# Silver Offer



## invision (Aug 14, 2012)

I have a contact in the jewelry business, actual he has been a dealer on the WSOP circuit for years, his parents own a few jewelry stores in atlanta and he is currently getting GMI certified in NYC. His girlfriend just paid her way through med school by dealing on the circuit too for only 2 yrs.

I will share his offer to me with all of you.

The offer is sterling silver at spot - impurity x 90%. So if spot is $30/to. And you want 10 ounces it would be 9.25 Troy ounce x spot price x .9 = price.

These items would be non-weighted items like chains, bracelets, spoons, forks, etc.

All we would have to do is setup a way for him to get paid and shipping costs. 

It is a trust base thing I know... I have known him now for 6 yrs. And am going to order 10 ounces next month to see how it goes. If things go good, I can pass his info to all of you.


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## Jim1590 (Jul 11, 2012)

Why would this be better than going to my local coin shop and paying 2 bucks over spot for a American Eagle?

As long as you stay away from pawn shops, buying silver is pretty simple and no worries about payment shipping or trust.


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## invision (Aug 14, 2012)

Because your paying over spot? Your paying 6.2% over spot price. I am paying 15% BELOW spot price. So for every ounce you buy, versus what I buy, you paying 21.2% more per ounce. I just got 200 pre-65 dimes, for $376 - value 464. Your method you would pay 492. Doesn't make fiscal sense to me... But good luck.


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## CulexPipiens (Nov 17, 2010)

invision said:


> Because your paying over spot? Your paying 6.2% over spot price. I am paying 15% BELOW spot price. So for every ounce you buy, versus what I buy, you paying 21.2% more per ounce. I just got 200 pre-65 dimes, for $376 - value 464. Your method you would pay 492. Doesn't make fiscal sense to me... But good luck.


Sounds too good to be true... if this person is selling to you so cheap, how are they planning on staying in business? Why wouldn't they just sell at spot or spot+markup and make more money themselves?


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## invision (Aug 14, 2012)

He does sell above spot, but I have known him for years as I mentioned... He gets at 75% of spot when fools walk into one of his family's we buy gold/silver stores.... So he is making money on it, not as much as he would if he sells on eBay. It's because he knows I am a friend and will be buying $500 a month off of him. Once you take into account the eBay changes and the 5% PayPal charges I am not paying that much less than a normal customer, plus with me there is no shipping charges cause I am local to area. Make sense now?


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## Marcus (May 13, 2012)

CulexPipiens said:


> Sounds too good to be true... if this person is selling to you so cheap, how are they planning on staying in business? Why wouldn't they just sell at spot or spot+markup and make more money themselves?


Because the dealer will net more money since he won't have to pay for the silver to be smelted down into a more useable form. I'd also opine that the dealer pays quite a bit below spot and built up a hefty inventory at much lower prices.


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## invision (Aug 14, 2012)

Marcus - I actually asked about that since I now have the equipment to smelt too... See if I could do some bartering... They have the same in-house equipment as i just bought...


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## Jim1590 (Jul 11, 2012)

Nope it does not make any sense to me. You are buying $500 a month off of him? Thats a lot of old coins and grandmas shiny forks. Sure you can smelt it at home, but in a barter situation, I won't take it. Why would I trust that what you have is actual silver? I am not questioning your integrity or anything, but I would rather deal in known mint coins and bars. Old coins also work but I think in a SHTF situation, most people will call a dime a dime regardless of the date on it.

I also would not knowingly buy from someone paying far below spot for silver to people that are selling because they presumably need the cash. If I walk in with a ounce of silver, I would expect something very close to spot price. Undercutting it by 20% (giving him 5% profit after your 15% discount) is very shady in my eyes. And yes people do not need to sell to him, and I am willing to bet that people will stop selling to him once they get wise. And at what point will he "run out" of cheap silver when your orders come flowing in? 

I will keep paying a bit over spot for my eagles, art bars and such. Thanks for the offer though.


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## invision (Aug 14, 2012)

Here is a good one, I have always worn a half rand as a necklace. I was in south Atlanta one day and had to fill up the car. I also decided to grab a drink. Usually I wear the necklace under my shirt, but it was hanging out and the cashier lady goes, is that gold? I was like yes, a 1/2 ounce. She went on to ask the price of it, I said what ever current gold price per ounce was times .5 at minimum. She goes that must be new gold then. I go huh? She then explains that she took her mothers rings to a local we buy gold place and told her that since it was old, it wasn't worth the same as new gold, offered less and she took it. They should be shot for those business practices. Yet, in the normal case, as a businessman, I can understand offering less than full price, that is what happens at Pawn shops. Guy wants $2000 for something worth $4000 and they offer $1000 and settle on $1500


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## invision (Aug 14, 2012)

Oh yeah, in regards to melting the .925 - that is why the have silver and gold testers. I have enough to last quite a while, when commerce starts up again, if it is gold/silver, I plan to be able to tell if I am trading for 14K 10k or 24K...


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## Jim1590 (Jul 11, 2012)

This is all well and good if we are doing commerce amongst ourselves after everything collapses and is getting rebuilt, we know kinda how to go about it. But the general public (those who survive) will not have the gold or silver testers and I am willing to bet they would be very leery taking someones word for it that sure, its real. 

Didn't a major bank in England just find that an unknown amount of their gold was filled with lead?

As for that old gold new gold crap. I would have turned around and walked right out of the store. Now if your friend says that he only pays x amount under spot, then I am fine with that. People know what is going on. But the We Buy Gold story you mentioned is why it is such a chancy thing. I would rather deal face to face than get over the internet or a forum or whatever. It may just be me, I got burned after my wife shelled out $50 for what she thought was a good deal. She didn't read the entire auction (or understand what a mils is.) So now I make sure I hold the silver, inspect it, build a relationship with the person I am buying from. My current source is a store literally spitting distance from my house. We walk there to buy our coins. And being repeat customers, the guy won't want to try and screw us.


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## BillS (May 30, 2011)

invision said:


> Because your paying over spot? Your paying 6.2% over spot price. I am paying 15% BELOW spot price. So for every ounce you buy, versus what I buy, you paying 21.2% more per ounce. I just got 200 pre-65 dimes, for $376 - value 464. Your method you would pay 492. Doesn't make fiscal sense to me... But good luck.


If you're paying below the spot price then you're ripping people off. Or you're doing business with people who are. Frankly, I don't think anyone in their right mind would sell silver below the spot price. Something doesn't smell right here.


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## invision (Aug 14, 2012)

Nothing smells, I am simply a strong negotiator. Let me give you two of my best contracts negotiations for clients as an example... 2 EMC San, 2 Clarion San with WORM drives, 4 EMC mail xmerge software licenses, 8 dell servers, Win server licenses, exchange server licenses, plus installation of all the EMC equipment - all for a new clustered exchange solution, fully redundant between two sites across country, knocked $150,000 off initial quote. My second one, i saved another client over $6000 a month in telco charges in renegotiating a new 3 yr contract and added 3x bandwidth. That's over $200,000 in savings... I got 10% of savings for that one as a bonus plus my full hourly rate for the 80 hrs it took to nail it down. That client now resells my services as their own for a 25% pure-profit margin, and we manage their entire network and backup close to 4TB of data to our data centers per month.. They doubled my business in 2 yrs.

It's all about the ability to create a strategy, work your network, and find the best cost/product. The guy I am buying off of, knows that I also buy my fair share of high end jewelry - Yurman, John Hardy, Jäger LeCoultre, etc. He knows some of my contacts, and knows several (including myself) are watch nuts... So, I know he is hoping long term I will switch from Brown & Co. Why? Because he has seen our (my wife and my) jewelry, knows how much each item costs, and knows that I sold a $25,000 watch for B&C by making one phone call to a friend and telling him he needed to check out a new watch line that they just got in that day. My buddy came in 20 minutes later, looked at the 5 watches they had, and picked out one on the spot. Bang! Now B&C bends over backwards MORE than they did every time I walk in the store.


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## BillS (May 30, 2011)

invision said:


> nothing smells, i am simply a strong negotiator.


lol

scam!!!!!!!!!!!!!


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## Jim1590 (Jul 11, 2012)

Huh, getting a quarter million saved off of what was probably a several million dollar contract (my father is a senior project manager / VP for EMC in Hopkinton MA, one of those project guys that sets up those systems, deals) isn't all that big a thing. You could have just considered to switch to a different system.

As for a watch, that sounds great. You have rich friends.

BillS is right, when you deal with someone who is ripping people off, it is only a matter of time until you are ripped off as well. Using a dealer that will pay that much under spot is nuts. People will not be happy learning they got ripped off.


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## invision (Aug 14, 2012)

Try initial quote was under 1MM... saved around 30%... ask your dad.. not that big of project... each san was only 4TB.


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## LincTex (Apr 1, 2011)

JimMadsen said:


> when you deal with someone who is ripping people off, it is only a matter of time until you are ripped off as well. Using a dealer that will pay that much under spot is nuts.


?????????? How do you figure? Those "We Buy Gold" places in Texas offer 50% of the real value!!!!!

Seriously.... every one is located in a pawn shop, smoke shop, "car title loan" or "paycheck loan" place. ALL OF THEM RIP PEOPLE OFF - - so get over it.

I dealt with one - one time - for an experiment. I brought my PM's in knowing full well what they were worth. They offered 50% of spot.

YES - it IS insulting, but these people play on the poor.

The lady at the gas station selling her mother's rings probably makes $32,000 a year. If she sells mom's rings for $1200 (real value $3000 plus) then what does she know? Obviously NOTHING! Did she familiarize herself with the true market prices going in? NO!! HELL NO!! That is how she got played, by being a stupid idiot. She hears "$1200" and in her head she hears KA-CHING!

Gimme the Ben Franklins, i gotta run.....


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## invision (Aug 14, 2012)

Anyone ever watch Pawn Stars and Hardcore Pawn?

Rick In Vegas, IMO does a decent job, there have been times when people had absolutely no idea what they had, a faberge pendant was one I remember off the top of my head. Why? Because as soon as they showed it, I said to my wife, that is faberge, not costume... It's gonna be worth a ton. I was right, and Rick did the right thing, offering her enough, but still being able to make it a sale with a nice profit.

Btw - Rick's store is tiny, but the clientele range from the lowest class to the highest of wealth. 

Now look at the Gold's store in Detroit, MI, i haven't been in that one, but I have been on 9 mile rd. and at night.

He and his family offer not even half of value, but his clientele is NOT the same as Rick's they make their living off the poorest in Detroit as you can obviously tell from the show. Most are not educated and probably don't make $35,000 a year. It's a person's own job to educate themselves, not for the business owner of a pawn shop too. One episode a lady was claiming an Asus netbook (new $299) was worth $500 because it was an iPad thingy... Really? Yes, she was about as smart as my dog, Crackhead.


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## Marcus (May 13, 2012)

What's the going rate?
Whatever the market will bear.


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## mojo4 (Feb 19, 2012)

Don't feel too bad about the killer deals invision! Most of the gold and silver they sell to those shops was probably from a midnight window liberation operation. AKA, a burgalry. Some local thug was arrested for selling crack while armed with a 9mm. A pre WW1 german luger (lugar??) 9mm worth several thousand. Dumba$$ didn't know what he had jammed in his pants was worth a heck of a lot more than the crap he was selling. Apparently he claimed he bought it off some junkie for $50. Crime pays, but not that well if you're an idiot.


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## invision (Aug 14, 2012)

Oh I have no pity for those who can't educate themselves. I really didn't feel sorry for the clerk, cause she could have looked up the facts BEFORE making a shitty deal. Her lose.


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## LincTex (Apr 1, 2011)

You can always tell a neighborhood and the income level of the residents by the number of "Car title Loans" and "Payday/Check Cashing" stores in the area...


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## invision (Aug 14, 2012)

True that...


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