Graded Or Raw Coins Which To Purchase?

and yes, what type coins interest you.

To the Forum.

Thanks for the warm welcome. It is four degrees here in Tennessee while I write this so I will take any warmth I can get. Everyone's responses are very sound and wise.

I made a purchase and also inherited a fair size collection.
One gold fractional all the rest silver. Using the Red Book I sorted out coins of low quality first. Also got rid of about 225 clad half dollars. Also a number of silver dimes and quarters. This returned to me just over $5000.00. So I guess that is my budget for "improving" my collection.

I like history and different coins. Collecting a complete set does not appeal to me. I would like to have a Coin from 1790's
since it would have been in circulation when all of the Country Founders (USA) wee still alive. A nice coin from 1814 -1815 when Andrew Jackson was working to defend New Orleans etc. I like a cross section of US coins in nice to very nice condition as much as possible.

I still have some coins I may sell or scrap as they are very warn such a few Barber coins. Hopefully this is enough information as to what I am striving for.

I have some interest in Gold coins but realize I would have expand my budget to enter that world very far. It would be nice to have say one of a 5, 10 and 20 dollar piece.

Thanks for your guidance. I know just enough about coins to be dangerous.

Just because I don't go for slabbed coins should not mean that others should avoid them.

Actually, if you wish to acquire some nice gold coins and you are a beginner, (as we all were at first), is is safer to pay a bit more, and go for slabbed coins. The premium you pay for safety could well be worth it.

The next thing to concern yourself with is the authenticity of the slab. From my experience here in the CCF, fake slabs seem to be much scarcer than fake coins.

to the Community!

For years I was firmly in the "buy it raw and put it in the album" camp. For the most part I still am, but I recently began buying graded Ikes to build a second set (to compliment, not replace the one in the Dansco album).

Ultimately there is no right or wrong answer if you can prepare and educate yourself to make the right purchases.

Education takes away the perceived necessity of slabbed coins. This perceived necessity has grown with the advent of the internet and online sales. Before the internet, slabs, overall, had nowhere near the following the internet gave them through mass exposure.

The hobby got along without TPGs for years.

However, since the internet has made more coins available to more people, the number of fakes has also increased. Hence people getting into the hobby for the last 30 years have been introduced to a hobby where some people also depend on slabs as a way of not getting burned. For the most part the TPG companies DO spot fakes. This makes sense since they handle so many coins. However, there are legitimately slabbed fakes also (uncommon).

Just don't get caught thinking slabbed coins are an exact science.
1. Different companies will assign a different grade b/c each company has their own standard (so ultimately none are "right" - its an art). The masses, for some reason, like PCGS the best.

2. A cracked out coin never has a guarantee of gaining the same grade if resubmitted - even to the same company.

3. Grading is not a science - it is an art - hence the above points exist as reality.



Here is a video I find amusing on youtube:


A person is at a show where a PCGS expert is giving a "test" to another person to see how many coins out of 20 the collector can grade "right."

Each coin is reviewed as to what the collector graded it and then the collector's grades are scored by the PCGS "expert" giving the test.

Note the replies the expert gives the collector. After the collector explains why he graded a coin a certain way, the expert looks and finds some feature to explain why "we" (PCGS) graded it as "we" did.

Listen carefully to the comments being made though such as "close enough," "most dealers would grade it the same," etc.

And then hear for some of the coins, the expert tells the collector not to feel bad because when he (the expert) took the same test, he did not get the grade right either.

Re-read that last statement. The PCGS expert grading the "test" did not give the coin the "right" grade either when he took the test?!

Imagine how a TPG expert from company A would grade on a similar test by TPG company B.

Again - art, not science - there is, at present, no "right" answer that is rock solid. I personally believe a coin-grading scientific system could have been developed long ago with 90's technology, but I won't go into that here.

What it all boils down to is make sure to buy the coin and not the slab.

Seeing slabs will help you get a feel for what a certain TPG will generally assign. But also make sure to check out this forum where our own CCF family members offer their opinions on the grades of already slabbed coins in threads such as "You vs. PCGS." The results can be very interesting.

Some people collect slabbed coins b/c they look nice, and I can understand this. Its a hobby. Collect whatever you like. Just, as you obviously are by making this thread, do the homework first.

If you're looking at classic US coins from the late 18th to early 19th centuries then I would definitely purchase coins encapsulated by one of the major TPG companies. No question about it imo. One thing not mentioned is these companies have been around for about 30 years. Many of the coins in the dates you're looking have been through their system already. If it's not in a holder then it's because it's either been in a long time collection or it was removed from the holder due to a details grade or some other reason. I'm always skeptical nowadays when I see a raw coin unless it's a very common date. It raises my antennae.

Another thing not mentioned is CAC. It might make sense for you to look at graded coins certified by CAC. They certify only the top A and B coins for the respective grade so you likely will be getting a quality coin. You'll know it's been certified by CAC if you see a small oval green sticker with their logo affixed on the slab. By looking at coins certified by CAC you'll also train your eye to know what to look for. There's a premium paid for these coins but to be honest it's probably best to pay a premium for a quality coin than to pay too much for something that has problems that you may not be aware of as you're learning.