Silver Rounds at $2.50 over spot
Silver Stock Report
by Jason Hommel, February 28th, 2009
Why are "rounds" called
"rounds"? Because the U.S. Mint reserves the use of the word "coin"
for government issued currency.
See: "Do refrain from advertising your replica
product as a "coin." "
http://www.usmint.gov/consumer/index.cfm?action=busguide&sub=BusReplicas
The
entire reason to buy silver is to get better value for your money.
Government is almost never as efficient as the private sector,
which is why we are able to offer rounds below the price of Government
issued Silver Eagles.
Why dump government issued overvalued paper
to buy government issued overvalued silver?
Instead, you can buy
more silver, if you buy it more cheaply, which is our goal to
provide, and is the reason why we have produced privately minted 1
troy ounce rounds.
We have reduced the price to $2.50/oz. over
spot. Compared with U.S. Eagles at $3.99 over spot, that's a
bargain!
Why do they cost $2.50 per oz. over spot? We
have a lot of costs.
We start buying silver at $.20 over
spot. On top of that, we have additional incidental storage and
transportation costs of about another $.05.
Then, we have
minting costs of $1.25/oz. Some mints charge as low as $.50 over
spot for minting, but their delivery times stretch out beyond 8 weeks,
which is unreasonable, and to me, is indicative of a brewing
default.
Packaging, including boxes, tape, and labor, costs us a
range of from $.20 to $.30 per oz.
Shipping costs us another $.15
to $.20 per oz., or more on 100 oz. packages.
That's a total of
about $1.93, but it's not that simple.
We discovered that when we
were paying the $1.45 for the silver when silver was at $10/oz., that we
"spent silver" to do that. As silver prices rose, we forgot to
calculate the cost in terms of 14.5% over spot, which at $14, is $2.03
just to acquire the silver rounds, not including packaging and
shipping.
So, for a while, we were losing money.
Further, we
cover our silver sales in one day. But when the silver price is
running up between 10 cents per day, to 60 cents per day, we have to
factor that in, too. So total costs can rise as high as $3.25 over
spot!
This weekend, our rounds are 25 cents off, to $2.50/oz.
over spot to reflect the price dip, and to try to increase
volume. If it does not work, prices will resume at $2.75 in a few
days.
I don't know how anyone else can sell 1 troy oz. rounds
for less, unless they are floating on customer money, or their mints are
doing that.
It is IMPOSSIBLE for us to float on your money, since
we ship immediately, as our customers will tell you,
below.
==========
On another issue, please check out our
feedback at www.seekbullion.com
http://www.seekbullion.com/user_reputation.php?user_id=100037
151 ratings, all 5 star.
Here's a few
comments:
Outstanding. UPS tracking number in no time and product
is on the way.
Received silver rounds in great
condition, packaged well upon arrival. UPS shipment within 2 days after my
wire transfer. Saving to buy more.
Product as described. Packaged
perfectly. Simple bank instructions. Quick turn around. I recommend this
seller.
Super-fast shipping and excellent communications. Rounds
are exactly as described.
Shipped immediately after receiving
transfer. Product was packaged securely. Received extra coin! haha
thanks
Silver arrived today in good order as expected. This
couldn't get much easier or more straightfoward. Thanks, Raldon
Smith
Very happy with the transaction. Just what I would expect for
someone of Jason's reputation.
Great communication, personal
contact on phone to resolve split payment issue, patience with local
bank's day of transfer delay, immediate ship once everything cleared, with
UPS tracking. Wish every online transaction was this professionally
handled, especially bullion.
Jason did what he said. My bid ended
on Saturday the 8th, I wired my money to his simple and easy to follow
instructions first thing monday morning the 9th, and I received my 100 ozs
of pirate silver friday morning on the 13th. The biding was easy, no one
was there till the last couple of hours, I put my one top bid in at 1600,
and got the rounds for 1540. It was a great exsperience and I am going to
do it again as soon as I get the cash. Dom
Simply the best place to
buy silver.
Outstanding purchase experience. Wired money on
Wednesday, silver arrives on Friday! It doesn't get any better than this.
FYI I visited a local coin shop and the best he could do for delivery was
30-60 days, if then, ha! I look forward to doing more business
soon.
=====================
WIRES ONLY!
Some people
wonder why we cannot accept checks or credit cards. We cannot accept
any form of delayed payment. Some have suggested that we could
simply delay sending out the silver. Not so. We cannot buy
back the silver until AFTER we get your money. Therefore, we take a
risk being sellers, because of that delay. Thus, we cannot lock a
price, and get a check that is "good" 10 days later, because who knows
what the price will be 10 days later!
From Monday to
Thursday, and Saturday our auctions start ending at 7pm,
Pacific, in about 2 hours from now.
Sincerely,
Jason Hommel
In case you miss an email,
check the archives:
http://silverstockreport.com/ssrarchive.htm
www.bibleprophesy.org
You can buy silver in
lots of 100-500 oz. at my auctions at www.seekbullion.com
Auctions end M-Th, Sat, At 7PM Pacific, but you can place bids anytime, 24/7.
Wires only. USA Shipping only.
You can also buy silver at www.momsilvershop.com
Mom will
ship overseas, and also in lots of more or less than 100
ounces.
See us also at:
Rocklin Coin
Shop
4870 Granite Drive, Rocklin, CA 95677
http://rocklincoinshop.com/
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