With the price of silver rising steadily these days, most people realize that they can make a profit from of selling their scrap silver. There are numerous precious metal dealers and refiners that will buy your scrap silver, melt it down and reuse it. Following are some things that one should know about selling your old silver.
Common And Uncommon Items Containing Silver
One can sell most anything that is made up of a decent amount of silver – the general public realizes that things like sterling silverware, old coinage and 925 jewelry have some value, but there are other items like scrap silver electrical contacts that only people with special knowledge remove from old machiery, old appliances and industrial equipment. Another lesser known fact is that dental amalgam and film and xrays also contain silver and with prices heading higher the competition for these items will become more fierce.
Silver Electrical Contacts
I have purchased a great deal of contacts from various sources but the most common thing about the people who collect them is that they are either industrial electricians or involved in the demolition field. Most of my clients obtain their contacts for free so it is a nice little earner for them.
There are a few different types of contacts but they all seem to contain anywhere from 80 to 95% actual silver content. The smaller contacts pictured below (approximately the size of a dime) are difficult to extract the silver from as they are attached to an iron based alloy with cadium, this makes it difficult to separate the silver and it also creates toxic fumes if you heat them up too much to try to separate them yourself, my advice, sell the to someone who knows how to do it properly and has the right equipment. From my experience you can expect to yield approximately 50% of the weight, the silver that is extracted will be in the 80% range.
The second most common type of silver contacts are larger, thicker and easier to separate from the brass they are alloyed to, heating them up with a Mapps torch usually does the trick but again if you are unexperienced do not try this yourself. The picture below illustrates the larger thick silver contact they most scrappers are looking for. These contacts are great and are usually 90% + actual silver content.
Selling Scrap Silver Contacts
As you’ve probably noticed everyone and their brother seems to have a sign up saying they buy gold, places like, pawn shops, jewelry stores and cash for gold stores are not the place you’re going to be able to get a decent price for them. Firstly they likely not know anything about them, secondly if they do offer you a price they will be low balling you. Some precious metal buyers are familiar with them, and some refineries will purchase them but not if you do not have your own business.
When I buy contacts I pay 80% of the actual silver content, so let’s say you have 1000 grams of 90% silver contacts, this means you have 900 grams of actual silver, I would pay 80% of the 900 grams which works out to 720 grams of actual silver. Now you need to realize this is 720 grams of scrap silver equals 23.15 troy ounces.
You also need to be aware that 720 grams or 23.15 troy ounces of pure scrap silver is marketly different than 23.15 troy ounces of fine/.999 silver bullion. For example at today’s prices I would pay $32.65 per troy ounce for pure scrap silver whereas I would pay $36.55 per ounce for .999 fine silver stamped from a recognized refinery.
Selling Other Silver
There are a number of places that buy other scrap silver. Besides silver recyclers and silver refiners, jewelers and pawn shops may also buy scrap silver. If you’re interested in getting cash for silverware it is best to sell the items in question directly to a recycling business or a refiner, as one will often get a better price this way. One may want to check out a number of buyers and see which one offers the best price.
An individual who has a fair bit of silver to sell should invest in a silver testing kit. In some instances, the amount of silver included in an item is not clearly marked. In other instances, the stamp is inaccurate and does not reflect the true value of the item. By testing the silver, one will know how much it is worth.
The value of silver goes up and down. It pays to have a look at the market value of silver before selling it. Many refiners buy scrap silver at a certain percentage of the market value; wait for a time when silver is doing well and then sell it off.
Is it Worth it to Sell Scrap Silver?
While one can make money selling scrap silver, in some instances one can make even more money by selling the silver item as is. Antique silver items may be worth hundreds of dollars to a collector. The same goes for silver coins that were minted before 1964. One should do some research before selling off an old silver item and see how to make the most money off of it.
A person who wants to sell scrap silver right away should try offering it to a pawn shop or a silver coin dealer. However, one should keep in mind that pawn shops and coin dealers may not take silver electrical contacts and they will certainly not offer the best price for scrap silver items. If one lives in a town or city that does not have a silver refinery, then the silver items can be mailed in to a refiner or sold online. If the item is posted for sale online, one should take a clear picture of it and make sure the silver stamp is clearly visible in the shot. If one has proof that the item is made from pure silver, this should also be noted.
Selling scrap silver is not difficult once a person learns how to do it. By selling silver, one can make a bit of extra money off of silver items that are no longer used. It pays to take the time to find the best buyer. In many instances, a recycler or refinery will offer the best price for an item. If the silver item is antique, in most instances one will get a better price selling it as is instead of as scrap. Finally, one should make sure the item in question has been properly stamped.