My dad is a stamp collector. When I was younger, I did not understand the appeal. Not one iota. There is something so serene about rifling through your collection, taking inventory, or looking for one specific piece. Hobbies are very important both for stress relief and just to get away from everything and enter your own little world, if only temporarily.
Coin collectors have been around since before the Roman Empire, and do not look to be dying off in the near future. Whether you think it is an absolute bore, or a potential endeavor to undertake, you can not deny that these reasons are appealing. You may well have a completely different reason for beginning a collection. Whatever the case, give it a shot. Have you ever collected coins or any other item?
Do you do it for the money or for the joy of it? All Rights Reserved. Money Crashers. About Money Crashers. Recent Stories. Read more.
Is coin collecting really a dying hobby? (No, it isn't!)
Brian Davis. Advertiser Disclosure X Advertiser Disclosure: The credit card offers that appear on this site are from credit card companies from which MoneyCrashers. Matt Breed. Views Shares Share This Article. Dig Deeper. Extra Income Money Management. Follow MoneyCrashers. Trending Articles. Become a Money Crasher! The more valuable your coins are, the more you should spend on protecting them. There are many different reasons why people collect coins.
Why Do People Collect Coins
One of the underlying reasons that every coin collector has is an objective is to sell their coins for more than they paid for them. There's an old adage that says, "Collect coins for your enjoyment and for your heirs profitability. Other reasons include assembling a collection of coins for a feeling of accomplishment and to admire their beauty. Taking time to work on your collection also provides an opportunity to relax.
There is also a social aspect by being able to join a coin club and participate in coin shows. People, who are successful investors in coins, take the time to educate themselves by seeking out detailed information on the coins that they collect. This provides them with the knowledge and experience that gives them the edge over uninformed collectors and dealers. If you're ready to advanced your coin collecting experience to the next level you need to seek out people and information that will guide you along your journey.
This may include visiting coin dealers in your area and becoming familiar with them and the coins that they sell. This will provide you an opportunity to ask questions and seek the dealer's advice. Like all businesses, there are good coin dealers and bad coin dealers. If you do not like a particular coin dealer, find another one to do business with. Also, some communities have coin clubs that meet on a regular basis. Finding a local coin club will also provide you with an opportunity to learn more about the coins you collect and to meet people with similar interests.
The Internet is also a wonderful source of information and, unfortunately, misinformation. By visiting this website, you have already found a resource that can help you advance your coin collecting knowledge. My dad bought a proof set from the mint the year I was born and gave it to me on my 18th birthday just as a cool little token.
I plan to make it a family tradition and have bought proof sets for each year my two sons were born. Also, I have a container with about 30 silver dollars in it which were given to me by my grandpa on each birthday and Christmas until he passed away when I was Coins can definitely become a cool little family tradition or heirloom.
That was a fascinating interview. My father-in-law has been a coin collector for decades. I have never spoken to him about it. It sounds like a fun hobbie that could be profitable.
The Beginner Coin Collector
I have collected cards, but it has been more for fun than profit. I have coins that I am trying to sell that I know is worth money along with baseball cards can someone refer me to someone who would be interested in buying. I was a coin collector at the age of 11 and How I wish that I took all that effort and knowledge and bought stocks instead of coins back then. I have a modest collection of assorted old US coins. I think they may have appreciated by a small fraction of inflation. The traders are the ones working for a living and making money off the spreads.
Investing to me means buying something that is throwing off positive cash flow, even if this is as retained earnings and used to grow the business.
How I wish I learned this lesson 32 years ago rather than 4 years ago but better late than never. My activity developed into a mix of collecting, investing, and a small business. This was not investing — it was luck. It was equivalent to picking one of the few individual stocks that goes up by 30x in 10 years. And, even if everything else is done right, luck is involved — you need to pick a segment of the coin market such as type coins or individual series that remains or ideally gains favor over the time you hold your investment, and you need to get the market cycles right.
But silver is a commodity — by its nature, highly speculative. The financial equivalent is individual tech stocks — a stock might go up 30x, then down 10x, then stay flat for many years, and finally go up 5x again.
In the financial world, index mutual funds are much safer. There is no equivalent in the coin world. Those more traditional investments were far more successful for me than coins or silver ever could have been. Comic books are the new coins and stamps. They will probably fall out of favor in years and replaced by something else. As a mail carrier, now retired, I collected letter openers. A wonderful hobby but definitely no investment. It was easy for family members to find a gift for me on birthdays, etc. I remember an article, decades ago, in BHaG mag, I think, about a lady who collected cookie jars.
She had over 2, Man, they were all over the house! What a helpful interview! My memory is far from what it was 50, 60 years ago. Thus I stay with the bullion. We are from Germany. So we give a coin for birthdays and a tube 20 as wedding gifts. Requires no shopping for gifts. Great interview. Like the Dr. I personally love the art deco designs of the early 20th century coins. Stop by a coin shop, and check out a Mercury dime or walking liberty 50 cent piece in near mint condition.
They are breath taking! I have always wanted to start collecting coins, so this article was a real eye-opener for me. I like that you mention how the value of anything is what people are willing to give. I like how you pointed out that coin collecting can give you some extra money, but it works better as a hobby. You made a great pointed when you pointed out that making coins is more expensive than have an ingot.
Great post. I too am a coin collector.