Silver bullion is the purest form of silver with a content of 99.9% silver, and typically comes in rectangular bars, (also known as ingots) rounds, or coins. Silver bullion bars typically come in 1, 10, 100 oz. and 1,000 oz sizes. The 100 oz. bars weigh 6.86 pounds and the 1,000 oz. bars weigh as much as 70 pounds. Silver bullion rounds are preferred at times over bars because of the similarity to silver coins and ease of trading or use as money.
Silver bullion in the forms of coins includes the American Silver Eagle, which is minted from 99.9% pure silver. Maple Leafs, Kookaburras, and Britannias are also pure silver bullion. These silver bullion coins are not intended for general use or to be included in coin circulation. They are considered as collectables and items for precious metal investment. Silver bullion coins are usually minted in smaller quantities and this makes their price higher.
Where Should You Buy Silver?
When purchasing silver bullion, silver bars and rounds are more economical. Once you decide to purchase silver bullion, you can choose to buy locally or online. Buying online is simple, fast, and convenient. Buying online allows you the choice to have your silver stored at a storage facility run by the online dealer so you won’t have to worry about how to store your silver bullion at home. You must be sure to do your research and investigate the reliability, reputation, and other customer reviews of the dealer. Check their customer satisfaction policy and return policy.
Silver bullion bars are minted by many companies with the most popular bars being Engelhard and Johnson-Matthey bars. These bars are no longer minted as Engelhard stopped production in 1980. Each silver bullion bar is engraved with a unique serial number and beautifully embossed with the name Engelhard. The Johnson-Matthey silver bullion bars are no longer minted and have individual serial numbers and the company name embossed on each bar. These premium bars are offered by online dealers and local dealers. These are guaranteed to have 99.9% silver alloy content.
To purchase silver bullion at the spot price—the current market price minus any added premiums from dealers, it’s more advantageous to purchase online. Online dealers have larger inventories, steeper competition from other websites, and wider client bases, meaning they can offer much lower prices than your local gold and silver shop. Plus, you can browse the listings from the convenience of your home so there is no pressure to make your decision like you’d have with an in-person purchase.
Purchasing silver bullion online or locally that is a bit below quality or has gone from owner to owner may enable you to get the closet to spot price as possible. It’s rare to find silver bullion at the absolute spot price from dealers whether online or local, as they are not usually willing to waive their premiums. Knowing if the price of silver took a drastic jump in price at the end of the day can allow you to shop locally and receive the price before they realize the change. Anywhere you choose to buy silver bullion requires you to understand the market and kind of silver bullion you are looking for.