Expert Information And Advice On:

    Coin Collection, Coin Collector, Coin Collecting Supplies
    Coin Collection Value, Coin Collecting Software, Collecting Coins
  Products        News        Home

The kind numismatic mistakes a beginner can make

A beginner in any field is bound to commit mistakes as a stepping-stone to success. However, being informed about the most common committed errors would help you keep away unnecessary trouble.

1. Do not pay up Too much:

The term though relative is highly applicable. To beginners who end up paying about 50% more money for an ordinary coin, this should be of a major concern. Of course this does not apply to those coin collectors who pay about 5% to 10% more for extra ordinary coins. The estimation of price of a coin is not an easy job. You should rely on the true market value of the coins by studying realised auction prices rather than relying on Coin World Trends or the Grey sheet bids. Again certain gold issues sell at large discounts depending on Trends. You should also keep a tab on the coins selling higher or lower the price guidelines.

2. Try to avoid buying from Brokers:

In numismatics, brokers are those dealers wanting to sell coins that he does not own. There is of course nothing wrong in this but it may save you 10-30% money if you buy it directly from a dealer who owns. You can find out whether your dealer actually is a owner of the piece you want by asking him questions like how the coin looks and so on. A person who does not own the piece will not be able to give you such details. Then again, it is okay to buy a piece from a dealer acting as a broker when he is attending some coin auction and finds the piece on your wanted list. However, check that the brokerage cost is reasonable.

3. Try to get Professional Help:

Often new coin collectors who end up spending thousands of dollars on rather unpopular coins. It is foolish not to ask for professional help at least in the beginning because dealers are likely to take advantage of your naivety. Not many of the coin collectors become experts, so there is nothing wrong in seeking help. Choose a dealer and build a rapport with him, ask the rest of his customers about his loyalty and competence in the field. A satisfactory report means you can give him your trust. Also, try to choose dealers who have a Professional Numismatic Guild membership.

4. Do not Buy Expensive Un-encapsulated Coins:

Beginners often end up buying non encapsulated coins or coins graded by third parties. If a coin is not graded by PCGS or NGC, chances are that they have been very liberally marked standards. So, if you find an un-encapsulated coin at an auction, leave it to the expertise of your dealer, making him your agent.

5. Buy a Set of Numismatic Books and Read Them:

A primary fault of a collector is to trade with no knowledge about coins. Rather than wasting money on ordinary coins, buy and read books that will make you competent to know the market.

Copyright 2008 All Rights Reserved | Privacy Policy