What’s a Numismatic Coin?

...And Why You Should NOT Buy Them!

We first published this article way back in 1996. We keep it available because over and over coin dealers keep repeating the same false claims which this article disproves.

False Claim #1

"Numismatic coins are exempt from government seizure by law." Totally false—no basis in statute or regulation.

False Claim #2

"Customer purchases of bullion gold coins must be reported to the government, but numismatic coins don't have to be reported." Totally false—no report is required when you buy gold, regardless whether it is bullion or numismatic. Only sales of certain gold and silver items must be reported, and then only when they exceed certain quantities.

False Claim #3

"Coins minted before 1934 are exempt from government seizure." Totally false—no basis in statute or regulation.

False Claim #4

"United States $20 gold pieces minted before 1934 are exempt from government gold seizure." Totally false—no basis in statute or regulation. In fact, it was mainly these coins which the government seized in 1933.

False Claim #5

"The law defines 'numismatic coins' as those having a premium of 15% or more over their gold content." Totally false—no basis in statute or regulation. A regulation was proposed in 1984, but never adopted.

False Claim #6

"The law defines United States $20 gold pieces as 'numismatic' coins." Totally false—no basis in statute or regulation.

Let the buyer beware!

You should buy what is best for you, not what is best for some coin dealer. In emergencies, times of economic downturn, or markets of significantly rising prices, all values tend to sink to their lowest common denominator. With gold and silver coins, that means their precious metal content. Premiums, especially numismatic premiums that depend on stable markets and widespread prosperity, cannot survive that sort of pressure.

Why spend money to buy premium that does not bring you any benefit? Remember, it is ounces that bring a return, not premium. If you have numismatic coins, act now, while you can, to convert that numismatic premium into more gold and silver by swapping your numismatic coins for bullion coins. Contact us with a list of your coins and we will calculate exactly how much gain in ounces of gold or silver that swap would net you.