Understanding The Value Of Gold Versus The Value Of Gold Coins
Selling gold can be a great way to generate additional revenue, but without knowing just what it is you’re selling you can leave a lot of money on the table. In the case of gold coins, there are a number that are minted for the purposes of allowing individuals to buy them, while others were minted as collector pieces, and still others have been minted for use as currency.
Each of these examples carries different value, which isn’t necessarily directly linked to the price of gold. Knowing how to identify the difference will help you avoid accepting a cash payment for far less than the actual value of a coin:
Investor Bullion Vs. Gold Currency
One of the easiest ways to identify a gold coin as being more than just a round piece of gold is by looking for a mint date on the face. Investor bullion didn’t become available from the U.S. Mint until 1986, beginning with gold and silver coins. Coins with mint dates earlier than this are either collectible items or actual currency which was once circulated among the general public, making it worth far more given the rarity of remaining pieces.
Bullion is also marked with its actual weight in addition to a denomination amount, which may or may not reflect the actual dollar value of gold at that time. The weight is a more accurate means of determining the value of bullion, as the stock value of gold is tracked by many sources. That said, few gold buyers will pay the full value for gold they take in, as they’re in the business of making money too.
Collector’s Items and Appraisals
Many coins have been gold clad as a means of making them into display pieces, either by the mint they originated from or by industrious businessmen at a later time. Even so, some such items can be worth quite a lot in their own right. The same is also true for authentic gold currency, much of which was used to secure trade agreements between nations. An actual value is hard to determine without a professional appraisal though.
Before you attempt to sell any coin which wasn’t originally sold as bullion make sure you have it thoroughly examined by an experienced appraisal firm, and assigned an appropriate coin grade. This will give you a clear cut identification of the coin’s actual value, rather than leaving you to your best guess. In addition, collectors and coin dealers will be more likely to buy authenticated pieces with professional appraisals attached to them.
Gold may be one of the most widely accepted forms of currency in history, but that doesn’t mean all gold coins are created equal. When selling any gold coin, the first step in protecting yourself is addressing your lack of knowledge. To learn more, contact a company like Dubin Rarities with any questions you have.