Why Should I Buy Silver?

The price of precious metals can fluctuate in the market quite a bit. So you may ask yourself, “Why should I buy silver?” One of the best answers is that inflation is destroying the value of our dollar and the government debt is spiraling out of control. However, the problems could be much worse in the near future. We are printing money and issuing debt like its going out of style. Over time Silver and other precious metals have always held their value. We can not say the same thing about our own U.S. Dollar. But Silver and Gold are experiencing all time highs why should I buy now?

How can Silver protect me from inflation?

There are many good reasons to own silver. As an investment it holds its value very well over time. It’s price rises with inflation so it will perform better than any of the depreciating dollars you are holding on to.

Perhaps the best reason of all to own at least some amount of Physical Silver is for survival. In the event of a national currency crisis and hyperinflation, owning physical Silver could save your life.

During the great depression FDR declared a bank holiday where all the banks across the nation were closed for 3 days. This was done to stop a run on many of banks. Now those people who had all of their assets either on paper or in a savings account were simply out of luck and could not access their money. This is just one reason to always keep an emergency fund ready on hand, but what if that bank holiday lasted longer than 3 days? Or what if many of the banks never opened back up at all. In places such as Argentina and Zimbabwe hyperinflation has devalued their currency to the point where people literally needed a wheel barrel full of cash just to buy a loaf of bread.

This scenario seems almost impossible in the United States but some financial analysts warn that its much more possible than we would like to believe.

The United States has recently printed Trillions of dollars. Only a few years ago a ‘trillion’ dollars would seem like a made up number. This is a sure sign (and the cause) of inflation. To protect your livelihood from inflation you should invest in a diverse combination of Gold, Silver, and other precious metals. However silver rises and falls faster than gold.

Historically where gold has doubled in some cases Silver tripled or quadrupled in value. It is always possible for the prices to fall from their current highs. However in the current economic climate I would be more concerned with the dollar crashing instead. No matter what Gold and Silver will never be worth nothing. If their prices did take a dive I would just take the opportunity to buy even more and so would most of the countries across the world.

Why should I buy Silver, and not Gold?

Silver stands above all the rest when it comes to a situation where you would need trade and barter. Gold, while it has a tremendous amount of value in a very small volume, would be very difficult to trade with. Your single gold coin that is worth $1000 would surely be enough to buy anything you will need, but how would anyone make change? With worthless paper dollars or pennies and nickels? Silver coins are much more tradeable and come in more useful denominations.

Silver is also much cheaper than Gold and very easy to find. Before 1965 United States Half-Dollars, Quarters, and Dimes were all made with 90% Silver. Today the majority of coins are cupronickel, because even the copper in the pennies became too expensive in 1982 to continue making them. It would seem as if we have been robbed of the use of real money. Today we are issued worthless paper backed by nothing, and coinage with little to no intrinsic value.

How can I buy Silver?

The easiest way to buy silver is by going to any coin trading store, most cities in the country have them. Ask these pre-1965 circulated coins known as “Junk Silver”. It’s called this because it has no value to collectors and it is kept solely for its silver content. There are also many places to buy precious metals online.

The current price for dimes is about 1$, a quarter is $3 based on silver at 16$. A half-dollar goes for about $6 and silver dollars range anywhere from 12-20$ because of their value to collectors. So remember that “junk silver” will have less of a markup because its been circulated and the collectors are not interested in them. I am not interested in collecting shiny things, I am looking to protect my wealth and well being. So junk-silver will do just fine.

Once you have a good amount of Silver that you could use to barter and trade only then would I start to think about buying Silver Bullion, Rounds, or Gold. Gold is like buying insurance for your savings. Junk Silver is more like an emergency spending fund. Whatever you do, don’t sit around and watch your money slowly be inflated away. Protect yourself by owning physical gold and silver.