10 Rules of effective coin collecting

HandleIf you do not know how to become a great coin collector, probably you have small chances to get fun from this hobby. You will discover it soon, especially when you have your first major purchase under the influence, without knowledge of coin collecting rules. There is a set of rules that save coin collectors from poorly executed decisions, wrong or potentially useless purchases. Here are these ten rules that are very important to consider when making a purchase.

1. Knowledge

Children studyingCoin collectors who reached success in this sphere were all very educated in numismatics. They were thirsty to knowledge. They have not only studied the coin dynamics, but they have looked at the market in general as well. It is very important to take a look at things from different perspectives: detailed and general. Try to read every book you find about coins that you can find. You can find the book with catalog up to your interest. Some of coin collectors even create a database of prices of that coin category they are interested in. Also, it will be useful to subscribe to periodic printing like Numismatic News or other issues that provide expert knowledge in the coin world. A good idea is to join the American Numismatic Association in order to get an access to their library, they mail the books you are interested in to you. Ask questions and find contacts of other collectors, you never know how precious your communication turn out to be.

2. Field of Interest

You need to have a clear goal. The collector that specializes in one or few particular coin types has chances to get more profound knowledge of this field, than those people who scatter their attention and concentration on everything and then don’t know which steps to undertake. Narrow focus for your specialization is a great idea. For instance, if you begin to collect Charlotte gold coinage, your area of attention narrows down to 52 particular issues. This goal is clear and real to obtain within a year or two of finding information and getting more educated in this sphere. In contrast, it takes more time and efforts to become profound in all of US gold coins, produced 1838 to1907. If you learn specifically and step by step it allows you to be on the same level with dealers who try to sell you coins on their terms, now you will create the rules of the game yourself.

3. Endurance

21st century is a fast-flowing environment. It is possible to jump into anything and start getting something instead. However, if you don’t want ‘something’, but want success, you need to develop patience. The most amazing coin collections are collected over the course of many years. It is rare that you can order great coins in a short term, possible but rare. In order to get the unique coin collection, you will probably need to wait. If you need to buy a particular coin for your collection, not ‘some coin’, then you’ll need to develop patience. Rash decisions are usually incorrect and result in more expenses on the long run.

4. Contacts

Computer contactIt is unbelievable that there are so many serious collectors who get the most valuable information on pricing, market state and future trends from such 3rd part sources as newsletters, numismatic magazines and coin brokers. This information is always irrelevant, and rarely true, simply because the newsletters that offer recommendations on specific coins are written by dealers, who want to sell you regular coin by extraordinary price on their conditions. The only trusted source is the dealer you know, who often attends coin markets, shows and auctions. It is an easy way to filter unreliable broker or dealer, as they only get orders from their chiefs, serving you information they need and in the needed formulation. It is very important to find a reliable and professional person and maintain good relationships with one.

5. In a Collector’s Shoes

Every person who is in collecting world and doesn’t sincerely loves coins has great chances to fail. In order to make money from coins (and dealers always do, even when they don’t aim to) you need to have the same as dealers have – a passion for coin collecting. It evokes an interest, interest drives us to action, research, new information. Such motivation makes us develop and win as a result. They always work and know that the coin that they recently got, had 10% more on the latest auction. They know that it is a bad decision to purchase coins that are too popular in their promotional timeframe. They filter the information and don’t buy coins when somebody tells them to do so. They don’t listen when somebody says that these coins will increase in value for 50% next year. They make their research, observe, live the trends and are able to make independent decisions and analyze them. Think and learn like a true collector, love coins like a true collector.

10 Rules of effective coin collecting (Part 2)