At what point does a silver coin become junk silver?
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At what point do you consider a silver coin to lose its numismatic collectibility and simply become junk silver?
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Depends on the coin. For example if you have a draped bust some even in the worst condition, it still has a premium. However, a Roosevelt dime has to be in MS to be better than junk silver.
Eye of the beholder.
Look at the popularity P01 coins, holed sets, various types of damaged coins that are collectable...etc.
Junk bins are a good place to search for cool stuff though, picked up a few nice live tokens in the local bins 😊
When it looks like junk.
Basically when the supply is far greater than the collector demand. There are a gazillion circulated silver coins from the mid-1900's out there, far more than could fill the collector demand.
Early American Copper, Bust and Seated.
I've often thought about this myself. There are so many coins that I personally think would be better off melted.
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It all depends, during the big silver run-ups like Hunt, lots of BU coins were in junk bins. I was in a shop once during the Hunt scene that must have had 200 gallons of AU/BU walkers in 5 gallon junk silver pails. I suppose technically any coin where the bullion value exceeds the numismatic value is junk silver.
Silver is NEVER junk.
When its bullion value exceeds its numismatic or collector value.
Worry is the interest you pay on a debt you may not owe.
"Paper money eventually returns to its intrinsic value---zero."----Voltaire
"Everything you say should be true, but not everything true should be said."----Voltaire
To rephrase what has been written above, when (virtually) nobody will pay any premium for it over melt. Also as stated, the condition where that pertains depends on the rarity of the coin in question.
Or equals it.
I'm wrestling with this very question. I want to start a Morgan Dollar Date Set with all pieces in XF-AU condition and matched for subdued champagne toning and luster in the devices. I know I'll not likely find these in a junk silver bin. But, how much over spot should I expect to pay for the common dates? Is it worth it to buy common dates slabbed? ...for a coin that in G4 would cost: $28; and in AU55 is $40 (according to current price guides for type). And this for a coin worth $12-15x face depending on Ag spot. We're not talking princely sums of money, but it starts to add up if you're putting together a collection, or even just "stacking".
So to answer the OP's question: "At what point do you consider a silver coin to lose its numismatic collectibility and simply become junk silver?" As already stated, it's going to depend on any particular coin. I'd be deliriously happy with a 1796 25C that had even a readable date, but not so much a common date Washington 25C in the same condition. But for the collection I'm currently considering, it's going to come down to two nebulous factors in coin collecting, grade and eye appeal. For me, If a coin is clearly damaged or has been harshly cleaned, it's worth spot. If a coin would straight-grade at anything above F-VF or so, it might be worth a bit over spot... but again, how much over is up to negotiation, I suppose.
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There have been a "Lot" of silver coins that still had collector value that were "Melted" back in the day when silver was at it's "All time" high (Hunt bros.) that got rid of a lot of coins that were in albums, sock drawers, jugs, milk cans etc. we will never know the damage that was done to the collector coins of our era. The Totals have to be way off for some of them as far as what is still available for certain coins!
When its melt value exceeds its numismatic value.
When I own it.
As stated above.
Some days it’s bullion value
The next week the value may be numismatic.
I rescued many nice Barbers when silver was 20 times face by switching Barbers for Mercs and Roosies
When it has no added collector value (rarity or condition) and it is not 100% silver. I suspect ASEs, because of their .999 silver content will never become junk silver.
Gold has a world price entirely unaffected by accounting games between the Treasury and the Fed. - Jim Rickards
As demonstrated above, it depends on who you ask....for some collectors, the silver coins are never junk.... for others, if there is no numismatic premium, it is junk. Much like grading, it is an opinion. Cheers, RickO
When you have two of them......
During the last silver run up, a local B&M owner was culling the herd of silver coins to go directly to the melter. When a coin had not sold in 8 years (whatever) for $4 and was now worth $5 in melt, off it went.
The one he was agonizing over was a proof coin hoard. It was 1/4 of all of that date ever made. It was a non US proof coin. No one ever wanted even 1 of them, so the pragmatist won out over the numismatist and the whole issue went to the smelter.
What coin was it?
Worry is the interest you pay on a debt you may not owe.
"Paper money eventually returns to its intrinsic value---zero."----Voltaire
"Everything you say should be true, but not everything true should be said."----Voltaire
I believe it was either Peru or Paraguay. It was smaller than a silver dollar, and there were boxes of them. Been too long and it was just a quick glimpse of the coin as he was contemplating their fate.
I'm suspecting that collectors and dealers who have lived through the 1979-80 and later precious metal price run-ups will be more willing to dump their coins into the melt bucket today. I know my own attitude is much more "Smelt 'em, Danno!" today than it was in the past. During the price run-up of about 8-10 years ago I had a collection of silver medals that while rare and interesting had an extremely thin market. When the price of silver shot up I gathered them all together, took them over to my local coin dealer and sold them. In retrospect this was a very smart move.
When the price of said silver value of the coin meets or exceeds the numismatic value.
I wouldn't include damaged or holed coins so much as most if not all of my 90% junk silver buyers will not buy damaged , holed or slick 90%. In fact, the places that buy in bulk discount this stuff heavily and buy as pure scrap.
It's junk when submitted to PCGS. But I didn't think so, at the time.
When it reaches its melting point.
Worry is the interest you pay on a debt you may not owe.
"Paper money eventually returns to its intrinsic value---zero."----Voltaire
"Everything you say should be true, but not everything true should be said."----Voltaire
When you no longer like it or want it in you set collection.
https://www.pcgs.com/setregistry/mysetregistry/showcase/6602