Coin Values
Written by Martin on February 6, 2008 – 10:22 am -Exploring Coin Values in Coin Collections
Coin collecting is a very interesting hobby; it is also known as the hobby of kings, and has been around for centuries. It may have started as hoarding money and for gaining wealth but as people noticed differences or quirks in the coins they may have kept them for the aesthetic value. People might have also kept coins as records of the times or of the coins themselves.
Nowadays, coin values are determined by more than looks. Collectors have established guidelines as bases for coin values. These guidelines are used all over the world to determine the values of coins. Two major factors that determine coin values are popularity and grade.
Determining Coin Values
Popularity is a prime factor for determining coin values. If a number of people want to acquire a certain coin, the demand for the coin increases, making the value of the coin higher. This is the law of supply and demand. When there is a high demand for a certain product, a supply for it is usually provided to meet the demand. If the supply is limited, the price or value of the product usually goes up. The demand for the certain coin raises the coin values and the price of the coin. This kind of limited supply makes the owners of the desired coin very gleeful because their coin has a higher value.
The problem with coin collecting is that sometimes popularity wanes and when it does so do the coin values and selling price. Some of the sought after coins during certain periods of time may have lost their popularity now making the coins lose value. The Morgan Silver Dollar which came out in 1878 – 1921 is one of the more consistently popular coins.
Another determinant for coin values is the grade of the coin. Grading systems for coins are either adjectival or numerical. Many proposed adjectival systems passed and now the most commonly used are the Poor, Fair, Good (G), Very Good (VG), Fine (F), Very Fine (VF), Extremely Fine (EF), About Uncirculated and Uncirculated (Unc). Sometimes, two of the adjectives are joined together to describe a coin more accurately; such as VF-EF or G-VG.
Other adjectives are sometimes coined together with the adjectives listed above for more specific coin values. Adjectives such as Gem and Choice are used to describe the grade of a coin. More words are also used to describe a coin fully and to indicate if it has other marks or nuances which make it more valuable or less valuable.
Posted in Coin Collecting | No Comments »
Coin Grades
Written by Martin on February 3, 2008 – 11:37 am -System For Coin Grades Leaves Room For Subjectivity
While appraising coins has become a field requiring licensed individuals, one of the key aspects of a coin’s value is its grading. While there are different methods different appraisers use to determine coin grades, the system devised by Dr. William Shelby is one of the most often used in the United States. The coin grades system is based on a scale of 0 to 70, with 70 being absolutely perfect mint condition and a 0 meaning it may be recognizable as being a coin at one time.
While determining an exact grade requires experience as well as skill but for general purposes, a person can get a reasonable idea of the coin grades in their collection with a magnifying glass and a little understanding of the coin grades mean. It is rare that a coin will rate a grade of Mint State (MS) 70 although it may be uncirculated, will have ever so slight markings from being placed in a roll and shipped to banks where it makes its way to the grocery store.
The odds of finding a coin graded MS 67 or 68 in a roll of coins from the bank or store is about 100,000 to one. Almost Uncirculated (AU) coin grades are listed as AU 50 to 60 and while they will look perfect on the surface, looking closely at the highest points on the coin there will be slight visible signs of wear.
Discrepancies Often Found In Fine Grades
Extremely Fine (EF) will show only slight wear on the highest points of the coin and Very Fine (VF) will have slight wear on the high points but all features are sharp and clear, but may be some degradation on fine features such as hair or feathers on some coins. Worst of the best coin grades is fine (F) which still shows the fine features but many of the details are gone and are usually graded as F-12.
Among the coin grades good, Very Good (VG) is graded an eight with the entire design of the coin being very weak showing a few details and containing the full rim. Good (G) implies heavily worn and includes the design but contains faint spots and Almost good (AG) parts and date of the design have been rubbed away and an outline of the design is still visible.
Nearly the worst of the coin grades is Fair, indicating very little is discernable on the coin, but the type of coin it was can be determined. Coins graded as Basal state, indicate it appears to be a piece of metal, but may have been a coin of some type at some point.
Posted in Coin Collecting | No Comments »