How to Buy the Cheapest Silver Coins

Silver investors care about two things: the value of the metal today, and its prospects for tomorrow.

And with the U.S. dollar losing more might every day, the value of raw silver has never been in greater demand.

For investors like us, it has never been more important to understand how to avoid costly premiums that add nothing to the value of the commodity you're trying to acquire when you buy silver coins.

Take a look at the following premium rates for these popular bullion coins, which have "legal tender" status.

The percentages listed below represent the average premium you'd pay right now above the value of the raw metal alone:

• American Silver Eagle — 21%
• Canadian Silver Maple Leaf — 15%
• Austrian Silver Vienna Philharmonic — 16%

For investors seeking only to benefit from owning the metal, paying this 'cost to play' is counterproductive, to say the least.

The cheapest silver bullion coins are privately minted.

Lacking the status of legal tender, and with little to no collector's value to speak of, these bullion coins maximize the purchasing power of your dollars.

Here are a few to consider and their average premiums right now:

• Pan-American Silver — 8%
• NWT Mint Silver Bullion — 8%
• Sunshine Silver Rounds — 6%

Whether you decide to go with these or with another brand of privately-minted bullion coin, remember to shop around for the lowest premium. Armed with this information, you'll guarantee yourself the most silver for your buck.

Good Investing.