Tuesday, December 02, 2008

The Great Silver Safari, leads to a trophy.

A rumour came across my desk this morning that there was wild silver roaming the streets near my place of employment. Always ready for a challenge I donned my fiat currency patterned cammo, grabbed the Save the Orphan charity box from the local Tim Horton’s and proceeded into the wilds of downtown Toronto in search of elusive silver.

The light dusting of snow aided little as the small foot prints of silver rounds were soon stomped out by the great cloven feet of bay street executives. Being unarmed and without the protective powers of a six digit lawyer (or is that 666 digit lawyer) I skirted around these bestial creatures with their pointed horns, acidic drool and fetid breath.

3 times I walked up and down Bay Street until I heard the pure ring that only a silver coin can produce right in front of Scotia Plaza. Keeping near the walls and shadows I worked my way towards the currency desk, crawled past the security guys who always give me that “you’re not dressed well enough to be in our bank look” and finally standing and sprinting to the head of the forming line of other wild eyed metal buyers.

Things were looking good until I realized I had just picked the smuggest little shit of a teller I’ve ever encountered in 4 years of dealing with metals. He did not want to chat about the metals market, he told me that there is no shortage just no small bars(duh, the market wants something and it does not exist, to me that is a shortage), he would not tell me how much the received in the recent shipment, I did not even bother asking about what was selling and what was not because he was just too snotty.

I told the teller I write on Silver and I wanted to know how much they had before I informed my readers to drop by and he responded, “Don’t write about it we don’t want a panic in here” Well mister snotty, I hope I do have enough local readers to cause a panic and I hope they all lecture you about the realities of the silver market.

What really mattered however is I bagged the silver, the hunt was successful and I can tell you Scotia Bank received a load yesterday of brand new , 2009 Silver Maples and if the past is any guide it was probably in the range of 30,000 ounces, which lasted 2 weeks last time they got them in.

They also have Scotia brand 1 oz silver bars which should sell a little cheaper and be PST free compared to the Maples. MR smug also claimed big bars were not in shortage so 1000s should be available.

I can also tell you with some certainly that Scotia has gold bars and rounds in 1oz and fractional sizes because I saw them being sold, this a.m.

I hope this little find will be of use to my local readers and please DO cause a panic at the desk.

I also wanted to thank all those who voted for me last week and let you all to know I made the final round of the Canadian Blog Awards coming in the top 5 of 22 nominees.
For those interested please drop by and support the only real money blog in the running this year,

Good hunting


nitroglycol said...

I only went to Scotiabank for silver once, and I found the teller as irritating as you did. The transaction also took up pretty much my entire lunch hour. In comparison, my local coin dealer (Four Corners in Winnipeg) gives excellent service, can order stuff if you want to buy in bulk, and if you don't he generally has a decent selection of junk silver. I don't plan on dealing with Scotiabank again if I can help it.

CHR said...

As usual, would love to hear the price breakdown on what you paid for these Maples, relative to the US$ spot price at the time of purchase.

I still assume that I can't afford to purchase this way, given the premiums you are paying. That's before factoring in the cost of a trip to Toronto!

To this point, I still seem to be able to find folks who want to sell silver to me and that is the cheapest way of all to acquire it (set your own price, no GST/PST nonsense of dealing with a coin store, seller more likely to deal).


Carter Apps, dabbler of stuff said...

13.80 U.S.
exchange rate. 1.27
service fee 5.00
Pst 35.77

total 482, for 25 rounds

CHR said...

Thanks LoW! But please bear with me; I've never been to the 'bank' to buy silver, but I'd like to understand it further.

I think you are buying maples as you have mentioned before that you collect and/or gift them. This price would be cost of each maple, in US dollars. Do you know if the Scotia silver was lower priced? By how much?

I am assuming that any difference between generic bars and maples would be the bank's mark-up. Added into that cost per maple. I am trying to understand how much the bank is adding to the price (over their 'high-volume' spot price per oz or their 'high volume' purchase price of maples from the mint). After all, 30,000 is kinda 'high volume'!

I appreciate your offering up the purchase details and would encourage that type of sharing so that we can compare cost and availability. I've been buying mostly sterling lately and have pretty much given up on the coin stores due to their price overhead;
just like the banks, sorta.


A said...

Finally, I hate dealing with Scotia but I will try my friends up in Richmond Hill. I have to start saving up enough silver to buy my first home in 2012 with about 500 oz.

Anonymous said...

Well, LoW. I went back to TD Canada Trust to surrender my silver certificate, and they said didn't have any silver. I then explained to them that rumour had it that Scotia Bank received 30,000 ounces of silver that morning. The securities dept told them that ScotiaBank wouldn't sell them any silver.
Once again, I explained my position, and told them theat they were in "breach of contract" and that it was not acceptable. I was asked if I would like an explanation from TD's legal dept, to which I said yes.
Within the hour I received a call from the branch with a proposed compromise. I would purchase 100oz of silver from ScotiaBank, and TD would buy my certificate for the cost of the silver.
I agreed, and the next morning I purchased 100oz of silver, and brought the receipt to TD. Which they said that they would deal with during trading hours the next day. Everyone's happy right???
TD calls me this morning, and tells me that they won't refund me for the silver - They claim that they will not buy coins - only bars. (I wish they would have told me this earlier)
Long story short... I now have 100oz of physical silver being delivered by ScotiaBank next week, and a contract with TD that they refuse to honour....
LoW I send you a copy of my certificate to your hotmail address. Anyone else hold worthless silver certificates from TD that they want redeemed for silver? Any interest in a class action against TD?
I contacted the OSC today, and they don't know too much about these certificates, but they did give me some more leads. I contacted TD's ombudsman this afternoon.

Anonymous said...

Thanks for the heads up LoW. I went down to the Scotia Plaza today and purchased 50 maples. As it turned out, the CSR I dealt with was actually helpful (bald French dude) and explained the fees breakdown etc. The only drawback was being dinged with a 1.29 exchange rate. I have to say, it was my first time at the Scotia Plaza and relatively pleased at the outcome. Peace.

CHR said...

So .. where's Scotia Plaza relative to Union Station? Sounds like there is a certain counter? Do they have
better information on what they have in stock, at the time of order or do you order what you want and then they give you what they have, after the wait?


Carter Apps, dabbler of stuff said...

sorry to get back late, computer issues at home all weekend.


Get out the bay street end of union station, go straight up bay a couple of lights

the Scotia Plaza is on Bay ST on the entire block from King To Adelaide on the east side.

there will be an entrance facing onto Bay, Go in through that area which is relatively unused and through to the new section , past the big round teller area to the far wall, You will see the Metals and currency exchange area.

Anonymous said...

LoW, first let me say your blog is excellent. Thank you for sharing your information and opinions.
I have recently purchased Silver Maples from ScotiaBank for the first time. They took two pieces of information and wrote up an invoice ... they have evidence of the transaction. My previous purchases have been at coin shops where no personal information was revealed. My question is, at some point I am assuming you will convert your Silver into cash. Will you then claim capital gains?

Anonymous said...

Of course to do otherwise would wrong and unethical, and since they know you have the bullion to do otherwise would be inviting audits.

With the big pieces I will have no choice, the small pieces howver will either go to my kids or if things get really shitty used for barter because of the collapse of fiat money. How you calculate captial gains in a failed currency I have no idea???????????

Rick said...

Stupid question, but is Scotia's currency counter at their downtown location the best place in Toronto to buy silver maples?

I can't find how they determine what the price is for silver maples? And are there any service or admin fees?

I live in Toronto, so don't want to pay shipping. Wasn't sure if it's best to go to coin & currency in richmond hill or scotia downtown for silver maple coins..

How does Scotia determine the price of silver maples? Spot plus something? I wanted to buy a small amount, maybe 3 or 4. Wasn't sure if they have flat-admin or service fees?

Anyone buy maples from there? How did the determine the price?

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