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 Replies: 10 / Views: 2,232 |
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Pillar of the Community
708 Posts |
I was just wondering if it was worth hoarding all current U.S. coins, since they are made mostly of copper and nickel, except for the cent, and since the government is proposing or at least, talking about making cheaper, multi-plated steel coins, would hoarding all current U.S. coins I can get my hands on, be worth it? Especially copper cents (which I already save) and nickels, which I have been thinking of starting to save? And would even "zinc" cents be worth saving?
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Pillar of the Community
United States
9792 Posts |
I think saving copper cents is a good idea, I toss my change into a bag each day, every few months I'll go through it and sort it out, most goes back into the bank, the copper cents go into a 5 gallon bucket. I don't think other than error coins or varieties of a particular series modern coinage is worth saving at all.
"Buy the Book Before You Buy the Coin" - Aaron R. Feldman - "And read it" - Me 2013! ANA Life Member #3288 in good standing since 1981, ANS, Early American Coppers Member (EAC), Colonial Coin Collectors Club member (C4), Conder Token Collector Club member (CTCC), Civil War Token Society (CWTS) member, Liberty Seated Collectors Club (LSCC) & Numismatic Bibliomania Society member (NBS), USMex, Member in good standing, 2¢ variety collector. See my want page: http://goccf.com/t/140440 |
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Bedrock of the Community
13014 Posts |
Id say no, theres no market for their metals. Pennies are fine since you can resell though over face on ebay pretty easily but they will never be legal to melt. If they do get taken out of circulation the government will want the money from melting them and do the mass melting of them. Maybe at some point in the far off future theyll lift the ban but they have no reason to let other people profit off their loss |
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Moderator
 United States
56855 Posts |
Does the current ban keeping U.S. citizens from melting copper cents also keep the government from melting too? John1  |
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Bedrock of the Community
13014 Posts |
The ban doesn't apply to the government or who ever they say it doesn't apply too. They make the rules when it comes to what you can or cant do with money
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Valued Member
United States
380 Posts |
Penny's aren't made out of much copper anymore anyway.
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Bedrock of the Community
Australia
21786 Posts |
Solid copper cents OK, it won't cost you much to save them any way.
Quite another thing to save enough of them to make a profit out of it.
Save them just for fun! That way, you are encouraged to look at other coins, and pick out anything that takes your fancy.
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Pillar of the Community
Israel
2420 Posts |
The short answer is no.
In an inflationary environment like we have today, each dollar is worth less in the future than it is today.
Zinc pennies, dimes and quarters (and dollar coins) are probably about the worst investment you can make, as you'll probably never be able to get their inflation adjusted value of today.
In fact, the government would love it if people hoard dimes and quarters. They mint them for far less than their face value, which means they can mint a few more and profit off you.
Nevertheless, there are some exceptions:
- Copper nickels, when found in change are good for hoarding, as you can easily sell them for profit at any given time. However, sorting pennies can prove very inefficient time-wise.
- Nickels. They do have a slight premium over melt, but you'll never* be able to get their inflation adjusted face value purchasing power you can get today.
The reason for keeping them is different. It provides a tool to get a near inflation adjusted in an nontaxable asset. Compared to today's negative real yield alternatives, it's not a bad option.
- UNC coins you can get at face value. History have proven that uncirculated coins tend to rise in price faster than inflation (compared to their face value).
All in all - I keep copper pennies as I like to sort them. I hold some nickels, but have no illusions that they will gain purchasing power, and I save every UNC coin I find.
(*)ask your favorite recycling company what they would pay for such metal pieces if they were allowed to mint them
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Pillar of the Community
United States
1119 Posts |
I keep all copper pennies I come across and I save some rolls of nickels when I can afford it. I save all uncirculated and interestind coins I find also. I Hate zinc pennies.
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Pillar of the Community
United States
2168 Posts |
The coins to keep are pre 1982 pennies as well as nickels. They both are valued for at least their face value. Can't hurt to keep for dire times if they happen. All coins will always have value of more than the fiat paper we use. Just my thoughts. I do keep all! If things smooth out deposit the coins and do with them as you like. If things go bad, coins have value at least. Just my thoughts.
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Pillar of the Community
United States
2541 Posts |
I think supgog nailed it on the head. People really forget about inflation. It is a slow, painful erosion of your purchasing power made necessary by fiat money based defective spending...
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Replies: 10 / Views: 2,232 |
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Posted 02/13/2013 03:46 am
