PDA

View Full Version : War Nickels



argent_pur
19th January 2009, 19:48
Anyone here ever hunted for war nickels in bank rolls? If so, how much success did you have? I'm thinking of buying some through apmex...just 0.49 over spot and 1.125 oz per face-value dollar, so seems like a good way to get silver for cheap.

PSUDave
19th January 2009, 19:58
I do nickels, cents, and halves when I can find them. War nickels are pretty rare finds. I average about 1 per $150 in nickels. Don't think I'd ever buy any, unless it was for below spot. They are that cheep for a reason, because they are the one of the least desirable forms of silver.

goldminer
19th January 2009, 22:28
Getting war nickels for their silver content is good only if you can get 'em VERY cheap. They are not highly sought and are one of the least desirable government struck silver coins.

There's more silver in a 90% dime then there is in a 35% nickel = more value, with far less weight, and also far less bulky to store.

Refineries will not buy 35% except at a trememdous discount because it costs more to refine their complex alloy (35% silver, 56% copper, and 9% manganese).

MY advice is to pass on the nickels and get 90 or 40% silver U.S. or 80% silver canadian coins.

mick silver
19th January 2009, 22:33
they are hard to sell also , i have 10 rolls , but i got them at cost , if i had to pay more for them they would still be there

argent_pur
19th January 2009, 22:34
Thanks for the advice guys. However, what refinery will melt down coinage for the bullion? Isn't it illegal to melt down US coins?

fansubs_ca
20th January 2009, 02:30
Thanks for the advice guys. However, what refinery will melt down coinage for the bullion? Isn't it illegal to melt down US coins?

The ban on melting old silver coin has long since expired. It only applied for
a few years around the time silver was being phased out of coinage.

The current ban on melting (or exporting more than $5 worth) of pennies or
nickles has an exception for the 35% silver war nickles because it was a
common practice before the ban designed to protect the currently minted
coins and with most of the remaining war nickels in hoards rather than
circulation already for many decades their disappearance would not impact
commerce.

It's ironic that I know the American laws on this better than the Canadian
ones...

Though right now the 90% silver dimes, quarters, etc. are of low likelyhood
to be sent for smelting because people like us will buy them for more than
the refiners will pay to refine them into 1000 oz. bars. During periods of
time when they were trading at a bit of a discount some did get sent to
refiners as dealers have a limit of how much inventory they want to/can
hold.

I'd consider the 35% silver nickels if no other forms of silver were avaiable
or the price was exceptionaly good but I agree, the 90% (or Canadain 80%)
would be preferable.

argent_pur
20th January 2009, 02:40
The ban on melting old silver coin has long since expired. It only applied for
a few years around the time silver was being phased out of coinage.

The current ban on melting (or exporting more than $5 worth) of pennies or
nickles has an exception for the 35% silver war nickles because it was a
common practice before the ban designed to protect the currently minted
coins and with most of the remaining war nickels in hoards rather than
circulation already for many decades their disappearance would not impact
commerce.

It's ironic that I know the American laws on this better than the Canadian
ones...

Though right now the 90% silver dimes, quarters, etc. are of low likelyhood
to be sent for smelting because people like us will buy them for more than
the refiners will pay to refine them into 1000 oz. bars. During periods of
time when they were trading at a bit of a discount some did get sent to
refiners as dealers have a limit of how much inventory they want to/can
hold.

I'd consider the 35% silver nickels if no other forms of silver were avaiable
or the price was exceptionaly good but I agree, the 90% (or Canadain 80%)
would be preferable.

Thanks for the clarification! I'll trust your opinions, collectively, and focus on the 90% and 80%. Besides ebay, is there anywhere that regularly has Canadian 80% in stock? and would it be on par with US 90% as far as recognizability and trustworthiness?

podrag
20th January 2009, 06:53
The reason war nickels require more energy to refine as their melting temperature is higher

However...

40% halves and war nickels are unpopular with the wider silver investment community right now. I believe this will change as silver become monetized once again. People will care more about silver content than the form that the silver is in. This is starting to take place in the gold market today where spreads between krugs, maples and eagles are narrowing.

War nickels and 40% halves can be identifed through a mark of the US government, they are much more effort to counterfeit than rounds or bars and are perfect for barter due to their small size.

It pays to be contrarian. The wider silver investment community is happy to pay a large premium of $1.50 to $5 for shiny new 999 silver with a pretty picture on the front. I would rather pay 89c over spot for 40% halves or even less for war nickels.

As much physical silver as possilbe for as little as possible.

Ardent Listener
20th January 2009, 09:49
Getting war nickels for their silver content is good only if you can get 'em VERY cheap. They are not highly sought and are one of the least desirable government struck silver coins.

There's more silver in a 90% dime then there is in a 35% nickel = more value, with far less weight, and also far less bulky to store.

Refineries will not buy 35% except at a trememdous discount because it costs more to refine their complex alloy (35% silver, 56% copper, and 9% manganese).

MY advice is to pass on the nickels and get 90 or 40% silver U.S. or 80% silver canadian coins.

That's my opinoin of war nickels too. But it you can sort them out of general circulation then great. This a a link to a disscussion on them. http://realcent.forumco.com/topic~TOPIC_ID~2443.asp

Ancona
20th January 2009, 10:42
I don't know about the rest of youy, but I went ahead and bought four rolls of war nickles before Christmas. I like them.

Yeah, they're not fluid within the PM market, but if TSHTF they will be worth something. Besides, they are cheap and I think they're cool.

Ardent Listener
20th January 2009, 11:18
I don't know about the rest of youy, but I went ahead and bought four rolls of war nickles before Christmas. I like them.

Yeah, they're not fluid within the PM market, but if TSHTF they will be worth something. Besides, they are cheap and I think they're cool.

Don't get me wrong I love nickels too. I got about a metric ton of them including many war nickels. :) If you like war nickels then I can understand that. I think they will have more of a collector's value down the road. It is just that in my humble opinion there are much better silver choices out there if you are buying them anywhere close to their silver value.

goldminer
20th January 2009, 13:51
Tons upon untold tons of 90% silver U.S. dimes, quarters, half-dollar and dollar coins have been melted by many mints since the 1960's.

It is currently illegal to melt nickels and pennies in circulation...that's because the government wants the coins in circulation.

hiyosilver
20th January 2009, 15:33
It is currently illegal to melt nickels and pennies in circulation...that's because the government wants the coins in circulation.


That's to discourage you so they can sort out the copper cents and keep people from hoarding nickel.....I figure in the not too distant future there will be steel or aluminum composition coins, which are very common in other countries. If they do that, silver production will decrease even more...

Argyria
26th January 2009, 02:10
I don't like war nickels for the silver. That particular alloy readily tarnishes to an ugly brown color, no rainbow tarnish or black. And as others have said, you'll almost have to pay a refiner to take them. For coin collecting, sure I have a couple. To invest in silver, no way.

CoinHunter53562
28th January 2009, 01:16
I would stay away from them unless you can get them at a nice discount off of spot price. They are not too desirable for hoarding silver. I really only get them when I buy small collections from people and those are part of the deal, or if I see one at an antique store for 25 cents.

fansubs_ca
29th January 2009, 03:22
Thanks for the clarification! I'll trust your opinions, collectively, and focus on the 90% and 80%. Besides ebay, is there anywhere that regularly has Canadian 80% in stock? and would it be on par with US 90% as far as recognizability and trustworthiness?

APMEX will have Canadian 80% on a sporadic basis (ironically they are one of
the best dealers as far as spread goes) but basically availabllity is more iffy
than U.S. 90% unless you don't mind paying 12X face (the equivalent of $20
an ounce of silver) from Colonial Acres Coins in Ontario. Though at that point
it's a pretty poor investment as the nearest bid you'll find would be nowhere
near that. The last time I saw some 80% listed at APMEX was around New
Years for a few days.

As for salability any Canadian dealer would buy the 80%, APMEX will
regularily offer a bid on it and any dealers in border states will buy it.
Of course I encourage people with some to sell to sell it to Generous
Jerry in Grand Forks, ND (same guy that has the fireworks bussinness)
so he'll be more likely to have some for me to buy off of him next time
I'm down there. ^_- (Or Treasure Island in Fargo, ND because they
do a lot of inter dealer trades with him. ^_-)

As far as bang for the buck you are just as well off with 90% but with
less overall effort. (Unless the premiums start getting a lot bigger which
could tilt the balance. ^_-)