As you might be aware, coin dealers use a grading system to evaluate the price of a coin. By no means this is an exact science, since you subject to a subjective evaluation made by a person, and no two coins are exactly the same. When the coin is from another country, this evaluation process gets more difficult. A book on the subject is the safest way to find out about Canadian coin prices. You’ll need to study a grading system specifically designed for Canadian coins.

After learning the basics of Canadian coin evaluation, only then you will search for the opinion of experts to find Canadian coin prices for your collection. After gathering information from reliable sources you’ll be able to know whether this profession can be trusted or not. If so, you can add the expert’s evaluation to your own and you’ll have a good idea about the actual value of your Canadian coins.

You need to keep in mind that the prices of Canadian coins, as with those in other markets, tends to float according to the current state of the coin market. Takethis into account as well when you search for an expert, and try to findd one who can explain these market fluctuations for you.

Also make sure the coin trader you choose to deal with is willing to answer all questions you may have. Regarding the appraisals you receive, chck whether these are similar to the ones you have on your book. And if you’d prefer to play it safe, it’s always a good idea to carry out multiple appraisals. This will give you a clear picture of the value of your Canadian coin collection.

These precautions should give you a good idea of the prices of your coins. Once that happens,  you can decide whether you want to sell them or keep them. Naturally selling your Canadian coins isn’t the only choice; after all you are a coin collector. You can always increase your coin collection. With a growing amount of coins on the market, you can certainly expect to find some rare Canadian coins to add to your collection. Just keep in mind you know their actual value before thinking about trading them.

This magnifying glass also has good Amazon Customer Reviews. Compact size, allowing the coin collector to bring it along on coin shows.

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These are AWESOME. I strongly recommend you to read the Amazon Customer Reviews for this product.

Some Lighted Loupe Magnifier Inspection Supplies Optical Lens. Illuminated 20X High Powered Magnifying Glass Loupe, with 21MM Diameter Optical Glass Lens.

Teardrop loupe has a crystal clear viewing lens, compact folding capability with screw pin holds, On-Off LED slide light switch, battery compartment lock key, slotted end for key chain or chain attachment, silver metal construction, and case included. Magnifier Eye Piece is a nice size hand held pocket Loupe. Requires 3AG7 Batteries (Batteries Are Included.)

These are great for collectors who have very old coins. More info

A true coin collector is one who collects coins for their beauty, inherent and acquired value (numismatic value), rarity and enjoyment of the hobby. They admire the designs and images imprinted on the coins, and they derive much satisfaction in knowing that they have completed a set. They are interested in the coin’s history and how, who and when they were made. But while they do enjoy collecting for these reasons, most collectors also have profit as part of their agenda. However, if your overwhelming reason for collecting is that of making a profit and stacking up gold and silver for financial gain in the hope that the coins will go up in value and, thus, earn you a handsome profit, then you are an investor. If you have such a goal in mind, then it will be best for you to just buy bullion instead of collective coins because then you wouldn’t have to pay high commissions for their acquisition.

But bear in mind that whatever you are, whether a collector or an investor, it is essential that you get your coins in your possession and never let any company keep them for you. The company may go belly up and you could be left holding a worthless paper document. Store your coins where you can be sure they are safe like in a safety deposit box of a bank.

Coin Collecting As Investment

You may be interested in coin collecting as an investment opportunity. This does not take away anything from what coin collecting really is, as even serious collectors have profit still going on in the back of their minds. There is an ongoing trend where financial advisers are encouraging their clients to keep like 10% of their investments in precious or rare coins with high numismatic value.  Their advice: “Buy the highest quality, rarest coins you can afford.”

If you are currently considering such an investment, you can go directly to the US Mint where you can purchase US Coins or World Coins.

Coin collecting is slowly spreading around the world. In the US and Canada, the hobby has already reached its maturity and you can find many clubs catering to this hobby. They have the means to spread and perpetuate it to make sure that coin collecting will continue in the years to come. Elsewhere in the world, like in Australia and some European countries, the hobby is fast gaining followers and has a potential for a wider and vigorous coin collecting community owing to their fast growing economy and a long coinage history. People there are beginning to take note of the prospective value of these coins and are making steps to buy them cheap.

Risks of investing in coins

Coin collecting is indeed a rewarding hobby – it gives the satisfaction that follows having what you have longed for and sometimes, if the times are right, it is also a profitable financially. However, as with any investment, there are risks involved when you invest in coins. As a coin collector you must understand and be prepared for taking such inherent risks.

One common danger is getting counterfeit and altered coins. Even in the early years of coin collecting, this had already become a problem. Counterfeiters use various techniques, and some have created coins which are almost like the real thing. They can make common coins appear to be valuable collector coins by adding a mintmark. While there are important grading and authentication services available that could give certify the authenticity of coins, in their absence you must know how to identify and separate genuine coins from their counterfeit versions.

Coins have grades. You need to determine if the coin is correctly graded to determine if the price is fair. Overgrading is quite common, but with certified coins and bullion coins this problem is reduced. Bear in mind, however, that a service which authenticates coins is only giving out an opinion regarding what they think is authentic, and it is typical to find coins reasonably graded and certified by one service as being overgraded in the opinion of another.

Since certain coins are made of precious metals such as gold and silver, their prices are subject to the rise and fall of commodities. When gold and silver prices rise in the market, the coin’s value increases too; correspondingly, their prices drop too if the metal prices in the market fall.

Then there is also the risk of loss by fire or theft, especially if you keep your collection with you at home. Storing them in a bank vault may reduce this risk but doing so will necessitate an added expense.

Where to find collectible coins?

There are many places where you can obtain and purchase your first set of collectible coins.

The information highway has opened up a lot of avenues toward finding anything anywhere in the world. The internet is a veritable source of things you want and need in life. From pets to luggage, you can find them available for sale, swapping or simply for giving away because people have no need for the article anymore. As for finding coins, the internet is a bottomless pit of information where you can find and buy the coins your heart’s desire.  While this may be one way of collecting, you could still have an adventure trying to find coins the old fashioned way. You can use your legs instead of your fingers to find coins.

Whether you choose to get information about coins and buy through the internet (this could be the easiest way), or buy coins through the mail; you should be careful about the dealer’s shop and their coin grading system. Make sure that they have a reliable return policy in case the coins you buy are not to your liking.

Other coin collectors are also a good source of coins. The classified ads in your local paper could produce a list of collectors looking to buy, sell or trade coins.

It is quite often that flea markets, craft stores and especially antique stores are selling coins that may not be aware of their true value. You can sometimes haggle for a better deal on old coins, especially if the owner doesn’t quite know what he is selling.

Auctions are an excellent source of the rarest and most expensive coins, so if you are a beginner and don’t want to spend too much at this point, this may not be the source for you. Coins are sold through bidding and, of course, the highest bidder wins. Take note that prices in these auctions are usually much higher than prices for similar coins in other places. Before you go to one of these, be sure to check prices in shops, mail order or other collectors and compare them with the going prices in the auction. You will do best if you limit your bids so you can avoid paying too high a price.

Another excellent place to find coins are Coins shows. Even if you are not going to buy, they will allow you to look around and check out several dealers at once. There is usually a great variety and quality of coins available in shows, and since there are many to choose from you could get better prices.

You can also purchase coin sets directly from a coin mint.

The Standard Catalog of World Coins by Chester L. Krause and Clifford Mishler – consist of four volumes, each covering a different century from 1601 to 2000, identifying and listing prices for coins from around the world.

A Guide Book of United States Coins – published annually; commonly used retail price guide with a wealth of other useful information.

Coin World, Coin Prices and Coin Age – contain frequently published retail prices for U.S. coins

Coin Dealer Newsletter – known as “the Graysheet“, the major price guide in dealer to dealer transaction;

A Handbook of United States Coins – known as “the Blue Book,” is another guide for dealers who buys U.S. coins from the public

Numismatic News publishes prices for all 3 levels (dealer buy, bid and retail).

You can find these publications and others that deal with coin prices in libraries, bookstores and coin shops. There are also many online sources of information that you can find in the World Wide Web.

For the most recent pricing information and other numismatic news, periodicals are the best source. Good references will give you the details you need to avoid making bad decisions concerning your coin collection, whether you are buying or selling.  You can start building your own library now and reap the benefits as soon as you obtain your first book.

One indispensable reference book is “A Guide Book of United States Coins” more popularly known as “The Red Book” among numismatists. It is published annually and provides a good timeline of US coinage history, basic coin grading information, and description of coins starting from the earliest to the present. The book also has a list of errors to watch for and an explanation of errors which happened during the minting process. It also publishes the retail cost of the average US coins.

Then there is also “The Certified Coin Dealer Newsletter”, commonly referred to as the Bluesheet. It publishes the most up to date price guide on coins certified by the major Coin Grading Services on a sight-unseen basis.

There are also monthly publications like “Coinage” or “Coin World” magazines which contain helpful facts and information including related articles and pictures.

Another extremely useful reference book for grading coins is the “Official ANA Grading Standards for United States Coins.” Your local library is an excellent source of books dealing with coins. It’s readily available free service.

For coins that belong to a series, coin albums are your best bet. Typical coin albums are like a book and provide safe storage for your coins. Coin albums also allow you to view your collection at a glance. These storage devices come in different types and are available for varying budgets and collection types.

Storing Your Coins Safely

One of the wisest moves you can do for your coin collection is to designate a safe place where you will store your coins. Consider a storage that protects not only from the possibility of theft or fire but also a storage system that will ensure no scratches and or nicks will be produced in the coins once inside. Placing loose coins in a box is not a good way to store valuable coins, although it would be okay for coins with low value.

Boxes

You can also use boxes with built in trays inside. The tray is covered with soft material and has divisions so each coin has its own compartment.

Paper Envelopes

Paper envelopes made especially for holding coins must be used because ordinary envelopes contain sulfur or other harmful chemicals that will change the color of the coin as it becomes corroded due to reaction with those substances.

The price and value of silver coins are influenced by the following factors:

- Rarity of the silver coin
- Percent of Purity/Finesse
- Grade or Quality
- Bullion market value of silver as commodity.

A good example of a silver coin worth investing in is the Morgan Silver Dollar, one of America’s most collected coins. It is a work of art and has a great historical significance. Collectors love its beauty and affordability. Key-date Morgans are some of the rarest and most sought after US coins ever minted.

One high-grade, key-date coin can cost more than $2,000. If the price is too steep for you, experts advise that you get common coins in the finest grade you can find, as those with lower grades typically do not appreciate much in value.

Gold Coins

Gold coins were first made during the time of King Croesus of Lydia around 560 B.C. They were not made of pure gold but from a natural alloy of silver and gold called electrum. Pure gold and silver were used later and then spread to many civilizations that included the Greek and Roman empires and throughout Europe.

Gold has always been an attractive investment, and with the price of gold at record highs these days, it has become more so. Investors generally think of gold bars when they invest, but gold coins have other benefits like viability as currency and being in small denominations.

Gold coins generally cost a little more than the worth of their gold content because of an additional 4 to 8 percent premium to cover minting and distribution costs. But in spite of this, gold coins are still more valuable because they are easier to sell and manage than gold bars. In the event of a US monetary system breakdown, gold coins can still be used as currency.

In a bull market, according to the American Gold Exchange, modern gold bullion coins are not likely to gain as much value as rare and collectible gold coins because they are not minted in limited numbers

It is always best to keep gold in a bank safe deposit box, but you can also keep your coins at home. Beware though, of the dangers of this practice, like the possibility of theft or fire damage. Gold is a soft metal so one has to be careful when handling gold coins as they can easily be scratched or dented.  Damage can lower their cost and value.

The two main types of gold coins are:

Bullion coins – refers to coins whose value comes from the worth of the metal rather than from its face value. They are priced and sold according to the gold’s weight in the coin, with the additional premium. Examples are the US Eagle coin, the Canadian Maple Leaf coin, and the South African Krugerrand.

Collectible coins – also known as “numismatic” coins. These are gold coins whose price is based on their rarity, age and condition rather than their weight in gold. Collectors appreciate their beauty, historical significance and, of course, potential investment value.

Are you interested in silver coin prices?

When it comes to tools, the least numismatists should have are a magnifier and the right reference books. It would also help if an adequate light source to be used for coin examination is available. There are other miscellaneous tools that you can avail of to give more options when admiring and examining a coin.

Magnifying Glass

A high-quality magnifying glass is essential so you can examine a coin’s tiny details. A magnifier to be used for grading should have 4-10 times magnification. Most coin collectors would say 7 times magnification is ideal. For those who are collecting different dies, a magnifier with 10 times magnification is normally recommended. Some smaller coins and especially proof coins are best examined using a low power magnifier to see hairline or other tiny imperfections.  Using an excessively high magnification power overemphasizes defects which can lead the grader to incorrect and inconsistent grading opinions.

Many professional coin graders initially use the naked eye for a quick examination of a coin. They then follow this by a closer examination of problem areas with a low-power magnifying glass to validate or refute their initial findings. They will often have another look at the coin without the use of a magnifier. “Naked eye” as understood here assumes 20/20 vision. For those with less-than-perfect eyesight, corrective eyewear of some type is allowed.

According to the Professional Coin Grading Service (PCGS) standards, mintstate 70 coins cannot show any defects under examination with a 5 times magnifying glass.

I recommend a magnifying glass with LED light and 20x magnification, and a pocket magnifying glass with 10x magnification. Both have very good customer reviews at Amazon and should suit you fine.

General Reference Books

We have a full article devoted to coin collecting books. Right click this link and open it on a new window, so you finish this article and hop to the next.

Storage

We also have an article especially devoted to coin collecting albums.

Lighting

You may have the most expensive magnifying glass available but it certainly will not work without the aid of the proper light source. For lighting purposes, an incandescent light of about 75 watts or higher is recommended.  However the actual brightness will depend also on the available ambient light. The light source should be located within half a meter of where you will examine the coins.

Some coin collectors prefer the more expensive halogen lamps. Halogen light, according to some of those who have used it, is excellent for detecting hairlines on coins, especially if used in examining proof coins. However, it may put a strain on your eyes if used too long.

The white light emitted by fluorescent lights is not good because they don’t bring out the details of a coin. Under this type of light, the coin will seem to be flatter; it tends to minimize slight marks and small defects.  For this reason, you have to avoid this type of light and use incandescent light instead.

Some professional coin dealers and avid collectors nowadays use a more expensive type of light. They use fiber optic lights that produce a more focused beam of light and give off a consistent color. These types of light results in a more precise rendering of the coin, whether it is examined under a magnifying glass or with the naked eye.

You can also consider getting a magnifier lamp that combines the convenience of having a light source and a magnifier built into one appliance. This is also useful if you have a very small working space. However, most of these magnifiers are not optically corrected and the light that comes with the units is not as dependable as an independent light source.

Proper Place

A comfortable location, free from any outside distraction is the ideal set up when doing your coin examination. This is important so you can focus on the task you are about to do. Distractions can make you miss the details needed to correctly assess the coin you are examining.

Make sure also that there are electrical outlets nearby where you can plug your light source. Do not let the cords get entangled as this might lead to accidents that can cause harm not only to you but to your coin collection as well.

A Logbook or Journal

Coin collecting software can help you with that.

Other Tools

For the meticulous and conscientious collectors who have deeper and wider interests about the value of the coins in their collection, other important and useful tools include a microscope, which can be used for authentication like confirming if a mint mark is real and part of the coin or has been soldered to make it appear as part of a coin. A microscope can also reveal certain features peculiar to known counterfeits.

You also need masks so you can avoid spraying the coins with moisture that can ruin the coin.

Putting on surgical or cotton gloves is critically important as this will help you avoid leaving your fingerprint in the coin which can cause corrosion of the surface.

Having a jeweler’s tray padded with velvet material, and plush towel, or some other soft cloth to set coins on when viewing them is also indispensable. This is also needed to protect the coins so that if you were to drop one it would land on a soft surface, preventing it from being damaged and losing its value.

For measuring a coin dimension, a simple plastic ruler in inches and millimeters is needed. Avoid hard, metal rulers that may scratch your coins.

You may need scales if you are examining a coin that you suspect to be a counterfeit or fake. Using a scale, a fake gold coin can be detected by its incorrect density or weight. A fake coin will almost definitely be made with a much lighter metal.