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Ask The Numismatist

Q:  What is the major difference between bullion coins and numismatic coins?

 

A:  Well, bullion coins are more like stocks. They go up and down with the movement of metal prices. This is called intrinsic value meaning their value is determined by the precious metal content. Numismatic coins on the other hand is more supply vs. demand. They are less effected by the fluctuation of metal prices.

 

 

Q:  I am collecting for my grandchildren. Would certified or un-certified coins be better for me to collect?

 

A:  Certified coins are always the best way to go no matter if your collecting for yourself or someone else. Certified coin slabs will ensure that the quality of the coin is not affected over the years, and there will be no question on the condition of the coin.

 

 

Q:  Is it worth it to purchase coins in higher grades even though they carry significant premiums?

 

A:  Absolutely, I can not stress this enough, when it comes to numismatics condition is everything. One of the major benefits is that higher quality coins are not affected as much by metal prices as some of the more common grades.

 

 

Q:  What is the most common mistake new collectors make?

 

A:  In my opinion, new collectors tend to cut corners on quality to save money when they purchase coins. Like I said, condition is everything when it comes to numismatics. Typically the higher grade coins have a lower population than your average grade coins. This keys in on the supply vs. demand aspect of determining the value of coins.

 

 

Q:  How can I tell the difference between a counterfeit coin and a real coin?

 

A:  It takes years upon years of experience to do that. However, that is just another benefit collectors receive when they purchase certified coins. NGC and PCGS certified coins are checked for not only quality but for authenticity.

 

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