Anyone thinking of hoarding nickels?
theump
Posts: 634 ✭✭
I have never hoarded anything before (but take out the "d", and that's a different story 
) but I have considered buying nickel rolls from the bank. Where is the downside? If anything, with China's growth, zinc should keep on going for a while. There are no stockpikes laying around.
) but I have considered buying nickel rolls from the bank. Where is the downside? If anything, with China's growth, zinc should keep on going for a while. There are no stockpikes laying around. 0
Comments
While I have kind of thought along the same lines as you, I really am not sure a person can profit much from it given the logistics.
<< <i>Store as many nickels as you can. In 3Q 2008, a Mint official will meet you in a downtown parking garage and negotiate the sale of your hoard for $ 0.0715 each. >>
LOL.... !
Maybe not the US Mint... but perhaps at some time banks would pay a couple of cents extra... like they did to obtain cents years ago. But even then, if you had lots of them, the bank would probably not accept a hugh amount.
By enforcing the no melt, no export rules, they have more or less shut down any lawful means of melting the coins, which was probably the best way to profit from this.
Myself, I currently am not hoarding nickels..... I would rather not tie up my money in a ton of metal that I would not be able to convert easily. Also, a person will lose interest on the money that is tied up in it.... and also lose the opportunity to use the money for better investment. There are - and will be - other coins out there where you can make a quicker profit than holding a mass of nickels.
But to each his own. My own opinion is only that-- my own opinion.
Even when the melting ban is lifted the scrap yards will probably pay only half of melt value unless you have them by the truckload.
I've calculated that when I factor in the cost of storage, transport, sale transaction costs, and the opportunity cost of not having the "nickel money" invested better,
I'll only lose about 21% effective income on the deal. (this assumes no loss of some nickels to neighborhood kids scrounging change for the ice cream man)
Liberty: Parent of Science & Industry
<< <i>I just got a 1973 Canadian 5 cent piece at lunch. Current value is .23 US$. I'd call that one a "keeper". >>
Wow, I have half a coffee can full of them!
Joe
I keep telling myself that one day I will get rich.
Looking for Denmark 1874 20-Kroner. Please offer.
<< <i>
<< <i>I just got a 1973 Canadian 5 cent piece at lunch. Current value is .23 US$. I'd call that one a "keeper". >>
Wow, I have half a coffee can full of them! >>
You should fill the coffee can! It would be neat to have a coffee can full of the pure nickel ones. The RCM melt is having an effect. Last time I went to Canada, about half of the dimes in the dime rolls were the nickel plated steel junk. Just about all of the quarters were 100% nickel. I suspect the RCM is obviously targeting 5 cent pieces first, followed by dimes, then quarters.
Are all canadian nickels 100% nickel or is there a date range
Yep
I would make one addendum to it. Year 2000 10c, 25c and 50c are also pure Ni. There was a small production of 2001 pure Ni 25c as well. Basically, if it has a "P" below QE2, spend it. The "P" means nickel plated steel.
Canadian coin values
Problem is finding someone to take the bad ones back. I had to sell them at a discount on ebay to get rid of em.
<< <i>Problem is finding someone to take the bad ones back. I had to sell them at a discount on ebay to get rid of em. >>
Couldn't you just take them back to Canada and spend them?
consumers hoarding cents
consumers hoarding motor oil
consumers hoarding anti freeze
consumers hoarding fire wood
the only people getting rich were not the consumer hoarders.
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It's gettin weird out there. Raw materials are not to be sneezed at with a billion folks trying their damnedest to have goodies like US people.
It will probably be only a short while before the hoarding is serious enough to get the Treasury to make some "directives" against exchanging nickels in quantity. I would have expected it already except that the US is in such a state now that a "warning" could serve to call attention to the loss of value to the dollar that is not ....really..... in the eye of the "public" yet.
Even though J.Q. Publique has lost half his wealth in dollars in just the past 4 years.
Time to yell about global warming.
Distraction, distraction, distraction.
Can always pull out the "ILLEGAL IMMIGRATION" issue as a change of pace, too. Not that anyone in government wants to STOP the border crossings.
I got all wound up.
Cut to chase. Expect regulations against hoarding any day now.
WE just got use to Silver being more.
I believe one of these days we're gonna look back and say I should have hoarded
JMO
<< <i>
<< <i>Problem is finding someone to take the bad ones back. I had to sell them at a discount on ebay to get rid of em. >>
Couldn't you just take them back to Canada and spend them? >>
Flaminio is right. Roll 'em and take em back to a bank in Canada. Also, the cupro-nickel 5 cent ones go through our vending machines, at least from my experience.
The Big Nickel
Try going over the border with $300 of nickels.
I have done so, and now they tear apart my car every time I go over. They hold me up in the office and interview me every time.
(silver price at $13.43 / troy ounce)
$1.00 face value of pennies (90% copper) is $2.41 melt value
$1.00 face value of nickels is $1.88 melt value
$1.00 face value of silver dimes is $.97 melt value
$1.00 face value of silver quarters is $2.43 melt value
$1.00 face value of 90% (1964) kennedy half dollars is $4.86 melt value
$1.00 face value of 40% (1965-1970) kennedy half dollars is $1.99 melt value
$1.00 face value of peace dollar is $10.39 melt value
$1.00 face value of 40% silver Ike dollar (1971-1976) is $4.25 melt value
I had to explain to them which nickels I kept, and which ones I return. I had to explain the dates and compositions etc...
They want to know this every time I cross!!
Liberty: Parent of Science & Industry
San Diego, CA
<< <i>I could take the nickels to Mexico.
Be careful, our law prohibits the melting and export.
<< <i>The border wants to know what I do for a living, how much money I make, who I sell coins to etc...
I had to explain to them which nickels I kept, and which ones I return. I had to explain the dates and compositions etc...
They want to know this every time I cross!! >>
There could possibly be export restrictions. I'd check Canadian law. Our law prohibits melting and export.
They just passed a strict law on bringing US coins over the border, something like no more than $50.00 or some small value like that.
<< <i>I called them and checked. No laws on bringing Canadian coin in or out of the country. But they still stop me every time.
They just passed a strict law on bringing US coins over the border, something like no more than $50.00 or some small value like that. >>
They may also suspect you are trying to smuggle "other stuff". Just be nice and honest with them. I have over the past and have never had a problem with Customs Canada.
I went to a concert in Ontario a few weeks ago, they wanted to know if I knew anybody there. They wanted to know if I knew the way, and how long it takes to drive there. They asked me how many miles it was.
It's like this every time now. I have no criminal record or anything.
<< <i>They just passed a strict law on bringing US coins over the border, something like no more than $50.00 or some small value like that. >>
Damn. I love the smell of freedom burning in the morning.
And weirdest of all, we TOLERATE it.
<< <i>I've never heard of a foreign exchange branch issuing coins. In my experience it's an all paper money system. In fact, I went to Chase 2 years ago to exchange some Canadian loonies and the teller refused them, stating she doesn't exchange foreign coins, just notes. >>
When you enter Ontario, the welcome centers have currency exchange that handles coins as well as bills. I have had no problems getting coin rolls from them. American banks won't exchange the coins, unfortunately.
<< <i>And weirdest of all, we TOLERATE it. >>
You tolerated it when you declined the right to participate in agency rulemaking activities. All it would have taken was a trip to regulations.gov ... you can even register your voice online now.
So many people stress the importance of voting, but ignore other forms of civic participation.
<< <i>Even when I don't bring the nickels over, they search the car every time now.
I went to a concert in Ontario a few weeks ago, they wanted to know if I knew anybody there. They wanted to know if I knew the way, and how long it takes to drive there. They asked me how many miles it was.
It's like this every time now. I have no criminal record or anything. >>
Do you have a passport? I use mine and it seems to quell the questioning. Next year, you will be required to present your passport to get back into the USA.
<< <i>Even though J.Q. Publique has lost half his wealth in dollars in just the past 4 years. >>
Relative to what? It's this type of mindless, unthinking rhetoric that distracts for a decent dialogue. Are cars twice as expensive as they were four years ago? Nope. Food? Nope. TVs? Nope. Computers? Nope. Consumer appliances? Nope. Furniture? Nope.
Relative to the Euro or other foreign currencies, the dollar has probably lost half its value in four years. Relative to silver it has. Relative to gold it has. Relative to fuel and energy it has. But relative to the price of your next recliner? Relative to the price of your grocery bill? Relative to the cost of your rent? Of course not.
<< <i>That Coinflation site is great. Got the melt value calculations for different denominations (US)
(silver price at $13.43 / troy ounce)
$1.00 face value of pennies (90% copper) is $2.41 melt value
$1.00 face value of nickels is $1.88 melt value
$1.00 face value of silver dimes is $.97 melt value
$1.00 face value of silver quarters is $2.43 melt value
$1.00 face value of 90% (1964) kennedy half dollars is $4.86 melt value
$1.00 face value of 40% (1965-1970) kennedy half dollars is $1.99 melt value
$1.00 face value of peace dollar is $10.39 melt value
$1.00 face value of 40% silver Ike dollar (1971-1976) is $4.25 melt value >>
Well I won't trust that site too much then since a $ face in any silver coin is around nine times. Those are per coin figures more than likely not for a $ face worth.
Silver Coin Melt Value Calculator
You just select the denomination and type in a face amount.
According to this calculator $10.00 face value in Peace Dollars is $103.87 total silver value.
$10.35 silver value for one peace dollar
It's one of those situations where I'd probably just bury a bunch in the yard.. I don't want them around me "taking up space" ... my parents have an acreage they'll never sell in the middle of nowhere, I'd probably bury them there.
If you buy them in large quantities NOW you will be rewarded in 10-20 years when nickel and copper sell for many times their current price inflation adjusted... just remember how many it would take to have any meaningful gains and you'll be set.
So maybe hoarding them isn't a good idea for me.
I think I'll wait until China's economy hiccups and commodity prices catch pneumonia. By then some enterprising individual will be selling bars of nickel and bars of copper for me to buy.
China has some sort of governmental body that buys up copper on the dips to make sure China's economy doesn't face shortages.
There was a ban on melting silver when the changeover from silver to copper nickel was occurring in the mid 1960's. After there was enough copper nickel in circulation to alleviate the "problem," the ban was lifted. The same thing should happen to cents and nickels now once the government figures out what to do, and then does it. The ban should eventually be lifted.
As for me, I'm putting back the nickels I get in change, but that's it. If I decide it's not worth it, I can either spend them or roll them and take 'em to the bank. The weight won't be that big of a deal.
and yes im hoarding $1000 in nickel dont take up to much room and with the chance to be worth 4-5k in furture im game got nothing to lose.
this aint no different then hoarding wheat cent and sum are now starting to hoard copper memorial cents . take a look sum my auctions.
LINK