Junk Silver

Junk silver is not garbage. Instead, it refers to silver-bearing coins that once served as circulating currency in the United States. Typically, these coins were 90% pure silver, although later versions only had 40% silver.

Because these coins entered circulation, they have a certain amount of wear and tear on them. However, because their underlying silver retains its value, they can be cost-effective options for investors of all stripes. So, let’s look a bit closer at these historical pieces of currency.

What Coins Have Silver?

The US Mint released its first silver-bearing coins to the public in 1794, two years after the Coinage Act authorized both the minting of such coins and the creation of the US Mint itself. Until the 1960s, all dimes, quarters, half-dollars, and some dollars were made with a 90/10 silver-copper alloy.

Thus, any coin of those denominations minted before 1964 is a 90% silver coin. In 1965, the Mint began phasing out silver due to rising prices and shortages and dropped silver from all coins except half dollars. The Mint released half dollars with 40% silver until 1971, then switched them to cupronickel, the copper-nickel alloy that is the primary material for most of our current coins.

Between 1971 and 1978, the Mint released a final silver-bearing coin with its production of Eisenhower dollars. These coins, which were 40% silver, were the last circulating coins in the US to contain silver.

What Kind of Wear and Tear?

Junk silver coins are not the sort of coins that are preserved behind plastic, never touched by human hand, or kept in climate-controlled secure environments. These are real coins that once occupied the pockets of Americans, who used them to trade for goods or services.

In short, they look used because they were used. So, they may not be terribly shiny. Ironically, the parts that are shiny are probably the areas where the top layer of metal has worn off. Their designs, or raised portions, don’t have the same level of detail anymore, and their edges and rims may be similarly indistinct.

Examples of 90% Silver Coins

The majority of silver-bearing coins produced in the US are 90% pure. So, it’s not hard to find examples of them that you might want to consider for your collection. As you’ll note, all of these options are early versions of coins that are still in circulation:

• Washington Quarters, 1932 – 1964: The Mint decided to honor the nation’s first President by placing his likeness on the quarter in 1932, the 200th anniversary of his birth. As was standard practice, the Mint minted the new quarter with 90% pure silver and 10% copper for the first 32 years of its existence. Its design should be familiar, as it is the same design found on our current quarters. However, the silver content of these earlier Washington quarters pushes their value well beyond 25 cents.
• Kennedy Half Dollars, 1964: President John F. Kennedy’s assassination in 1963 was one of the nation’s seminal events in the last 100 years. One immediate impact was the placement of the late president’s image on the half dollar – an image that remains the design of any half dollars minted this year. However, the 1964 Kennedy halves are particularly valuable and meaningful due not only to their historic circumstances, but the fact that they are the only Kennedy half dollars minted with 90% silver.
• Roosevelt Dimes, 1946 – 1964: President Franklin D. Roosevelt became the standard bearer for the dime after his death in April 1945. Like President Kennedy, he was commemorated shortly afterward by the US Mint, and his likeness remains the image on the dime to this day. However, any of these dimes pressed before 1965 have the added value of their 90% silver content.

Examples of 40% Silver Coins

As we indicated, 40% silver coins are a bit rarer than 90% ones due to their transitional nature. Their alloys were never meant to be the permanent mixture for coinage, but rather as a means of weaning the public off the silver-heavy coins.

That said, there are still a few examples of coins made with 40% silver that we have available. If you’re interested, consider one of the following options:

• Eisenhower Dollars, 1971 – 1978: The US Mint’s last silver-bearing coin entered circulation in 1971. The coins, which pay tribute to Pres. Kennedy’s predecessor, Dwight Eisenhower, were produced for seven years with 40% silver content. Interestingly, this coin series featured two different designs on its reverses despite the short production run. So, the Eisenhowers have either an eagle landing on the moon or a Liberty Bell on top of the moon – both referring to the successful Apollo moon landing in 1969.
• Kennedy Half Dollars, 1965 – 1971: While the 1964 version of the Kennedy half dollar is the only one to feature 90% silver, it wasn’t the only Kennedy half made with the white metal. The halves produced until 1971 contained 40% silver as part of the coin’s transition (along with every other coin aside from the penny) to cupronickel.
• War Nickels, 1942 – 1945: We’re cheating a bit with this one, as nickels produced between 1942 and 1945 contained only 35% silver, rather than 40%. However, these coins come with a fascinating story, as their existence is a product of the US war effort during World War II. Because nickel and, eventually, copper were in such short supply due to their use in munitions, the Mint briefly used silver as a primary component of the five-cent piece. The combination of their silver content and backstory make for a very attractive target for coin collectors.

Is Junk Silver a Good Investment?

Yes. For a couple of reasons.

For one thing, the value of junk silver coins is backstopped by their silver content. Much of what makes them valuable beyond their face values is the actual metal contained within them. Silver remains in a shortage to this very day, and it is an essential commodity for many growing industries. Thus, though there may be fluctuations to the spot price of silver, these coins will always be worth something.

The other reason may sound a bit counterintuitive – junk silver coins are quite affordable investments for collectors of all levels. In particular, their low relative price makes them both great for beginners and great as supporting pieces for experienced investors. In fact, a junk silver coin is an excellent gift idea, as some of the 40% coins sell for less than the price of a restaurant meal.

Get Started with Provident Metals

In short, there is little risk involved with buying junk silver. If you are ready to get started, we are here to help.

Our customer support team is staffed by trained counselors who can guide you through the sales process and advise you about the items themselves.

So, reach out via live chat, email, or phone. We’re standing by for you.