Finally Stopped at Local Coin Shop

I went in to see if they had the new silver eagles but they won't be in until Thursday. He said a couple others were asking about them as well. So I just bought a few indian cents. They probably grade good and LIBERTY is worn off all of them but everything else on them look pretty decent. I figure if I can buy some coins locally I can save big on shipping costs from places such as eBay.

David

 

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Buying at a coin shop is so much more personal than buying from eBay. It's nice to be able to see the coin right in front of you and not have to rely on pictures. Also, there's an atomosphere in a coin shop that can't be duplicated. I'm glad you found some coins that you liked.

 

With the local shop you support the local business, build a relationship, and see the coin. BUT, they charge tax (9.25% for me), and can have higher prices. My local dealer has a clerk that will cut me a nice deal, like offsetting the tax, when I buy around $100 worth of stuff. So I go there with CASH.

On Ebay, there is usually no tax, mostly inflated shipping cost, blind to the product quality, but there is a lot of competition.


Ebay is a LOT of fun to see unique things though, and it is nice to know in the back of your head how much something goes for. Like when my dealer has silver rounds for $9.50 an ounce, and I know I can get them on Ebay for $7.00, that gives me a little edge; and the ability to go elsewhere.

 

You're not from Tennessee are you? They charge a ridiculous tax percentage, but like you, I paid cash for a 1893-S morgan in TN and the dealer didn't charge the tax (cough, head turns, wink, nod).... I used what I thought would be spent as the tax to buy more coins.

 

Believe me when I say that the last thing I want to do is stop collectors from buying on eBay I just think there are positives to both eBay and local coin shops.

 

I buy both from dealers, especially locally, and from Ebay. I buy, sell and trade with dealers and collectors in Europe as well and have found, regardless of where you look one can build a strong relationship with very little effort. While I prefer my local dealer there are times, especially when needed coins just aren't coming in the door, I have to turn to other sources. The most important thing I have learned about Ebay is READ the full description and SHIPPING CHARGES before bidding. The mistake of NOT reading can be very costly and I had to learn the hard way. I have even gone as far and emailed sellers to question their shipping policies as it doesn't take $5 to send a dime or quarter first class mail. I can understand the need for insurance and priority mail for rarer items but most of the items sold on Ebay are by no means rare! Basically I have been very very prompt and have only had one bad experience since my first adventure on Ebay. Still lots and lots of honest people left in the world and I have been fortunate enough to deal with many of them from all over the world. Hope you all can find those same types of relationships!!!

 

I'm a full supporter of buying locally, but I don't have any local coin shops. I managed to find three nearby antique consignment shops. They are great. Dozens and dozens of cubicles stuffed with items and no sales pressure. Each place has a set up of coins. I've visited one place enough that they started giving me a dealer discount. Unfortunately it's the one place that charges a small town tax on top of the state's sales tax .... but it's nice having the coin in hand before buying.

I'm also a full supporter of keeping my options open and have bought most of my coins from eBay... and continue to buy. I think once you form a relationship with some good sellers, it's almost like getting room service at your favorite hotel... nice treatment and you get the quality you expect.

 

It was interesting that I wasn't charged any sales tax. The Indian Cents were $1.10 each in this basket or 5 for $5.00 so I just paid $5.00 and no tax.

David

 

Next time I go in there, I'm gonna go through the indian cents and the buffalo nickles. Old coinage is very cool. Just think, the comedy duo Laurel & Hardy used these coins!

David

 

It's a matter of fact, I am. Of course, I would never say that my dealer would ever not charge tax, because of course he always follows state law to the letter.

But then, the mark up could be high enough that he could pretend not to charge tax, but in effect just be giving a 9% discount for a cash purchase.

On top of it all, Visa and Mastercard charge businesses a percentage of the purchase price. So when we pay cash, they can probably cut a little off the top and come out better. If a customer uses a debit card, and enters a PIN, there is no charge to the business, electronic cash.

I have heard that charging more for credit card purchases violates an agreement between a business and the credit card companies. So they could say, "tax free" with cash, when what they really intend is to avoid the visa charges. Either way, I prefer cash.

 

It helps to have friends at the coin shop. I was in there the other day and I found a stack of silver Maple Leafs in one of the cases. I was flipping through them and mentioned that I had some holes in my album but couldn't remember what years they were. The guy working there is also a customer at the bank, so we know each other pretty well- and he says "I'll hide these under the counter for you until you see which ones you need!" So I got home, got my book out, made a list, and sent Dad back up there to get them for me! I got all but one of my holes filled (still need 2005)! Silver Maples are devilishly hard to find around here, seems like none of the shops carry them, so I had to pounce when I saw these! You won't get that kind of service on eBay!

Rachel

 

Mitchell,
$7.00/ oz silver rounds on Ebay ?????? I bet the S&H charges made up for the difference in $$.

 

Amen (about having friends at the shop)----someday I'll start on that collection...I like it alot since it began in 1988......I happen to buy about 1 a year, so I have a few already.

Speedy

 

David,

One nice thing about living in MI, there is no sales tax charged on coins / bullion.

 

Awesome! I never knew that! Very good to know!!

David

 

That's not always true. I'm charged the same for Visa/MC debit cards, just the same as credit cards. Since many of my transactions are internet based and I actually never SEE the card, my rates are unusually high, since there's a higher % of fraud with internet based transactions.

A quick word about sales tax...there's no sales tax on U.S. coins in Florida anymore. There was for awhile, and it literally drove some shops out of business. Many coin shows ground to a halt, some have never returned. The sales tax on coinage was repealed by Gov. Bush. It was one of the first things he signed into law when he was elected.

Nick

 

Tradernick is "right on the money" concerning debit / credit cards.

 

In California a numismatic purchase of $1,000 or more is free of sales tax, so buying high end coins at the Long Beach Show can be a bargain. Doesn't matter if you buy one coin for ten grand, or 10,000 coins at a dime apiece, so long as the transaction is at least a grand.

 

Actually not. I found one of those sellers with a lot of silver round auctions and the additional items shipping was reasonable. I got some of those round for less than $6. I bought 16 or 17 or more rounds and the shipping was somewhat reasonable. By the time I averaged the total for each individual coin, I came out a little ahead. Sometimes Ebay works, if you know how to work it. With generic silver rounds of course, grading was not an issue.

I just bought a pound of rounds from Apmex and got reamed on shipping and "fraud verification"(?). It added nearly a dollar a round on the price. Live and learn, education ain't cheap, all those suckie cliches. And yes, I did check the shipping, but never saw where it would be $9.50. That fraud verification thing is a bummer too.

I am going by the local shop this week for my next round pound.

.

 

Hey David,

Don't knock VG Indians. I have collected hundreds of them over the years and always have found them a popular item. Besides...I think there Kool...!

catman