Every new day sees silver prices soar to new records. The tumultuous financial environment means more people are turning to tangible means of storing wealth hence the demand for silver is set to keep up the pace even in future. If there was a great time to sell silver it would be now. If you are looking to sell silver bullion, here are the important factors tips you will need to follow;
1.Look around for different buy back prices: This is the first step before you even decide where you will sell your silver. First, establish the spot price but even then it is not enough to know what your bullion will be fetching on the market. It is recommended that you avoid Pawnbrokers and local jewellery shops. Shop around gold dealers or bullion dealers.
2.Be on the lookout for scam bullion buyers. As hard as identifying the right price for your silver bullion is, finding a great dealer to buy your silver is the harder task. There are several dealers who promise high rates to attract sellers of silver only to underpay with commissions or hidden fee’s. The best way to avoid this is by checking the online reviews of the dealers and confirm there are no hidden fee’s or commissions.
3.Whichever place you decide to sell your gold or silver bullion, you will need to understand the terms of sale, any extra charges you may incur depending on the transaction including shipping and valuation process used. Whether it is online dealer, or at your local gold dealer’s shop, you need to be sure the terms of the sale are favourable and fair before you commit to make the sale. This is especially helpful when you decide to pull out of the deal or you want to take back your silver. A reputable dealer should not charge you for a quote.
4.Find out how much under the spot price the dealer is willing to pay you. The spread is basically the dealer’s profit. When they are buying silver bullion from you, they will buy it below the spot price and when selling it they will sell above the spot price. Silver bullion should be somewhere close to 95% of the spot price since it has a smaller spread compared to jewellery that calls for melting and purifying costs. Avoid any dealer that is offering prices below 95% of the spot price.
5.Find out the payment method from the dealer, you want to make sure that you are paid instantly. This can be achieved in many ways such as Physical cash, Cash Cheque or EFT straight into your bank account. If you have a large amount of silver bullion to sell some smaller dealers need to first sell your bullion to pay you, try an avoid these smaller dealers. The big gold bullion dealers should be able to pay you with a Real Time Gross Settlement (RTGS) for a small fee. This means you can have cleared funds in your bank account within a few hours for that piece of mind.