Need to liquidate, help!

[dpsarshott]

So I have a fair amount of silver in storage in a London vault bought through a well known UK dealer, I'm holding several 1kg bars and a large stack of 1oz Britannias. These were always intended to be a long-term hedge but as luck would have it I need to liquidate due to some unforeseen circumstances. My problem is however, if I sell back to the dealer they will only pay 0.1% over spot for the lot, and i'll lose the VAT I paid. In hindsight this strategy wasn't the smartest move but it's where I'm at. Could anyone see a good way of getting the best return on what I have? My thought was to take delivery and then sell through the forum here or on ebay - however as a new member this may be slow with understandably cautious buyers. Thanks in advance.

[Stacktastic]

7 minutes ago, dpsarshott said:

So I have a fair amount of silver in storage in a London vault bought through a well known UK dealer, I'm holding several 1kg bars and a large stack of 1oz Britannias. These were always intended to be a long-term hedge but as luck would have it I need to liquidate due to some unforeseen circumstances. My problem is however, if I sell back to the dealer they will only pay 0.1% over spot for the lot, and i'll lose the VAT I paid. In hindsight this strategy wasn't the smartest move but it's where I'm at. Could anyone see a good way of getting the best return on what I have? My thought was to take delivery and then sell through the forum here or on ebay - however as a new member this may be slow with understandably cautious buyers. Thanks in advance.

I feel your pain, the Brits should be easy to shift I would say, especially in batches of 25. You can always use Back Yard Bullion as he does a middle man service. 
Yes you will have a job getting trust if you have no history on here and especially Ebay, but I guess you need to sell fast. 

The bars should be quick sales to some of the members that melt it down and make thier own, but you wont get much more than what you originally paid atm. 
Stick some photos on would be my advice - with date and your forum name to start, you never know?

[HighlandTiger]

13 minutes ago, dpsarshott said:

So I have a fair amount of silver in storage in a London vault bought through a well known UK dealer, I'm holding several 1kg bars and a large stack of 1oz Britannias. These were always intended to be a long-term hedge but as luck would have it I need to liquidate due to some unforeseen circumstances. My problem is however, if I sell back to the dealer they will only pay 0.1% over spot for the lot, and i'll lose the VAT I paid. In hindsight this strategy wasn't the smartest move but it's where I'm at. Could anyone see a good way of getting the best return on what I have? My thought was to take delivery and then sell through the forum here or on ebay - however as a new member this may be slow with understandably cautious buyers. Thanks in advance.

All depends how quickly you need the money. Getting delivery, and then reselling here or online, could take weeks. If it was me, I'd take the dealer offer and chalk the loss down to a big learning experience. You can always make your fortune in the years to come, once you've got over this hurdle. 

Good luck whatever you do.

[DarkChameleon]

Sell 9nly what you need to, some sell too much and regret it..sell just enough is my recommendation...if you're going to lose dont lose your shirt, I've sold 20, 30 ozs for a loss but it covered my next purchase, this is why buying silver or gold is a free money 8nvestment, never invest what you're going to need back in three months, you won't make and will almost certainly lose money.

If you want to avoid the taxes and premium horror then buy etc and not physical then you can make money.

[dpsarshott]

Thanks for all of the speedy replies. Yes, a learning experience for sure but as I mentioned this really is something out of the blue. I will have a look at Back Yard Bullion for a start and also have some Philharmonics for sale here on the forum (which are in my possession) to see if I can get some low value sales to my name. Thanks again for the help.

[Nick1368]

well said @HighlandTiger and @DarkChameleon , I agree with them .

If I were in your shoes I would take the dealer option too , yes you will lose money but you lost money the moment you paid VAT on your silver purchase anyways , just take the loss , learn from it and move forward .

 

 

[Fadeingstar]

All depends how quickly you need the funds. If it is a case of you need them tomorrow then selling to the dealer and taking the hit is the only way. If you need the funds in a week or 2 it could be worth listing on here if you start listing items at £20-£22 an oz for example which is just over £2-£4 over spot at the moment I get the feeling that it would fly off the shelves and you will of made some more money.

[Stacktastic]

1 minute ago, Fadeingstar said:

All depends how quickly you need the funds. If it is a case of you need them tomorrow then selling to the dealer and taking the hit is the only way. If you need the funds in a week or 2 it could be worth listing on here if you start listing items at £20-£22 an oz for example which is just over £2-£4 over spot at the moment I get the feeling that it would fly off the shelves and you will of made some more money.

Im wondering if the prices will have another pull back this month to £16 or thereabouts??
Now is the time to start shifting them.  

[Fadeingstar]

Well that is the other "gamble" no one knows what the future holds. Spot could drive down to £16 and oz and then you will be kicking yourself for not selling at £18 or it could contiune on the upward trend to £20 and then you will kick yourself for not waiting.

I think it all depends how quickly you need the funds really.

[Clens92]

How many Britannias are we talking?  I'm happy to buy in London and can pay cash; I'll pay a price that leaves me a profit but I'll cetainly beat the dealer offer by a decent margin.

[dpsarshott]

1 hour ago, Fadeingstar said:

All depends how quickly you need the funds. If it is a case of you need them tomorrow then selling to the dealer and taking the hit is the only way. If you need the funds in a week or 2 it could be worth listing on here if you start listing items at £20-£22 an oz for example which is just over £2-£4 over spot at the moment I get the feeling that it would fly off the shelves and you will of made some more money.

It's not immediate but 6 weeks or so would be required. I think taking delivery and selling in lots is the most sensible option, thanks.

[dpsarshott]

1 hour ago, Clens92 said:

How many Britannias are we talking?  I'm happy to buy in London and can pay cash; I'll pay a price that leaves me a profit but I'll cetainly beat the dealer offer by a decent margin.

375 of them, in tubes of 25. Think I'll start with selling the kg bars and go from there depending on how much I can bring in. I'm in Suffolk and not able to travel down so would have to post using Royal Mail special.

[Realwealthuprising]

Honestly I dont think the reputation thing is a problem. A guy came on here this year and went from 0 reputation to selling 20oz of gold in a few weeks.

He basically was flexible with the first sale and took the risk as the seller by sending the coin before payment (to a buyer with good reputation of course) and once the delivery was done recieved payment. He advertised on his for sale thread he was doing this and after it went through he had the good faith of the forum to sell his other 20 odd gold coins the normal way with payment first. I bought a couple myself.

Anyhow its an easy fix if you want a quick sell just have a good price and be flexible with the firrt sale.

[dpsarshott]

9 hours ago, Realwealthuprising said:

He basically was flexible with the first sale and took the risk as the seller by sending the coin before payment (to a buyer with good reputation of course) and once the delivery was done recieved payment.

A good idea, thanks.

[Masum]

Please list the kilo bars specifics

[dpsarshott]

1 hour ago, Masum said:

Please list the kilo bars specifics

6x Metalor 1kg bars, currently in Brinks

[Arganto]

If you have some weeks worth of leway confirm with Brinks the timescale for delivery (because of CocknBalls19) and if it's workable take delivery (provided you have short term storage of course). Sell the metal on here and reap the benefits, i.e. many % over spot as compared to liquidating quickly through a dealer. People luuurrrrve Metalor and Royal Mint bullion. The premiums happily paid on big bars that are from recognisable/premium refiners are surprising if you're only recently initiated to the PM world.

Good luck to you, I hope you do well.

 

[Pete]

For the sake of argument let's use current silver spot rounded to £18 per ounce.
You say you have 6 kilos in bars and 375 Britannias ( maybe more ? )
That is 568 ounces worth £10,224 to a bullion dealer.
Assuming you paid 20% VAT then provided you paid less than £15 per ounce ( excluding VAT ) you will recover your cost.
That was feasible during most of the last 7 years up to June 2020.
So your decision to use a bullion dealer will depend on when you purchased your silver and what price you paid.
 

Obviously you would like a better price so you have a couple of choices.
Also depends on the years of mintage as some dates attract nice premiums now
So for non premium Brits -

(a) Price at spot + 10% on this forum and you should find buyers quite quickly, maybe even the same day as you list, so less than £20 per ounce.
Sell the bars individually and the Brits in lots of 20 or 25 ( full tubes ).
You also need to advise coin condition as a lot of Brits depending on the year were badly scuffed and spotted.
Poorer condition coins would most likely require a lower price to sell quickly.

(b) Sell at spot +20% meaning £21.60 and you should be able to find buyers, perhaps after 4 days, once non-premium members see your listings BUT you are now competing against the European main dealers.  As a reference I recently took delivery of 100 new Britannias for less than this amount including shipping and before spot fell about £1 per ounce.

(c) Sell on eBay if you can get the £1 max selling fee and expect to sell a tube of 20 coins for maybe a net after fees of £450 ( £22.50 so circa £23.80 each before PP and SD )

It would also be worth your time checking out the historic bullion coin and bar sales sold by one of our renowned sponsors Arshimo.
Check how quickly he sold his silver, sometimes in minutes !!
Compare with silver spot and trend around the time to gauge what buyers would also have been doing just before making their purchases.

Can you share the information i.e. what are the mintage years of your Brits ?
Hope this helps summarise so you can consider your options.
What you need to ignore completely however are the coin prices shown on many well known dealer websites.
Good luck in choosing and I am sure there are others on this forum that can assist further.

 

 

[Paul]

why has no one suggested just getting a personal loan, its never been cheaper to borrow cash  - 3-5% should be easily got if youve got good credit

even a £10k credit limit on a new card is easy enough with the big boys HSBC, MBNA, Halifax, IHG

You gonna be clattered with a 20%+ VAT bill for these you neither want nor wish to pay and take losses 

Another good example here of precious metals should not be dipped into if you will need to realise the cash anytime soon 

had the silver been in bullionvault, click click, you would have been set and funds on way back to bank

holding physical is not for everyone 

[Stacktastic]

4 minutes ago, Paul said:

why has no one suggested just getting a personal loan,

Bounceback are 2% over 3 years with no redemption charge for early repayment. 
You need a business account for that, they are throwing them out!! 

Never been a better time to get credit, wont last forever. 

[Paul]

that is also an option - the bounce back business loan @Stacktastic 

https://www.moneysavingexpert.com/loans/cheap-personal-loans/#7.5k

Cheapest loans £7,500 - £15,000

• Cahoot    2.8% rep APR    
• TSB    2.8% rep APR    
• M&S Bank 2.9% rep APR 
• Tesco Bank    2.9% rep APR    
• MBNA    2.9% rep APR

You need not be saddled for many years paying it off, the majority of loans now allow overpayments to decrease amount and term of loan 

[Gypsy]

I thought vat was not applicable if metals are held in storage. Please correct me if I’m wrong. Thanks. 

[Fadeingstar]

I think you have to pay the VAT when you take delivery?

[dpsarshott]

6 minutes ago, Fadeingstar said:

I think you have to pay the VAT when you take delivery?

Yes, VAT payable when taking delivery

[dpsarshott]

4 hours ago, Pete said:

 

Can you share the information i.e. what are the mintage years of your Brits ?
 

 

 

They are 2020, purchased 1st quarter of the year