5 Costly Mistakes Coin Collectors Make When Assessing ‘New Finds’ (And How to Avoid Them)

I’ve watched collectors make the same expensive errors for years. The good news? These five mistakes are easy to avoid once you know what to look for.

1. Jumping to Conclusions About Rarity and Value

That “weird” coin in your hand? Don’t start planning how to spend the eBay windfall just yet. Many collectors assume unusual automatically means valuable – but that’s rarely the case.

Red Flags You’re About to Overvalue a Coin

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• You spot something “off” – like doubling, odd edges, or strange coloring – and instantly think “rare error”

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• You ask random forum members before checking trusted references

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• You believe family stories about mint workers prove value (sorry, they don’t)

What to Skip

Mechanical doubling from worn dies isn’t the same as a true doubled die – and won’t fetch extra cash. Same with fire damage. Looks weird? Probably not valuable. Mint errors are intentional quirks from the mint. Fire damage? That’s just a melted coin.

How to Actually Check for Rarity

Pull up the Cherrypicker’s Guide or PCGS/NGC error price lists first. Compare your coin to known error types. Ask yourself:

• Does this match a documented mint error (like clipped planchets or off-center strikes)?
• Could this be post-mint damage (cleaning, fire, tampering)?

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• Do I have clear photos from every side in good light?

Take the 1975 Lincoln cent “double die obverse” – it’s worth big money. But most doubling you’ll see isn’t raised (the real deal), just flattened die wear. Grab a 10x loupe to tell the difference.

2. Misidentifying Key Coin Features

I’ve watched collectors buy “rare” silver coins that turned out to be clad, or miss valuable SMS coins because they didn’t know what to look for. This stuff matters.

When You’re Probably Wrong About a Coin

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• The date or mint mark is blurry in your photos

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• You think a coin is silver just because it feels heavy

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• You confuse a beautiful business strike with a Special Mint Set coin

What to Skip

That 2.5g weight doesn’t guarantee 90% silver. Modern clad coins can weigh the same. Skip the guessing. A sigma metal tester or XRF analysis will give you the real answer.

And SMS coins? They have specific packaging and paperwork. If your “SMS” quarter came from a jar of change, it’s probably not. As one dealer told me: “Just looks nice” doesn’t make it special.”

How to Get the Details Right

Use a 0.01g scale and verify the metal content. For SMS coins, check Mint Director’s records and PCGS/NGC population reports. No paperwork? It’s not SMS.

Pro Tip: Good photos are everything. Shoot in daylight (never flash) with a white backdrop. A phone macro lens works great for close-ups. Blurry photos help nobody.

3. Overestimating the Value of “Unusual” Features

Foreign planchets, odd shapes, weird strikes – these sound exciting. But if they’re common, they’re worth face value. Let’s be real.

When You’re Probably Overhyping a Coin

• You find a coin on a different metal or odd shape

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• You hear “someone sold one for $1,200!” with zero proof

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• You quote values but can’t show recent sales

What to Skip

A coin struck on a foreign planchet isn’t automatically valuable. Even if rare, the market decides the price – not your hopes. And grading costs $20-$50 plus shipping. If the coin’s not special, you’re just throwing money away.

How to Actually Value an Oddball Coin

Check recent sales on Heritage Auctions, GreatCollections, or sold eBay listings. Try this math:

True Value = (Recent Sale Price) - (Grading Cost + Shipping)

If it’s under $20, save your cash.

For potential rarities, PCGS/NGC Error Service can authenticate it. But use this only when you’re sure it’s special.

4. Confusing Damage with Error

Fire damage looks weird. So does corrosion. But they’re not errors – they’re damage. Big difference.

When You’re Looking at Damage, Not Errors

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• Colors are blotchy, surface is warped or bumpy

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• Metal looks dull, almost chalky

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• Front and back don’t match (seriously, check this)

What to Skip

Heat damage isn’t a “rare mint error.” It’s a ruined coin. And never clean it. That polished “shine” destroys any value.

How to Spot Fire Damage

Look for these signs:

• Melting or warping
• Weird, uneven coloring (not natural toning)
• Bubbled or distorted surface

Hold it under a bright light. Any warping or weird edges? That’s fire damage. Worth face value, if that.

5. Poor Documentation and Communication

Blurry photos and vague stories make experts skeptical. And they should be.

When Your Evidence Falls Short

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• Photos are pixelated or have flash glare

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• Front and back don’t match – are these even the same coin?
• You can’t track which coins go together

What to Skip

Don’t expect experts to authenticate a coin from a fuzzy phone pic. And don’t send coins for grading without checking first. Save yourself the headache (and cost).

How to Document Like a Pro

Use this Coin Photography Checklist:

1. Natural light near a window (not direct sun)
2. Plain white background
3. Macro shots from 6 inches away

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4. Multiple angles: front, back, edge, error close-up, ruler for scale
5. Clear file names (like “1966Half-Obverse.jpg”)

Protect Your Collection – and Your Wallet

Finding valuable coins is exciting. But avoiding mistakes matters more. Remember:

• Verify first. Use metal testers, scales, and reference guides
• Document everything. Good photos and notes prove your case
• Damage ≠ error. Fire-ravaged coins aren’t rare
• Research before grading. Don’t waste money on common coins
• Provenance helps, but doesn’t prove. Use stories to guide research, not as evidence

Skip these five mistakes, and you’ll save cash, time, and credibility. When you *do* find something rare, you’ll know exactly how to prove it.

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