One of the most intriguing and attractive aspects of buying silver bullion is the affordability. There is plenty of talk about how expensive gold is, but a lot of people tend to forget that silver is just as strong of an investment. Silver investors can get a ton more for their money than gold buyers, and the figures are not even close. With spot prices that are generally around 60x higher for gold than silver, it is a wonder why more people have not stopped to bulk up on their silver reserves. No matter the reason, there is certainly a lot of silver bullion that can be obtained for some very cheap prices. Some types of metal will be more costly than others, but there is no shortage of options to fit any budget.
Cheap Silver Bars
Cheap silver bars are a fantastic way to either start or expand your current portfolio of silver bullion. There is a common connotation that goes along with bars of any type of precious metal, be it gold, silver, or even platinum, and that is that bars are wildly expensive and only for the very rich. The truth is that this is completely inaccurate. Silver bars start off in weights as low as just 1 oz., a size that is able to squeeze into any bankroll, no matter how large or small.
A one ounce bar of silver is the alternative option to buying a one ounce silver coin or round. These bars are more flat than they are bulky, and are an easy way to start accumulating silver metals. Silver bars range up to hundreds and hundreds of ounces, but are most often found in 1 oz., 5 oz., and 10 oz. varieties. These bars will cost the spot price of silver multiplied by the given weight. No matter how you look at it, though, silver bars will not always cost even a few hundred dollars, let alone thousands.
Cheap Silver Coins
Cheap silver coins are tougher to find than cheap silver bars, if only because most coins are produced by governments and are therefore highly collectible. Silver coins, in their raw form, will typically carry a premium that is around a few dollars. As you start to get into more rare coins and coins that are in the best condition possible, the value and costs start to really rise. The primary choice for most buyers looking for some cheap silver coins are American Eagles, Maple Leafs, and other similar national issues. These coins can readily be obtained for just a couple of dollars over the spot price. This is something that is not going to break the bank, especially if silver coins are simply a way of diversifying your existing roster of silver bullion.
If you are planning on spending exactly spot on your silver purchases, the other choice is to buy generic silver rounds. Silver rounds are coins that are made by non governmental bodies, most commonly by companies referred to as private mints. These coins are generally commemorative collectibles or other pieces that are made for resale. If you want to buy some coins, but don’t want to pay the extra price, silver round are the best alternative available.
Other Types of Cheap Silver
The only real way to buy silver for a real cheap price is to buy either scrap or junk silver. The problem with this is that it is not easy to obtain and when you can find it, will usually require that you order significant amounts at a time.
Scrap silver is just as it sounds. It comes from random pieces of silver that were most often used in pieces of other items. For example, a lot of old dinnerware had silver in it. This type of silver is usually sterling silver. Various pieces of machinery and other tools are also known for their high silver content. Needless to say, there aren’t many people who are out shopping for scrap metal. It would be very hard to store, obtain, and is just a hassle overall.
The dealers and companies who do buy scrap metal will generally send it in to be melted and formed into actual bars and rounds which are much easier for every day trade. The only reason that they buy back silver from consumers is because they can generate a much higher overall profit when they are paying very low prices for the raw scraps. As a seller, it is not a bad deal for you, but buying scrap metal is not the most ideal way to invest in silver, even if it is cheap.
Junk silver is the more popular way to buy cheap silver. This type of silver is primarily made up of old coins that were produced with fractional amounts of silver. For example, many mid 20th century United States coins had 40% pure silver content in them. These are much more desirable than raw silver because they are easy to handle, buy, and sell. Like scrap silver, however, these coins too are usually sent in for melting where they are transformed into coins and bars. Along with 40% purity is 90% pure junk silver. The catch to buying junk silver for cheap is that in order to obtain a real discount, you will usually need to buy several thousand dollars worth at a time. While it is certainly a viable way to buy silver at a cheap price relative to the cost per ounce, it is still going to require a sizable investment.