Beginner's Guide to Coin Collecting

Table of Contents:

Introduction...3
Fun Facts about Coins...4
Coin Collecting Glossary...8
Beginning Your Collection...11
What to Collect...12
Storing Your Coins...18
Tools of the Trade...19
Amassing Your Collection...21
Handling Your Coins...24
Cleaning Coins...25
Grading Your Coins...27
Determining Your Coin’s Value...30
Pricing Coins...33
Most Requested Coin Values...34
Some Very Expensive Coins...39
Kids and Coin Collecting...41
Getting a Child into Coin Collecting...45
Conclusion...48


INTRODUCTION
The old saying goes, “Money makes the world go
‘round.” We use it every day. We can’t acquire many
necessary item needed in daily life without it. We almost
always want more of it, but for coin collectors, money is
much more than a piece of metal. It’s a hobby, a learning
experience, and can be a lifelong obsession.
There really are no hard statistics on the amount of
people who collect coins in the world. Some people suggest
that 1 out of every 10,000 people is an active coin collector.
That’s pretty staggering when you think about the
population of the world.
People have been collecting coins for years. At one
time, it was called the hobby of kings, but today people from
all walks of life and of all ages are maintaining coin
collections.
Their reasons are varied. Some like the history behind
coinage. Some do it to amass a collection worthy of handing
down to future generations. Still others are simply
businesspeople buying and selling coins to make a living.
Collecting coins can be somewhat of a treasure hunt for
many. The quest for that one coin to complete their
collection can be an obsession.
Whatever the reason, coin collecting is a very popular
hobby – one that can be pursued by all age groups. There
are actually educational benefits to getting children started
as coin collectors.
The practice of numismatics – that is, the collection and
study of coins, paper money, tokens and medals – offers the
collector many different areas to specialize in. With the
many specializations of coins, there is a wealth of material
out there for coin collectors to concentrate on which makes
it such an interesting and diverse hobby.
In this book, we’ll explore the phenomenon of coin
collecting and give you ways to get started on your own
collection. There are many, many nuances of the hobby and
it’s almost impossible to give you all the information you’ll
need to become a seasoned collector. What we have done is
give you enough to get started in this rather enjoyable
activity.
Let’s look at “A Beginner’s Guide to Coin Collecting.”
SOME FUN FACTS ABOUT COINS
There are approximately $8 billion worth of coins
circulating in the U.S. today. In the past 30 years, the U.S.
Mint, who is responsible for designing and producing the
nation’s coins, has minted over 300 billion coins, worth
about $15 billion!
Since its creation in 1792, the U.S. Mint has grown into
a large enterprise with more than $1 billion in annual
revenues and 2,200 employees. It is by far the world's
largest manufacturer of coins and medals, producing coins
not only for the U.S. but on behalf of several other countries
as well.
It can be interesting to know how coins are minted. In
order to make coins, the U.S. Mint purchases strips of metal
(rolled into coils) in the proper dimensions and thicknesses.
Zinc metal strips coated with copper plating are used to
make pennies. Strips used for nickels are comprised of a
75% copper, 25% nickel metal alloy. Dimes, quarters, halfdollars
and dollar coins are produced of strips consisting of
three metallic layers fused together. The outer layers of
these strips are comprised of the same alloy as that used for
nickels with the third (core) layer being comprised of copper.
The first step in the coin making process involves the
feeding of the metal strips through what is known as a
"blanking" press. This press punches out cut round discs
(blanks) about the same size as the finished coin. These
blanks are then heated in a furnace to soften them.
Subsequently, the softened blanks are placed in rotating
barrels of chemical solutions to clean and polish the metal.
The cleaned and shiny blanks are then washed and dried.
Next, the blanks are sorted to remove any defective
ones and the rest are put through an "upsetting" mill which
raises a rim around their edges. The rimmed blanks then go
to the coining or stamping press where upper and lower dies
stamp the designs and inscriptions on both sides of the coin
simultaneous