Buying Silver in the UK

[valkyrie10]

With the current economic problems and rapidly rising Gold price, I'm feeling the need to buy some silver bullion as a hedge agains inflation and for post SHTF currency. Please don't tell me I can't eat silver I know, I've already tried it. I'm already well stocked with food etc...

Does anyone have any idea of where I can purchase silver face to face, Cash (No paper trail), and close to spot price.

The price of silver on ebay seems to be way higher than spot, and all the mail order sellers charge VAT on top of the spot prices.

If anyone could suggest any options it would be appreciated.

[GENT]

You will be charged VAT anywhere you buy from retailers, only Gold is exempt.

[Northern Raider]

Try coin marts or coin collecters meetings, Y'know the sort of thing y see advertised in village halls when the local coin collecters gather to swap and barter.

[tiberius]

As an investment, you can buy a shares in exchange traded funds in commodities.
For example.
PHAG is a stock that buys physical silver and therefore follows the silver price almost
exactly.
LSIL is a leveraged ETF that goes up 2% if silver goes up 1% and similarly in the downward
direction.
There is also LBUL for leveraged Gold bullion.
They are a way of buying silver without paying VAT, and can be traded very rapidly.
The silver spot price is incredibly volatile as you may now.

[ToeCutter]

DO NOT get involved in paper silver is my advice. Forget silver close to spot in the UK from my experience.

I would go for low premium bullion coin or rounds as it is a lot more fungible in hard times than kilo ingots. You will pay some premium for coin over bar but it is worth it, IMO, and can be recouped on sale.

If I were you I would look here. This guy is honourable and honest in my book.
http://www.weightoncoin.com/

I think you can buy at the shop for cash, but check over the phone with him.

Look into 1oz silver eagles or maples. Ask him for the price breaks if you are buying a quantity.

Don't put all your eggs in the silver basket.

I have some decent quality ingot I wouldn't mind selling but:
a) I think coins are a better bet for you
b) No way in hell I'm selling without paper trail (as I bought it 'on the books')

[ToeCutter]

By the way, the media is massively hyping PMs...
http://news.goldseek.com/GoldSeek/1313067600.php

When every man and his dog are buying PMs, you should be running in the opposite direction, because the herd is about to be slaughtered. I expect a spike in Gold followed by a major takedown.

I guess there is some argument for playing paper gold/silver at this stage as a short term play, but realise it's a gamble and don't gamble what you can't afford to lose.

[Hanfgeist]

Originally Posted by ToeCutter

By the way, the media is massively hyping PMs...
http://news.goldseek.com/GoldSeek/1313067600.php

When every man and his dog are buying PMs, you should be running in the opposite direction, because the herd is about to be slaughtered. I expect a spike in Gold followed by a major takedown.

Possibly true in the past, maybe not so much now, the gold price tracks the American debt ceiling and Mr Obama has just raised that, also Mr Bernanke is about to start QE3 (more money printing), Trichet is monetising the PIIGS and the Germans are advising their citizens to buy gold...........meanwhile people in other countries like France, greece, Italy et al are quietly removing cash from their accounts and buying precious metals. I agree with you on ETFs, you need to hold physical silver and gold.....

[tiberius]

There are pros and cons.
The ETF is useful for buying and selling to make money.
The physical stuff is what you need after the SHTF.
However, I expect the breakdown of trade to take several months.