Coin Collecting for Investment

Coins hold a wealth of information on their smallfor rare gold coins, and have coins appraised by a
faces, from the year of their birth to thegold coin expert to avoid large differences in price.
language spoken at the time, from the metals aCoins, which were printed on standardized weights
country holds valuable to the cultural influencesof precious metals and stamped with a
and historical figures that its people hold valuable.government guarantee of value, was the answer
The history of gold coins dates as far back asto this unwieldy, easily sabotaged trading process.
2,700 years ago. The first gold coins in the worldMinting problems don't only involve the writing on
were issued in Lydia around 640 B.C. certainthe coin. Sometimes a problem with the die
internet websites will provide you with a lot ofcauses a coin to be double stamped accidentally,
information about the history of gold coins.resulting in a very unusual form of rare coins.
Australia reveres its national animal with the GoldThe mintmark of the coin can usually be found
Kangaroo, for example, while China has a Goldnear the date and on newer coins the mintmarks
Panda with a lovely design that changes everyare as follows: "P" Philadelphia, "D" Denver, "S" San
year.Francisco,"W" West Point New York. Older coins
Because not many people know whatmay show the following mintmarks: "C" Charlotte
distinguishes precious rare coins fromNorth Carolina, "CC" Carson City Nevada, "D"
run-of-the-mill legal tender, these coins can remainDahlonega Georgia, "O" New Orleans.
in circulation for decades, until a lucky coinThe first vital piece of information that you'll need
collector recognizes them.when considering coin dealers is his or her
Coins can lose their brightness over time, andprofessional qualifications. Some important
you'll be tempted to polish them. The best advicequestions to ask include, does the coin dealer
is ... DON'T. Many collect coins to commemoratebelong to any professional groups? How long has
great events in their lives, a child's graduation, ahe or she been in business?
new baby...or to mark historical events such asCoins that were only issued or circulated for short
the Queen's Golden Jubilee.period of time also make good collectibles. A coin
Some people happily collect more commoncollection is at its best if it is focused on a certain
everyday coins, going through their pockets atcoin. A collector can choose from pennies, nickels,
the end of the day for them is fun, checkingdimes, quarters and dollars.
dates and mintmarks on their change. SomeAnother way of collecting is disregarding the
collectors can spend thousands of dollars on raretypes of coins but concentrating on a certain time
silver and gold coins from the 1800's and earlyperiod. Coins have different mint marks and
1900's. Some collect coins from differentcollecting those that were struck in the same
countries.location can also be interesting. The important
Commemorative coins are a popular form ofthing for hobbyists is to stick to the collection until
collection, as are rare minted coins like thoseit has been completed.
which had an error in their stamping. If a certainFor a good start subscribe to a coin publication
set of coins doesn't interest you, it won't be anysuch as Coin World or Coinage Magazine for
fun at all to become a collector.information on the types of coins that you might
Most coin dealers will charge a lower premium onwant to collect. The internet or a local coin shop
the sale of coins to their best customers. Aftercan also help expand the search for those coins
all, it makes good business sense to get the mostthat can't be found in your locale or out of state.
profit possible from a person who will do businessBuilding a coin collection will take a long time -
with you only once.months or even years. The United States has
Design Types of US Coins and Coin Collecting Coinproduced so many coins that it is hard to keep
collecting is a fun hobby that anyone who has thetrack of them. By deciding on the coin(s) you
time can do. A coin's history and its developmentwant to collect, the challenge to complete that
can be learned by collecting them. At one point incollection begins.
time, between 1838 and1933, the United StatesToday, building a fascinating collection of coins
issued gold coins for circulation. The Liberty Headdoes not have to be expensive, and everyone
bust was used as the design until 1907. Thecan participate in this exciting pastime. An avid
design was then changed to the Indian Head andcoin collector will be able to tell you virtually every
Saint Gaudens motifs until 1933 when the "Greatpiece of history that surrounds any coin in their
Depression" started. This prompted the recall ofcollection both because they tend to specialize and
the coins which makes it very rare to find any ofbecause knowledge is one of the most important
them today. The most valuable coin in the worldfactors when it comes to starting and maintaining
is the 1933 Double Eagle. This was a $20 gold coina collection of any value or worth.
that was made in the 1800's after the CaliforniaPossibly. In 1991, only 459,000 25-cent coins were
gold rush. This coin was not allowed to be used instruck (the annual number is usually closer to 100
the 1930's and when this coin was auctioned inmillion). 'Mint State' versions of these coins are
2002, it sold for nearly eight million dollars.worth about $8.
Since gold coins are hard to find, most collectorsA good number of coin collectors collect coins
select other coins.according to themes. The coins they collect all
One type of collection you might consider is thehave a common topic. Generally speaking, putting
one made up of coins that are flawed when thedemand aside, the more scare/rare a coin, the
coin was minted. If you can find a coin with ahigher its value. This is usually very true, especially
misspelled word, a wrong date, off-centerwhen comparing dates within the same series.
characteristics, or double-punched marks, theseSome precious coins with double stamping include
coins are valuable. Such mistakes can increase adoubled-die Lincoln cents from 1972, 1983, and
coin's value from $50 to a $1000.1984, and a doubled quarter minted in New York
Coin collecting for investment purposes can be ain 2001.
tricky endeavor. But as time goes by, the numberWhile there are some real gold coin enthusiasts in
of these coins go down. Some get lost and somethe internet, there are also those people who are
are damaged beyond recognition.posing as gold coin collectors and are just looking
Buy quality! Buy quality! Buy quality! That's all youto rip you off. You can get a silver locating device
hears these days when you are considering rareor a magnetic pole for finding loose coins in
coins as an investment.ditches, under cars, or in other hard-to-reach
The Augustus Saint-Gauden Double Eagle is widelyplaces. Or simply rely on your eyes to identify
considered to be one of the most beautiful coinsthose gleaming metal circlets of potential wealth.
America has ever produced.The development of two large coin organizations
For most gold coin collectors, there are the highlyin the mid-to-late 1800s, the American Numismatic
coveted rare gold coins and a lot of gold coinSociety (ANS) and the American Numismatic
collectors are interested in these rare gold coinsAssociation (ANA), helped spark American interest
that they will offer high bids just to be able to getin building and maintaining a coin collection.
their hands on these. Always be on the lookout