Coin collectors value all coins
Collecting coins is easy, and all coins are good to have. Coin
collecting is fun, safe and educational for you and your child.
Most people think that you have to buy coins to start a collection,
but you can begin with just the change in your pocket.
- Don't assume that all old coins will be in very poor condition.
If you are buying coins you can expect such coins to be in
respectable condition, even if it is over 500 years old. Of course,
as the age of the coin increases, the condition, if very good, will
add more value.
-
Find something to hold your coins. This does not mean that you have
to buy fancy coin holders (although this would keep them in better
condition). Coin holders can be fairly cheap or you can use an old
shoe box or peanut butter jar.
- Store in a safe place. If you are buying expensive coins,
invest in a safe-deposit box and containers that will not destroy
the numismatic value of your coins.
- Decide what you want to collect. You might like to collect
foreign coins or your home country's currency. Decide which
denominations you want to collect. Your budget may dictate smaller
denominations, though the larger denominations are sometimes more
interesting.
- Ask friends and relatives if they have old change, and then,
ask if you can have it or offer to buy it, depending on what feels
appropriate.
- Check with your local bank of financial institution. Many will
sell you rolls or bags of coins at face value.
-
Expand your collection by going to coin expos. You can also visit
your local coin dealer for buying coins and almost all the time
there's a cheap coin bin that is suitable for kids and adults
alike.
- Note that some people advise collecting coins out of pocket
change. Once a modern coin has been in circulation, it is typically
only worth its face value, although there are notable
exceptions.
- Understand grading of coins. Grading coins is often difficult
and there is a tendency for people to overgrade their coins. Also
beware that the US grading system rates more highly than the UK
one, for example a US graded "mint state" might not be as good as
an "extremely fine" coin in the UK.
- Note that the US grading system also has trouble with grading
hammered coins, those which were made by hand (with a hammer and
hand held dies) as opposed to milled coins (which are made by
machine).
- Coins can be a good investment. Coins have been growing in
value faster than the rate of inflation, as well as the interest
rates paid by banks. If you buy and sell carefully, there is money
to be made.
- Expect dealers to charge premiums (usually 20 percent on either
purchases or sales). To avoid being overcharged, however, find a
reputable dealer and use an equally reputable coin price guide. For
example, in the USA, the Guide Book of United States Coins,
or the Red Book are the best.
- If you are collecting with a child then the best thing to do is
probably to collect foreign coins, not any old ones. That way you
can also weave in learning about the cultures elsewhere at the same
time. You could also collect a country's last currency, as long as
it didn't stop being used 500 years ago.
- If you are going to purchase an expensive coin, a good idea is
to buy a "slabbed" coin, i.e., a coin graded by an independent
grading service such as PCGS or NGC. This gives the coin a more
concrete value.
- Remember that grading, even by a professional service, is
subjective ... and subject to change!
Warnings
[edit]
- Be careful about purchasing coins from online auctions.
Unscrupulous sellers often over-state the grade or conditions of
coins. Also, there are widespread reports of sellers not delivering
coins at all.
- Know that coins are considered speculative investments, which
is to say, their values (and prices) can go up or down.
- Avoid keeping coins in jars, shoe boxes, or most types of
over-the-counter plastic containers. If they rub together, their
value can be destroyed. Also, some materials can cause chemical
reactions that can adversely affect the coin's value.
- Polyvinylchloride can damage your coin. Over a period of time,
the sticky green film that can migrate from the container to the
coin can cause severe damage.
