When this article was originally published, Atlanta Gold & Coin met with a customer who had about 25 pounds of assorted coins in a cardboard box and was considering a sale. The customer explained that another local coin dealer had previously been consulted but did not want to take the time to examine the collection. Instead, that dealer suggested weighing the coins and making an offer from the total weight. The customer felt that this approach was probably not the best way to sell the coins and contacted Atlanta Gold & Coin. The complete collection was reviewed, a process lasting more than an hour, and several coins were identified that received premium payments. This article explains why selling coins strictly by weight can be problematic. It covers three reasons, discusses approaches to selling coins, and notes a resource published for identifying key-date coins before an appointment.
Key-Date and Semi-Key-Date Coins
Although it is never certain, a sizable collection may contain key-date or semi-key-date coins that merit a premium. Here, key-date coins means coins with low, or comparatively lower, mintages. As previously discussed, a coin’s mint location and the overall quantity produced can cause it to command a significant premium. Most collections do not contain an overlooked coin worth thousands of dollars, of course. Still, without taking time to evaluate the coins carefully, an owner cannot know whether the collection includes one of those more valuable pieces. That is one important reason not to sell coins solely by weight. For readers who wanted to research beforehand when this article was published, Atlanta Gold & Coin had produced a rare-coin guide available here. The guide was intended to help identify coins before an appointment, if a reader chose to do that research.
Coins in High-End Condition
At publication, A further reason not to sell coins by weight is that this method may not compensate an owner for coins in better condition that should bring a premium. Along with mint location and production quantity, condition is one of the main factors affecting a coin’s value. Condition does not create a substantial premium for every coin, but it can matter considerably for certain issues. Generally, more recently issued silver coins—including Kennedy half dollars, Roosevelt dimes, and Washington quarters—are quite common and carry only modest collectible value. Premiums can rise sharply, however, for some better-date Franklin half dollars, Mercury dimes, and Standing Liberty quarters that are in stronger condition. Earlier issues, including Walking Liberty half dollars, Barber dimes, and Barber quarters, can sell for still higher premiums when they are almost uncirculated or uncirculated. A careful evaluation should account for condition so that the owner is properly compensated for it.
Value Reduced by Weight
Circulated silver coins often show wear, and that wear can reduce their total silver content. When coins are sold by weight, the payment per coin may be lower than it would be if the coins were sold individually. Atlanta Gold & Coin’s original article stated that a dealer purchasing silver coins by weight would likely later sell them in coin tubes or bags according to the number of coins included rather than their weight. Many coin dealers have high-capacity coin counters that can determine the total number of coins within a few minutes. When this article was published, it advised owners to seek compensation for silver coins by count instead of weight, particularly for coins in average or better condition. There is an important exception: coins with unusually heavy wear, damage, heavy toning or oxidation, or other off-quality characteristics may appropriately receive an offer based on weight.
Summary
At publication, In summary, this article outlined several reasons not to sell coins according to weight alone. First, a weight-based offer does not account for low-mintage or key-date coins that may be part of a collection. There is no assurance that a collection contains such a coin, but checking remains sensible. Second, weight-based selling does not compensate for coins in superior condition that may deserve a premium. Third, circulated coins commonly have some wear; when the transaction is calculated by weight, that can mean receiving less for each coin. As noted earlier, it can nevertheless be appropriate for a coin dealer to make a weight-based offer when coins have above-average wear, damage, or off-quality characteristics. When originally published, Atlanta Gold & Coin expressed hope that readers found the article useful and invited them to make contact with questions.
