Coin Etiquette??

All, have an dilemma with a certain collector dealer in a coin club I belong to. I have bought several coins from this person, the coins are in nice shape, well marked, graded and priced accordingly, etc...

The issue is of the 5 coins that I have purchased on several different auctions/sales, 2 of them are rare varieties potentially worth 100x what I paid for them. Do I tell him what I discovered once I got them home and got a good look at the coins? Or do I just keep quiet and let it go?

I am more of a collector at this point and have no immediate interest in selling, if that makes a difference.

Thanks!

 

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Great question. First, I would get a non-biased opinion from another respected dealer/collector as to the true value of them (not saying you don't or they don't know how to grade, but mistakes happen). Then I would use that information to approach your dealer and ask if they are sure that is what they wanted to do. You will make a very great friend for life and feel better about trying to do the honest and morally correct thing.

Merry Christmas!

 

If he is a dealer should he not have known what the 5 coins in question would of truly been worth? I would keep quiet.. but if you know him very well and you think they might be with more then share with him your findings. He would thank you.. But your next coins would be then worth 100X what you could of purchased them for
I have a feeling you will be getting a lot of different opinions on this one

 

Sounds to me like a question of ethics, not etiquette. I once bought an old pistol from a friend for $25. I later learned it was worth $200. I told him, offered to give it back to him for $25, but he didn't want it back. We settled on some sum I paid him to boot, around $100 total, if I recall correctly. We were both happy. I didn't want that on my conscience every time I fired that gun.

It may be akin to the stories we hear of when someone finds money in a paper sack/envelope; the rightful owner shouldn't have lost it, but would (should) be grateful to have it returned. If your conscience would bother you by saying nothing, you will be reminded of it every time you see that coin (or even one of the same series). You will have to decide how much it is worth to have a clear conscience, IMHO.
Steve

 

Yes, agreed, I did get a second opinion on one of the coins from this forum and was confirmed to be a rare small date variety.

 

I buy many coins from a collector-dealer, whose opinion I trust and value. If I bought a Coin from him and learned it was much more valuable and I thought he didn't know, I would tell him and go from there.

 

This is what I would do: If the transaction is between friends or family, split the difference or discuss it and come to an agreement. If it was a business transaction between business aquaintances, then there's nothing wrong with a successful cherrypick.

 

If the tables were turned, do you think the dealer would split it with you?

 

This is interesting because it seems that you didn't know what you had until you studied the 2 coins. Also, you say they might bring a possible 100X profit.

So if you tell the dealer of your cherry pick, what reaction do you think you'll get? If you don't plan to sell the coins, then does he ask for additional monies for coins "possibly" worth more? Does the dealer start to put pressure on you to sell the coins so he can get more? I don't have these answers, nor do I think you do. I'm just thinking of possible reactions if you were to inform him of the cherry picked varieties he sold you.

He obviously didn't do his homework to know possible valuable varieties, so why should he profit from them? What kind of possible windfall do you think these coins will bring and what do you think you would compensate him for these coins?

 

Aha! I knew that sooner or later someone would come along who differentiates between friends and non-friends.

Friends - do the right thing!

Non-friends - who gives a $hit!

Chris

 

Eh, if you discover the variety before purchase, maybe, but if you were happy and he is happy, I would let it go.

 

Cherrypicking is a fun part of the hobby. (Although I don't think the OP knew what he had until afterwards).

 

That is why they call it cherrypicking!


The dealer had the opportunity to know the real value, and he is the professional.

His loss your gain.

How about he 9 1864 L Indian head cents that I purchased as No L's?
This is not a rare or unusual variety, the dealers should have known better, or at least owned a Red Book.

Or the 1909 S VDB from a guy who has been a dealer for 40+ years, I got it as a 1909 S.

Would he have given me a break? No chance.

 

Exactly...when I bought the coin I specifically asked him if he had the small date variety as well. He responded with a definitive no. I was just trying to get a better grade on the normal variety. I did not suspect it was the small date till the next day.

 

I have pointed out to some before that what they were selling was not what they thought they were selling. The responses have ranged from thank you, I am going to relist this as the proper variety, to I am making my money on it as it is, so buy it for the listed price, to thanks I will give you some consideration later (never happened)

I have seen dealers who will say, if you do not know the true grade value you deserve to get a little haircut, to I found out this proof set had the no s variety I am going to make it right with you.

Me, I try to be the best me I can be, and i try to do what I would want done, if the tables were turned, it can generate some hostility in some people, but that is their problem.

 

If he's a dealer, he should know better. You cherried the fellow and it's your gain. Don't look back.......

 

Seems like we have two different issues here:
1. coins bought at auction
2. coins bought one on one
The coins bought via #1, probably do nothing.
The coins bought via #2, let your conscience be your guide but I would probably go privately to the person and explain your dilemma.

 

If the shoe was on the other foot, meaning if you sold him these 5 coins, of which 2 were rare varieties and shortly afterwards he discovered you sold them for 100x less than real value what do you think this dealer/collector, would do? Tell you of your mistake? Offer to pay you more for them as they were undersold. I think not! Also, you did not notice this until you looked at the coins more closely, like the next day.

You also stated that you specifically asked for "the small date variety" and "He responded with a definitive no." We all hear the expression, buyer beware but the same goes for the professional seller. He should have known better. He should have studied the coins before selling them. He should have researched them but he did not. He sold them at a price he was satisfied with. You should be satisfied as well under the circumstances you stated.

My answer would be different if, and only if, the description of what you say happened in the selling and purchasing of these coins were different than you claim.

 

You're a terrible person, Frank. Go find those dealers and give them their coins back for a refund. Otherwise you'll be reincarnated into a dung beetle. Up to you, man!

 

The OP stated that he and the collector/dealer were members of the same coin club. Well, what is the purpose of a coin club if not to build camaraderie, learn and share experiences?

It seems that many of you continue to speak with forked tongues. You love your family, but when it comes to money, even they are the enemy.

Chris