Are graded coins really worth the extra costs? I know it be a good idea for people who can't tell grades or fakes, but the people buying graded coins are buying more expensive coins that you should have some experience before buying them. I don't really understand why people at that level need such a crutch.
Seems to me the best reason to get a coin slabbed is to make it easier to sell it. With a raw coin, you really have to be in person to see it.
A serious question Bill, obviously you have had a great deal of experience looking at & evaluating coins. Honest grading & slabbing was supposed to make it easier for new blood to enter the coin realm. Perhaps you would advise new blood to keep looking. Is coin collecting still only for the experienced & the sharks? Seriously, do you think those who can't properly grade for self will usually make mistakes, or be cheated...and so lose money in coins?
Larry - You are correct in your comment that slabbed coins & the grading companies were supposed to make it easier & safer to buy coins. And to an extent they do. But you also have to realize that not all grading companies are equal. They do not all use the same grading standards and even the standards they do use change from time to time. As for collecting only being for the experienced - not so. Collecting from circulation is fun & quite safe. And you get the coins for face value. You can also buy direct from the Mint. And if you prefer slabbed coins then only buy coins slabbed by the major grading companies like NGC or PCGS until you learn a bit. Even then I would not spend large sums of money. Of course large is relative and the individual must decide what is large to them. To some it may be $50 - to others it may be $5,000. New collectors need to try and learn as much as possible. This can be done from the beginning and still allow you to participate in the hobby. Buy some books - join a coin club - subscribe to some numismatic publications - read and participate in the coin forums - and above all ask questions. There are great many experienced collectors who are only too willing to help. All you have to do is ask. The internet provides a huge advantage to new collectors today. The sources of information are at your fingertips - but you do have to expend the effort. Even the experts make mistakes - far more often than they like to admit. The learning experience never stops in this pursuit of ours. There is nothing wrong with making mistakes - it is inevitable. Just make sure you learn from them.
IMO getting a coin graded is a good idea for coins that are worth hundreds. It's not that you need it in a slab to have the grade verfied, it does more than that. The good grading companies will also be giving a guarantee of the authenticity of the coin (meaning that they say it's not a counterfeit). It makes the coin more liquid, as it's more easily sold on the market for full value if it's in a recognized grading company's slab. Also, the slabs offer better protection to the coin than the standard 2x2 cardboard holders that most of us use for our coins. Please note, I'm talking about the 'good' grading companies like PCGS, NGC, ANACS, ICG.... Have a look at this review of grading companies
Lots of good accurade information in this thread.I'd like to add "attribution" of rare varieties to the listing. Also,when it comes to high grade uncirculated coins it's a must. OK,say we all know how to grade and you have some MS67 Morgans to sell. How many dealer's out there will honestly agree with you(considering your right) that the coins are MS67? I know of a few that will tell you the coins are Ch.AU! Now third party graded,you avoid that or at least you can easily spot the cons from the serious players. Just my two Cents worth. ~ Jim
