What's My Coin Worth?

One of the first questions a collector needs to answer is whether or not the coin is authentic. In other words, is the coin actually what it appears to be?

As with any valuable object, fraud can occur. Coins can be altered to make them appear to be much more valuable than they actually are. Individual coins being altered is one problem. Counterfeit coins being produced by some dishonest folks in the Far East has become a major problem in the numismatic world. Some inauthentic coins are easy to spot, some are very, very meticulously produced frauds which can actually fool professional numismatists!

Luster is the the reaction of light to the microscopic flow lines or die erosion lines on the coin's surface. The amount of luster a coin has is the major element in determining its eye appeal. Generally speaking, the heavier, or frostier, the luster the higher the coin's eye appeal (And usually the grade). Luster is considered the major grading criterion for mint state coins.

The better or the strike, the sharper the coin's detail, and (most likely) the higher the coin's grade. Some coins have notoriously weak strikes. Others are known for strong, sharp strikes. In fact some coins are even struck multiple times to improve the appearance of the coin. These coins, known as "Proof" strikes, show nicer details and often smoother finishes. But be sure to understand that a Proof coin is not a measure of the coin's condition, it is the manner in which the coin is produced.

On copper or bronze coins, red color is considered the most original and vulnerable. The introduction of brown toning lowers the color and therefore the grade designation into one of three categories: RD for Red, RB for Red/Brown and BN for Brown. Red/Brown toning is less original and brown the least original. The darker the color of a copper coin, the lower the grade (and value) of the coin.
But color and toning is often a fickle determinant of value. Look at the "discolored" coins below!

Toning is a thin film of sulfide that is often found on the surface of reactive coin metals, especially copper and silver coins. It is what can cause an uncirculated coin to have beautiful and subtle hues moving from blue to magenta to orange and other colors.

Therefore a coin's toning can be either attractive and add to its overall grade, neutral and not play a part in the final grade or negative and bring down the coin's grade.

There are two major ways that the Mint can make a production mistake. The first is to strike a coin on a substandard planchet (the round metal disk that is eventually struck to make a coin). The second is to strike a coin from a less than perfect die. If either happens, the coin's grade can be lowered depending upon the location and severity of the flaw. In some cases, the flaw may be so severe that the coin may not even be able to be graded.

The obverse, or front side of a coin, almost always dominates a coin's value and therefore its grade. Only rarely does a coin's reverse side add or detract significantly to the coin's ultimate grade. This is especially true with large portrait coins such as Morgan and Peace dollars.

Friction is caused by light rubbing or contact on the coin's high points. Even slight friction or wear can sometimes lower a coin's grade from being uncirculated, or mint state, to being circulated. In some instances it is more than just details that are eroded, there is a partial (or at times complete) wearing away of a coin's features. For the most part, the more worn a coin is the lower it's value.

The Peace Dollar at the right has evidently had a long, well-traveled life, being handled by many, many people. The picture of the 1924 Peace Dollar my father carried shows the evidence of its being carried and handled for more than forty years.

Many coins have a characteristic wear pattern. For example, the Two Cent Piece was the first coin to feature the motto, "In God We Trust." The motto is prominently placed, with the word "WE" being one of the highest places on the coin's surface. That makes "WE" one of the first places to exhibit wear due to friction. In some cases the word is even completely missing. Evidence of that can clearly be seen in the two examples of the coin pictured below.