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JerrySpringer
Penny Hoarding Member
669 Posts |
 Posted - 05/10/2008 : 07:22:05
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How have your yields on pre-82 Lincoln penny copper and other coin finds been going over the past years? Is the ocean of coins showing signs of being "over-fished" ? I guess it is my nature, but I figure that since I started this new hobby (and in all honesty, a very cheap one to pursue) I probably am late to the party. I sense there is some hesitation of businesses and banks to deal with coins, either loose change or rolled up, in my area. Has it been like that as of late for many of you posting here? I am trying to determine a dump bank right now, but that will come in time. My bank has many branches but they are spread over, so not an easy choice to get a multiple of them on a day run.
Funny that I am actually concerned that my newfound interest could become obsolete in a very short time. I assume many of you here have been doing this for years. I bet it is always fun to see what things you find in your coin runs.
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c140cessna
Penny Collector Member
USA
419 Posts |
Posted - 05/10/2008 : 07:44:16
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Not too late....but be smart...do not abuse your banks...be nice and respectful. Build a relationship. Spread the load around as much as possible.
Get going ASAP....this will not last that long.
There is an Ocean of pennies....but we seem to keep fishing the same surf near shore....it can get over-fished at times....you will get dud boxes from time to time.
The key is to be cative in the hobby over the long haul of several years....to get them while you can.
My guess is that once the hobby hits main-stream....the banks will have rules to limit our activities....it will be bank fees that run us out of the hobby long before the lack of copper....just my guess.
People have had zinc dump problems in the past....this will only get worse.
I'm hoping that zinc prices will jump up to the point of motivation to hoard these as well.....than only needing to dump the steel in the future....the copper will allways be 3X to 5X the value zinc....so that is the prefered hoard metal...but zinc is getting closer everyday to being sound.....currently over $1/lb but needs to be about $1.80/lb to be sound.
Get going - stop wasting time.... |
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JerrySpringer
Penny Hoarding Member
669 Posts |
Posted - 05/10/2008 : 08:10:03
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| Thanks for the comment. What stimulated my newfound pursuit was utter disdain for the new low interest rates and contradicting message it is sending about cash is king right now. I am no economist or even close, but I see that the only safe things to invest now are things that have no time-cost penalty -ie- lost interest payment value due to dead money. Maybe I have flaky reasons for coin collecting so far along in life, I do not know. Once the copper pennies and CuZn nickels are gone, that is it though. |
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c140cessna
Penny Collector Member
USA
419 Posts |
Posted - 05/10/2008 : 08:41:06
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| I trade Fiat Paper for sound metal every chance I get. We have nearly no saving outside our hoard....mostly copper and lead - tons of each. I even dialed back my 401k as to just meet the company match....to take home more $ to use in hoarding. Some of my hoard is speculative investment that i used home equity line to finance....current interest on HELOC os 4.25%.....rather have copper...even at 4.25% interest cost. |
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JerrySpringer
Penny Hoarding Member
669 Posts |
Posted - 05/10/2008 : 11:10:22
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I have to share something here. I feel like part thief when I go into banks getting real metal for paper now. Currently finding a good yield on pre-82 Lincolns on my runs. I am wondering if banks will start getting memos sooner or later to limit/restrict how much in copper they let out of their vaults. Gladly, many places I am making the rounds on probably think I am kooky for asking for pennies. That image helps to limit the interest it may spark. If summarily one day we start getting a cut-off on the penny rolls, we can suspect that copper may be heading to go through the roof. Who knows? Right now, this hobby has been easy and actually I am finding silver coins and old wheat cents on my penny and nickel runs.
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JSutter
Penny Pincher Member
214 Posts |
Posted - 05/10/2008 : 11:27:25
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I even dialed back my 401k as to just meet the company match....
I put as much as possiblein my 401k then take loans against the 401k to buy PM's. The interest paid on the loans is paid to myself and the more you contribute to your 401k the lower your taxable income is. It's the best of both worlds. |
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c140cessna
Penny Collector Member
USA
419 Posts |
Posted - 05/10/2008 : 13:55:49
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quote:
Originally posted by JSutter
I even dialed back my 401k as to just meet the company match....
I put as much as possiblein my 401k then take loans against the 401k to buy PM's. The interest paid on the loans is paid to myself and the more you contribute to your 401k the lower your taxable income is. It's the best of both worlds.
I agree this is a better deal up-front....but I'm concerned about future tax rates being sky-higher....would rather pay tax now....buy PM/Base metals and just sit on them.....
Another concern is complete dollar collapse and/or stock market crash....do not want too many funds tied up there...rather hold my real money right now.
But, thanks for the comments....you are correct....I just have these other concerns.... |
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CoinHunter53562
1000+ Penny Miser Member
USA
1805 Posts |
Posted - 05/10/2008 : 14:13:46
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quote:
I agree this is a better deal up-front....but I'm concerned about future tax rates being sky-higher....would rather pay tax now....buy PM/Base metals and just sit on them.....
Another concern is complete dollar collapse and/or stock market crash....do not want too many funds tied up there...rather hold my real money right now.
But, thanks for the comments....you are correct....I just have these other concerns....
I have mixed feelings on this as well. I see what JSutter is saying about the tax benefits and company match, but at the same time if the stock market or fiat system collapses then the 401K could become virtually worthless. I have changed my own savings style with spending what I would normally put into cash savings and moving it towards silver. I even moved a large part of my cash savings towards silver, while keeping my usual small focus on copper hoarding. I am not sure at what point I will feel satisfied with my silver hoard, but I have modest goals for copper (I hand sort 2 boxes per week with about a 31-32% Cu yield average). |
My hobby: collecting real money 1 copper cent or nickel at a time.
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fiatboy
Administrator
912 Posts |
Posted - 05/10/2008 : 19:18:09
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quote:
I feel like part thief when I go into banks getting real metal for paper now.
Don't think twice---enjoy the feeling!
And no, you're not too late.  |
"Bart, it's not about how many stocks you have, it's about how much copper wire you can get out of the building." --- Homer Simpson |
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topeka
Penny Pincher Member
160 Posts |
Posted - 05/11/2008 : 05:25:14
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| I had an (incredibly) small IRA mature last week. My interest rate was so small (1.5%/year) that I got disgusted and cashed it out. Even with the penalties I figure I will be better off in metals. |
Silver..poor mans gold
Copper..peasant silver |
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c140cessna
Penny Collector Member
USA
419 Posts |
Posted - 05/11/2008 : 09:30:52
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Another thought - I've heard "They can't tax what they don't know you have..."
The morality of taxing "profits" on gold/silver is very questionable....It is a "double-bend-you-over" tax: The money masters are taxing your purchasing power via monetary inflation = inflation = "invisible tax".....then they have the balls to tax your inflation hedge (gold/silver) at a very high tax rate....you made no profit...just held your own in purchasing power....
It is a system of evil bankers and politicians designed to screw you into the ground with no way to protect yourself.
I don't have to worry about these things as I only have 2 silver dimes from when I was a kid....... |
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WilliamC
Penny Collector Member
USA
471 Posts |
Posted - 05/11/2008 : 09:31:54
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As long as we can still buy the copper pennies at 1 cent each it's not too late.
My advice, buy as many unsorted pennies as you can afford, even if it will take you a while to sort them.
I agree with others that in the not to distant future it will be bank rules that will bring us down before anything else. Either a limit on how many pennies they will sell you, or a surcharge for ordering them, or refusing to take back the zinc.
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Sorting In Northwest Mississippi |
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n/a
deleted
20 Posts |
Posted - 05/12/2008 : 09:39:44
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| my bank already gives me a hard time...they wont give out boxes of pennies unless you're a commercial customer. but now they might recognize me so i wont be able to fake it... |
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El Dee
Penny Hoarding Member
USA
547 Posts |
Posted - 05/12/2008 : 10:24:37
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quote:
Originally posted by JSutter
I even dialed back my 401k as to just meet the company match....
I put as much as possiblein my 401k then take loans against the 401k to buy PM's. The interest paid on the loans is paid to myself and the more you contribute to your 401k the lower your taxable income is. It's the best of both worlds.
It's the best of both world as long as you have a personal guarantee from the president of the company that you will never be fired, that you will never be laid off, that the company will not fold.
If you take loans on your 401k then lose your job, you must repay the 401k loan. If you don't, THE ENTIRE OUTSTANDING LOAN IS A TAXABLE DISTRIBUTION, SUBJECT TO THE 10% EARLY WITHDRAWAL PENALTY.
If you can handle this, fine. But in my experience, anyone who has ever done this had a visit from Murphy not long after. |
Trust the government? Ask an Indian. |
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Am I late to this new hobby of mine?
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