What Sells: Coins & Paper Money

Identifying and authenticating coins and paper money can be very challenging; not only are there numerous variations on all the world’s currencies, but the field is also a popular target for counterfeiters. Whenever feasible, seek out expert hobbyists, collectors, and professionals amongst your friends and family members or in your local community to help you with identification and authentication of these items. The value of a piece of currency is ultimately determined by demand, availability, condition, and grading.

If someone asks you to sell a coin collection, get as much information from him or her as you can. You might want to invest in a coin guide (see: http://www.coinbooks.org for a coin book bibliography) or visit one of the following websites to help you identify and accurately describe the items:

• http://www.coincollecting.com
• http://www.coinfacts.com
• http://www.coinsite.com/
• http://coins.about.com

Various coin grading systems exist in which coin collectors use to describe the condition of their coins. However, unless you are fairly knowledgeable about coins, it is difficult to apply the grades correctly. Depending on the value of the item, you might suggest that the seller have it graded prior to listing, which could substantially increase the sale price. Numismatics is the collection and study of coins, paper money, tokens and medals. Visit the American Numismatic Association (ANA) website at http://www.money.org or look in the Yellow Pages under “Coin Dealers” to find a grading service. Or visit the Professional Coin Grading Service website at http://www.pcgs.com/. An online price guide for U.S. coins is available at the NumisMedia web site http://www.numismedia.com/link.shtml. If the item has been professionally graded, it should be enclosed in a plastic case with grade information printed on the outside.

If you don’t know the grade of a coin, you should still describe any damage that you can see without a magnifying glass, including:

• Scratches
• Dings or dents
• Discoloration
• Rips, creases, faded spots and ink markings (for paper money)
• Avoid using the terms “mint,” “excellent,” “very good,” “fair” and “poor” when describing coins and paper money, as these have very specific meanings in the grading systems

Rare coins are often counterfeited and the fakes can be very difficult for a novice (and occasionally for seasoned collectors) to spot. If you aren’t comfortable with your own knowledge on the subject, you might suggest to the owner that they get a professional appraisal of the coin.

To sell coins and paper money online, you must commit to a code of conduct developed by the American Numismatic Association (ANA). The code includes, but is not limited to, a commitment from the sellers to the best of their knowledge:

• to represent a numismatic item to be genuine only when it is authentic
• not to handle or resell forgeries, unmarked copies, altered coins, or other spurious numismatic merchandise that is not clearly labeled as such
• not to participate in any way in the advertisement, sale or trade of any numismatic material using any deceptive practices including, but not limited to, false or misleading claims of sales scarcity, value, condition or investment potential
• not to sell or buy counterfeit numismatic material
• to refund the purchase price for any item that has been deemed by the ANA as other than as offered or described by the seller

Never touch an uncirculated or Proof coin (specially manufactured for sale at a premium to collectors and sometimes for exhibition or award) anywhere but the edge. Fingerprints alone may reduce the coin’s grade and consequently its value. Avoid holding numismatic items in front of your mouth, as small particles of moisture may eventually cause spots. Do not drag coins across any surfaces.

Refrain from cleaning coins — while you might think they’ll look better shiny, collectors prefer coins with an original appearance. Cleaning a coin may reduce its collector value by half or more.

If the coin or note has been appraised, keep it encased in its plastic case with the professional grading certification enclosed. If the coin or note has not been appraised and does not have a case, you can purchase a coin tube or money sleeve to protect the piece. You can also place it in a Ziplock bag, and surround the bag on both sides with new cardboard (cut to fit the bag) and place the bag in a bubble wrap mailer to protect it from being damaged. The Postal Service does not allow “irregularly shaped” objects to be sent in “regular” sized envelopes, so if your sandwiched item is not much thicker than a greeting card, a letter or legal size paper envelope may work. Otherwise, you can use a padded envelope or box the coins. Use bubble wrap, foam or Styrofoam peanuts to completely fill extra space, ideally with some padding between the contents and every side of the box.

For valuable coins and paper notes, you will want to insure your shipment and require signature confirmation upon delivery of the item. Cash (currency) usually cannot be insured but when it is sold as merchandise, it is considered a commodity that is sold like any other consumer good and is insurable. For this reason, be certain to document the contents of the shipment as “collectible,” i.e., as saleable merchandise. Use USPS registered mail with insurance and delivery/signature confirmation to guarantee coverage in the event of loss or damage during shipment.