I can’t speak for meteorologists or adults who track the seasons but, for children, especially schoolchildren, spring has sprung and summertime is clearly in the crosshairs. For as long as anyone can remember, in kid’s minds, plans for summer include schemes for making money and/or finding riches. It’s human nature.
Classic TV shows told of kids taking advantage of most any opportunity to earn money. On Leave It To Beaver, Wally and Beav tried to sell perfume to get a movie projector. Didn’t work. On The Andy Griffith Show, Opie and friends hoped to make a fortune selling healing salve. That too went down in flames. (Full disclosure: I sold Christmas cards door-to-door. I earned a BB gun.....)
Time was, most entrepreneurial ideas for kids came out of the pages of comic books or monthly magazines such as Popular Mechanics found on newsstands or in corner drugstores. Sadly, such retailers have disappeared along with many of the periodicals themselves. That now leaves kids and adults alike susceptible to cleverly phrased online and TV/radio ads.
One of those wishful pursuits has always included finding a rare coin or stamp – the kind once prominently showcased in ads by mail-order dealers. Those ads helped conjure dreams of new bikes or mini-motorcycles. (My brother was convinced he would be able to purchase either a gyrocopter or a spider monkey. Yes, in the early ‘60s they sold monkeys through the mail.)
Today, new alluring ads are garnering attention. One promotes a one-pound bag of vintage Morgan silver dollars minted between 1878 and 1921. There are 17 coins in the lot. The sellers assure there will be a variety of at least 10 different dates in the mix.
It’s a concept sure to evoke dreams about those rare silver coins struck over 100 years ago. The Morgan dollar after all was iconic throughout the old west and industrial age. But, what of the current price? As of this week, many dealers sell them for around $26 apiece in well-circulated “very good” condition. The company is asking $700 for a bag of the dollars in that same well-circulated state. That comes to a bit over $40 per coin.
For those wanting the coins in shiny uncirculated condition, the company’s price doubles to $1,400 or $82 per coin. From local dealers, the price I found was $51 per coin, or $870 for 17. Quite a difference.
For many buyers around the country, one trouble is a lack of good and reliable local coin dealers. Most are now found in larger cities. Alternately, buyers in small towns must know a good dealer from whom they can buy coins remotely and have them shipped.
Whether online or otherwise, one always has to be alert and careful about prices. Even the US Mint bears a little scrutiny. Case in point would be the single gold coins they sell. For those wanting to buy standard uncirculated gold coins, the US Mint only makes available the far more expensive, highly polished “proof” versions. Those come in beautiful felt presentation boxes with a certificate of authenticity. Not exactly the type of coin that is prudent for investing in gold bullion.
Of concern is the premium charged. The 2024 1/10-ounce gold Eagle coin was just released by the US Mint. While gold is now trading at $2,300 per ounce, the US Mint price for the 1/10-ounce coin is $365. That translates to $3,650 per ounce.
In addition to that being a massive premium above the “spot” price of gold, it’s way above the local dealer trading point as well. Local dealers with whom I spoke said they sell the same 1/10-ounce proof gold coins from earlier years in the original box with COA for $285. In turn, they buy them for $245. The $40 difference covers their overhead. So, even with that premium, buying from a local dealer results in a significant $80 savings over the price from the US Mint.
Naturally, anyone buying gold from the Mint isn’t looking for overnight gains. The same is true for buying gold or silver coins from local dealers. It takes time.
That’s a hard concept for eager young kids hoping to make a quick buck to understand. After all, the price for a spider monkey has gone up from the $18.95 they were advertised for in 1960s comic books to upwards of $15,000. Cost aside, today my brother would be out-of-luck. In addition to being endangered, spider monkeys are now illegal to own, even if paid for in silver or gold coins.
For more collecting information and advice, log on to: http://prexford.com/.