Do UK Coin Dealers REALLY purchase direct from Mints ?

You often see it advertised on Coin Dealer web pages and in adverts that stock is purchased direct from Mints both here in the UK and abroad - but HOW TRUE is this claim. 

Well as an established UK Coin Dealer with a MAJOR BUYING POWER, we shall tell you the truth.

There are VERY FEW  UK Coin Dealers that have DIRECT purchasing contracts with the Mints from around the globe.  As a MAJOR UK Coin Dealer we hold an account with ONE ONLY - the UK Royal Mint.  We have tried to set up accounts with others, but unless you can spend in the millions, most do not want to even enter discussions.  In fact some of the Mints DO NOT WANT too sell direct to UK dealers.

THE ROYAL MINT

It is relatively easy as a UK company to set up an account with the UK Royal Mint and purchase direct from them.  We ourselves have in the past purchased direct from them, and will possibly do so in the future.  HOWEVER, we often find it more advantageous to purchase through a major distributor RATHER than direct from the Mint, because the way the trade discount is worked, the bigger the volume you can buy the better a discount you get.  Therefore we often work with big distributors who can buy in bigger volumes that we can, and they in turn can give us the right prices.

THE ROYAL CANADIAN MINT

With the exception of Westminster (and you know how expensive they are ?) we do not know of a single UK dealer that has a direct contract to purchase from them. We are not even sure if Westminster buy direct from the Royal Canadian Mint. IN FACT we do know from personal discussion with the Royal Canadian Mint at trade fairs, that THEY DO NOT wish to encourage direct links in the UK

THE US MINT

Again, we do not know of a single UK dealer that buys direct from the US Mint.  We have heard rumours that unless you can 'talk' in figures of £1M they do not even want to talk with you.

THE PERTH MINT - Australia

To our knowledge, at the time of producing this article, we know of only ONE UK Dealer that has a direct contract with the Perth Mint

THE AUSTRIAN MINT

Again we only know of ONE UK dealer that directly purchases from the Austrian Mint, and they happen to be the same dealer as above !

THE MEXICO MINT

We are not aware of any UK dealer having a direct purchasing account with the Mexico Mint.

We do know of a bullion dealer WORKING in the UK that DOES have major contracts with a number of the above Mints, but although working in the UK they are a European company - you can probably guess who they are !

SO - next time you see a company advertising that they buy direct from a Mint, so are able to offer you great prices, ask yourself - IS THAT REALLY TRUE ? Our opinion is that the claim is UNLIKELY to be the case ! 

If we are not purchasing direct from Mints with our buying power and over six years of trading accounts, there must be a good reason !!

DISCLAIMER:  This article has been produced by our Director at Weighton Coin Wonders, and is based on his personal knowledge and experience.  It does not necessarily reflect ACTUAL situations or circumstances, but is based on supposition from information collected over a period of time.

18 High Street, Market Weighton, YORK. YO43 3AH

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Weighton Coin Wonders are members of the British Numismatic Trade Association