"It's Just Sterling"

[beauanderos]

How did sterling silver get a bad rap? It's a higher purity silver 92.5% than junk 90%? So it can't cost more for smelters to refine. What gives? I used to collect Franklin Mint Silver years ago when I first started (2003) thinking that most of those sets got melted down in 79-80, and their scarcity is much higher than people would imagine (and as a means of diversification .90, .925, .999). So then why does sterling sell at a discount when junk does not?

[blackrabbit]

I think it is just the fact that US coins are well known while sterling comes in a myriad of forms which people don't know if they are real or not. I just bought a lot of sterling on e-bay for way under spot but half the weight was plated junk that would have fooled the inexperienced. The seller offered to refund me based on weight that I send back to him so I won't get ripped off and actually will still come out nicely ahead. However, for the inexperienced buying sterling can be a confusing complicated ripoff with all the shady sellers who will sell anything that appears to be sterling silver as such. Hence the discount for most sterling.

[beauanderos]

I think it is just the fact that US coins are well known while sterling comes in a myriad of forms which people don't know if they are real or not. I just bought a lot of sterling on e-bay for way under spot but half the weight was plated junk that would have fooled the inexperienced. The seller offered to refund me based on weight that I send back to him so I won't get ripped off and actually will still come out nicely ahead. However, for the inexperienced buying sterling can be a confusing complicated ripoff with all the shady sellers who will sell anything that appears to be sterling silver as such. Hence the discount for most sterling.

You make a good point. But I'm talking mostly about medallions that are of known weight and purity, not silverware or jewelry, etc. When I first started buying I could get medals sets for sometimes 70% of melt, and a friend who ran a coin shop told me they only offered 50% of spot and then sold at a twenty percent discount to spot. Nowadays, of course, you aren't going to find many bargains, even with sterling medals, on ebay.

[coppertone]

Until several months ago I could buy Canada 1976 Olympic Commemorative coins (sterling) at a discount to 80% and melt value. Could not figure this one out. I even bought one entire set of 28 coins on an E-Bay BIN in December,2010 for 55% of melt value.

I felt these coins were much better value that the .999 or .9999 coins and rounds. The discount has since disappeared and the coins now trade at melt value or slightly above.

[Sheikh_yer_Bu'Tay]

I dunno, but I'm still buyin' it!!

[fasTT]

I sell sterling at spot including the Olympic sets.