who would come in and get a price and say "OK I'll take it" and then go to the bank next door and get some cash and that was a done deal. >>

Always good to extend some trust to the regular customers.

PerryHall · January 16, 2015 2:52AM

<< 

<< When I was at the store and anybody asked for a price on a precious metals item and then asked how long that price was good for, I would say "Until you walk out the door."

Now obviously we had some regulars who would come in and get a price and say "OK I'll take it" and then go to the bank next door and get some cash and that was a done deal. >>

Always good to extend some trust to the regular customers. >>

.........or, to a new customer who leaves a deposit to hold the coin or bullion while he gets the money to pay the balance due.

CaptHenway · January 16, 2015 3:01AM

<< 

<< 

<< When I was at the store and anybody asked for a price on a precious metals item and then asked how long that price was good for, I would say "Until you walk out the door."

Now obviously we had some regulars who would come in and get a price and say "OK I'll take it" and then go to the bank next door and get some cash and that was a done deal. >>

Always good to extend some trust to the regular customers. >>

.........or, to a new customer who leaves a deposit to hold the coin or bullion while he gets the money to pay the balance due. >>

That is a given. A deposit makes it a done deal.

Why coin dealers drink---Part CCCCXXVIII

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