Ask the Gold and Silver Chick! Saving Old Nickels?

September 20th, 2011 by

Here’s a great question I received recently:

“Hi, I read an article somewhere that the author said to stock up on nickels because they would be valuable for the nickel metal content in a few years. And that the govt is changing them away from being made of nickel to another metal alloy. Have you heard of any of this? Like when the Hunt Brothers hoarded up all the silver.” :)

Thanks for asking! I have to remind readers that, due to legal restrictions on allowing GVC to give financial advice, we cannot advise you on the practice of saving nickels or other metals as an investment. But I will be happy to give my personal opinion and offer a few facts to help you with your choice!

It is a fact that it does cost our government  2 cents for every 1 cent made, and costs them 10 cents for every nickel made. Are they going to start using other alloys to make these…your guess is as good as ours. Gold has always been used to preserve wealth. Silver has been used as well, since the demand for Silver has always been greater than the demand for gold. This higher demand is because silver is used as an industrial metal.

All the gold that has ever been mined is still in existence today, because it’s either been made into gold jewelry or gold coins, or it’s been melted down and then formed again into jewelry or gold coins.  I hope that helps you make your decision.  Thanks for the question!”