90% Junk Silver Bag - $100 Face
Overview
“Why would I buy a bag of junk?” Good question. But rest assured, this is not really junk, as the name implies. Instead, this is a collection of quarters and dimes that are 90% silver. All of these coins were produced prior to 1965, when the U.S. Mint still made dimes and quarters using 90% silver. This means that the face value is 10 and 25 cents respectively, but the actual value of each coin is much higher, due to the silver content. Similarly, the face value of this collection is $100, but the actual value is significantly more.
“Junk” Coin History
Between 1795 and 1965 (nearly 200 years!), dimes, quarters, half dollars, and full dollars were produced by the U.S. Mint primarily using silver. Like today’s coins, these coins were made intended for everyday use. Similarly, gold was used in many everyday coins. However, as the price and value of gold and silver continued to climb, the Mint realized that the precious metal content of the coins was becoming more valuable than the face value, so they changed the recipe. In 1933, the Mint stopped using gold in its everyday coins, and made the same decision with silver in 1965. However, pre-1933 gold coins and pre-1965 silver coins still exist today, and are sought out by many people for their historical and financial value.
In short, check your pockets and spare change piles for pre-1965 coins, because they are likely worth much more than their face value! Don’t use them to buy a soda or water from a vending machine!
People often collect these pre-1965 silver coins because as more time passes, the coins become more valuable. This is because of two primary reasons. First, the value of silver, over time, has historically always increased (there are periods of decline, but long term growth is consistent). The second reason is Gresham’s Law: “when coins of equal face value but different intrinsic value are put into circulation side by side, the coin with the higher intrinsic value will be hoarded and only the coin of lower intrinsic value will remain in circulation.” Consider a per-1965 dime and a modern dime. Each year, more dimes are produced, adding to the total number of modern dimes in existence. But pre-1965 silver dimes have a finite number, which will never grow. Thus, they become more and more valuable as the gap between silver and modern dimes widens.
Value of Junk Silver Coins
All of this begs the question: how much are “junk” silver quarters and dimes found in this collection worth, if it’s more than the 10 and 25 cent face value? It’s a great question, but there is not a simple answer. The value depends on a number of factors: the current price of silver, the quality and condition of the coins, and the current economic state. For example, say silver’s current price is $20 per ounce. A pre-1965 quarter would then be worth about $3.62, or nearly 15 times the 25 cent face value of the coin, due to its silver content. The same theory is true for dimes and other pre-1965 silver coins.
The coins were once in circulation for everyday use, so they are not in mint condition. However, the silver content remains the same no matter what. As the price of silver grows, as many experts expect it will over the next several years, so will the value of these silver coins. If the coin is worth 15x its face value today, imagine how much it can be worth in 10 or 20 years, or longer!
$100 Face Value Junk Silver Bag Description
This junk silver bag with a $100 face value is comprised solely of quarters and dimes, all of which are pre-1965 silver coins with the same silver content. In total, the bag contains 71.5 ounce of silver. Going back to our previous example, if silver is valued at $20 per ounce, then the total approximate value of the bag is $1,430. This figure is 14.3 times higher than the face value of $100. Hopefully by now you are starting to see the true value of this investment, and how the name “junk” can be very misleading!
Why Buy This Product?
Again, this is a great question to ask. Are you an investor? This is a great way to acquire a fairly large amount of physical silver in one transaction that has the ability to grow in parallel with silver’s price. Are you a collector? This will give you a lot of new coins to add to your collection. Are you into U.S. history? Here is a great way to own a piece of the country’s history. There is another reason as well, one that resonates very well with some people. Namely, if the economy collapses, these junk coins will have a practical purpose once again, in a society where our modern currency suddenly has no value anymore.
For centuries, silver has been used as a transactional tool, meaning people bartered, traded, and bought goods with silver. In a world where the dollar is worth nothing, these pre-1965 coins will still carry value, because of their silver content. A modern day quarter, like a dollar bill, won’t mean anything in this scenario, but a coin made of 90% silver will still have value. It will be advantageous to have a collection of silver dimes and quarters, because it will allow you to make smaller, everyday transactions and trades without having to give up a coin or bar with a much higher silver content.
Junk silver bags are a great and unique idea for gifts, or a family heirloom to pass to future generations. This purchase includes free shipping and insurance, which adds value to your investment as well. In addition, you can receive a price discount if you purchase via a wire, check, or ACH transaction, while a credit card purchase will cost you a bit more. Please feel free to contact us with any other questions you have about this or any other silver or gold product.
