Coin Collecting Myths - Part 3

Part three of this series is a combination of coinnumismatimists everywhere. However, the four
and metal detecting items that should assist youkey factors in determining value and investment
in building your coin collections. I am amazed bypotential are rarity, quality, supply and demand.
the mistakes that I have made as a collector orWhen coins are judged according to these
witnessed others doing in the name of purchasingstandards, gold is not all that glitters. As a
or procuring numismatic items.collector, our decision to invest should not be
Myth #1: You should always buy the highestmade in relation to a coin's metallic composition or
grade coin you can afford.its intrinsic value.
This myth has been around about as long as dirtMyth #4: Toned silver coins are worth less
and is very convincing. Sometimes it is actuallymoney.
good advice, for high grade coins usuallySome self-acclaimed experts have perpetrated
outperform lower grades. The problem with thisthe myth that natural toned silvered coins are in
myth is the word always. Th word always shouldessence damaged goods. This is neither true and,
only be used in terms of making sure you getin fact, is very misleading to collectors. The
your money's worth. Values of specific coin itemsbeautiful natural toning that takes place over a
are not always stable. Proof 63 coins in recentlong period of time will work to protect the coins'
years have been very stable in performancesurfaces as well as enhancing its value to
whereas Proof 67 and 68 grades have been on aknowledgeable collectors.
roller-coaster performance in this same timeMyth #5: Metal detector coin finds are worth less
period.money than coins found in normal circulation.
This myth also has a negative effect onThis myth came into existence as a buyer ploy
youngsters in the hobby who may have a limitedto get the seller's coins for substantially less
budget. Tell them to spend their money on one ormoney than their coin market value or worth. I
two high grade coins when they can fill manyrecently took several coins to a major coin show
holes in their collection by buying less pricey lowerthat were dug finds. My purpose was to see if a
grades is a mistake. Many will get discouraged anddealer, without knowledge that I had used a metal
drop out if they have too little activity and theirdetector to find the coin, would make me a fair
collections are growing too slowly.offer for it. One coin was a pristine half dollar that
Myth #2: Slabs used to house certified coins areI graded at MS 60-61 and believed to be worth
vacuum-sealed and contain no air.about $300. Two dealers looked at it and both
This is a very common error. Certificationgraded it at a high AU level and made offers of
services sonically seal the coins. They do contain$250 and $270. That falls well within my standard
air, but are air tight, not allowing in any air fromof 60-75% of value in selling a coin to a dealer. I
the environment in which they are stored. Inalso offered a silver dollar on ebay, that two
essence the sealing is done by high-pitched soundsother dealers at that show said was only worth
used to convert energy into heat that fuses$18-20. The final bid on that cartwheel was over
together the two hard plastic holder pieces.$30.00. While these are only two very recent
Vacuum-sealing wouldn't be practical because itexamples, I have actually found, time and time
would require pressing the plastic right up againstagain, that there is a mystique on ebay for metal
the coin and thus damaging it.detector finds that frequently bring higher than
Myth #3: Gold is always a better investment thannormal prices. This could be a fad taking place but
silver, nickel or copper coins.it is good for us treasure finders. Here's to "diggin
Gold glitters, is glamourous and its high intrinsicIt"!
value makes it extremely appealing to