 Silver Storage
Larry LaBorde
August 2, 2004
If you are
finally ready to plunge in and make that first time silver purchase
one of the things you have to decide is where to store the silver.
By now you probably know that you need to purchase silver as
a hedge and have thought about it for awhile. There is just that
nagging problem of where to keep it. Well as they say, "the
devil is in the details." This article is about those storage
details that every silver owner has to deal with sooner or later.
The first thing
to determine is exactly how much volume and weight we are talking
about. Just for illustrative purposes figure a small silver investment
of $20,000 in 100 oz bars (roughly 30 bars). The weight would
be 30 x 100 oz (troy) = 3,000 oz total. Note that we are talking
about 205.7 pounds (avoirdupois). In metric terms this is 93.3
kilograms. The size of a poured 100 oz bar is approximately 6.5"
x 2.5" x 1.25" or roughly 20.3 square inches. The total
volume of our 30 - 100 oz bars would be 609 cubic inches or 0.35
cubic feet. Therefore to carry this to a place of storage would
require a box or stout bag about 13" long x 9" wide
x 6" tall. A luggage carrier with rollers would also be
helpful with the weight. If you can not roll the silver to your
destination you would need to break it up into small 50 pound
boxes to make it easier to carry. This is a good time to enlist
the help of a friend. This much silver can be a handful to shuttle
all by yourself to a bank vault.
Now that we
know how much our hypothetical order weights and measures we
need to figure out a place to store it. There are numerous places
to store your silver.
The first and
most obvious is a bank safe deposit box. Check with your local
bank for box rental rates. Be sure and list yourself and anyone
else who may need access to the silver on the signature card.
Most couples may want to list Mr. OR Mrs. on the box rental form.
Consult with your estate planning attorney to make sure your
spouse will not be locked out when you die.
Most people
are not aware of several private vaults that operate with the
security of banks but without the banking regulations. These
companies are more like mini-storage units that simply rent vault
space. Most of these vaults are very private. Some can open the
account with just a name or ID number and will allow access to
anyone with the password/code and the key - much like a numbered
bank account. No social security number is required at most locations.
Several examples of these type storage units are:-
The Security Center in New Orleans - located in the old
Federal Reserve building
www.securitycenter.com
Sovereign
Solutions
in Las Vegas
www.sovereignsolution.biz
Zurich Depository
Corporation
in Manhasset, New York
www.zurichdepository.com
Bank House
Lockers Ltd
in Middlesex, England
www.bankhouse.com
...as well as many others. My favorite is the Security Center
in New Orleans. Their facility was built by the Federal Reserve
years ago and is quite solid. They have safe deposit boxes, lockers
and closets for rent within their large spacious, two story vault.
You can also
store your silver in a bank vault with a segregated storage agreement.
HSBC in New York provides this service for customers with
numbered 1,000 oz bars.
Finally you
can store your silver bullion in your own home/business/private
safe. There are many good used bank safes on the market if you
do not mind a ding or two for a very reasonable price. The biggest
cost involved can be the charge to deliver the safe and get it
in place. If you choose to go with a private safe be sure and
read my past article on
Richard Feynman - Nuclear Physicist (and safe cracker). Many
people are scared to death to keep $20,000 worth of silver at
home hidden in a secure safe but do not think twice about parking
their $40,000 car outside on the street. Some people will keep
$20,000 at home in cash that weighs less than a pound and will
fit into a coat pocket. That same amount of silver is almost
impossible for a thief to carry off by himself due to its weight.
There are many
clever ways to keep your silver stored and away from thieves
of all types. Just have a plan before it arrives.
Don't let your
fear of where to store your silver delay your purchase any longer.
Decide on a storage plan and order your silver today.
August 2, 2004
Larry LaBorde
 Silver Trading Company
318-470-7291
website: www.silvertrading.net
email: llabord@aol.com
Larry lives in Shreveport, LA with his wife Puddy, and sells
precious metals at the Silver Trading Company.
Larry can be contacted at llabord@aol.com. You can view his web
site at www.silvertrading.net.
Send questions, comments or corrections to llabord@silvertrading.net.
"Please note that I am by no means a financial advisor and
all investments should only be made after performing your own
due diligence." -Larry
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