Archive for March, 2011
Posted on March 25, 2011 by Jaime Hernandez
For those of you who have not een able to buy the 5 oz America the Beautiful Quarters, one of the few remaining Mint Authorized Bullion Purchasers has posted the coins for sale today. The total price of the 5 piece set is priced at $949. with shipping and handling included. There is a limit of one set per household (no P.O Boxes) and the only method of payment is through a Money Order.
Currently there are dealers who are still paying $1300 for sealed sets (however this can change over time). And if you decide to get your coins graded some PCGS MS69 DMPL single coins are fetching around $1,000 each.
To order the coins go to www.jackhuntatb.com. Remember all coins qualify to receive a PCGS First Strike designation.
Posted on March 18, 2011 by Jaime Hernandez
As of March 18, 2011 the melt value of a pre 1983 copper Lincoln cent is 2.8 cents each, as the coins contain 95% copper.
Since the metal content in copper cents and Jefferson nickels is worth more than their face value, on December 14, 2006 the Mint imposed restrictions on the melting and transporting of cents and nickels. http://www.usmint.gov/pressroom//index.cfm?action=press_release&ID=724. Finally, on April 10, 2007, the rule became regulated by law (Title 31, Section 5111d). http://www.usmint.gov/pressroom/index.cfm?action=press_release&ID=771
The regulation indicates that travelers leaving the U.S. are limited to transporting no more than $5.00 in cents and nickels out of the country.
Additionally, no more than $100.00 worth of cents and nickels can be shipped outside the U.S. in the same shipment, and those that do, can only be shipped for legitimate coinage and numismatic purposes.
Finally, there are fines of up to $10,000.00 or imprisonment of up to 5 years, or both, against any individual who knowingly violates any one of these rules.
Despite the restrictions on melting cents and nickels the coins still trade at a premium above melt values. Currently there are several dealers who already buy copper cents at a premium from their face value. And even online auctions like this one here http://cgi.ebay.com/Copper-Penny-Bullion-100FV-10-000-pennies-68lbs-/160555611485?pt=LH_DefaultDomain_0&hash=item2561dc355d where $100 worth of copper cents realized $181.50.
Ryedale Copper Sorter – Sorts up to 18,000 coins per hr.
In the past few years copper sorting methods have also advanced, including the development of copper sorting machines which are now sold to the public. Like the one pictured above called the “Ryedale Apprentice Sorter” which sorts up to 18,000 coins per hour.
Despite the restrictions, pre 1983 copper cents are still being hoarded, bought and sold by many. Since the Mint made these restrictions, I personally have seen far fewer pre 1983 copper cents in circulation. And in a couple of years, most pre 1983 copper cents will probably no longer be in circulation.
Posted on March 2, 2011 by Jaime Hernandez
In the coin market a lot of deals are made the old fashioned way, verbally. This is unlike many other markets where you usually have to have cash in hand and sometimes even the terms in writing.
In the coin market, I’ve seen million dollar coins trade in a matter of seconds verbally. Even on CCE, the largest coin dealers in the world trade coins every day, either verbally or through a short note sent electronically.
At coin shows, there are no hidden fees or contracts that need to be reviewed when buying or selling a coin. Usually a dealer will offer a coin to a customer at certain price or vice versa. If they both agree, it’s a done deal. A dealer or customer can’t come 30 minutes later and say, I saw a cheaper one somewhere else and I want to return it.
I was watching a Pawn Shop t.v. series recently. A customer brings in a doll that he wants to sell. The customer agrees to the offer made by the Shop owner. The Shop owner tells the customer to go to the cashier so he can get paid. So, the deal’s done, right. Not necessarily.
A Pawn Shop employee tells the Shop owner, “You can buy that same doll online for less.” Shortly after, the Shop owner walks to the cashier and tells the customer there’s no deal. In the end, the Shop owner indicates, it’s not a done deal until the customer actually has the money in his hand.
The Shop owner is obviously not a novice at making deals and has probably done more transactions than most of us will ever do in our lifetime. Are most markets exempt from honroing verbal deals, or is the coin market one of the few remaining markets where many deals are still honored when their made verbally?