Coins that you should avoid

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Coins that you should avoid

The 1938-D Buffalo nickel MS 67 PCGS or NGC and the 1945 Mercury dime in MS68 NGC coins are in the best certified holders in seemingly incredibly high grades and may be considered “rare” by some collectors. But beware! These are wolves in sheep’s clothing that will take away your money – and disappoint you when you attempt to sell them in the future.

Not all "rare" coins are rare

Some "rare coins" are actually quite plentiful. And that’s more likely to happen when the economy takes a nosedive – because people need cash in tough times and coins take a back seat to buying groceries and paying rent. The result of that is the flooding of the coin market with certain dates or types of coins that in better times were more marketable. Or there were just a lot of them to start with.

The 1938-D Buffalo nickel in MS 67 PCGS or NGC

The last date of the popular Buffalo nickel series, 1938-D, was hoarded in rolls by collectors who believed that because of its relatively low mintage (7,020,000) – and that it was the last Buffalo nickel – that it would rise in value over the years. So many rolls were hoarded, however, that thousands and thousands or examples are available in gem mint state: MS65 and higher.

1938-D Buffalo has strong strike and booming luster

Additionally, the vast majority of 1938-D Buffalo nickels have a consistently strong strike and simply amazing luster. Thus you can find these coins certified in PCGS (Professional Coin Grading Service) and NGC (Numismatic Guarantee Corporation) holders quite easily. Are they popular? Yes. Are they beautiful? Yes. Are they rare? No!

This coin has a certified population of over 3,000!

The certified population of this coin tells the story. In PCGS there are 1,495 graded MS67, while at NGC there are 1,734 in that grade. Because of the grade, however, dealers will charge a premium. Before the recession, these coins were going for up to $300 each.

Prices have come down to earth, but are still quite high considering the population of the 1938-D Buffalo nickel in MS-67. If you want one for your collection, you’re better off buying a slabbed MS65 or 66 in a PCGS or NGC holder. This is not an “investment” coin. Now if you had one in MS-68 that would be a different story. One in that grade with rainbow toning in a PCGS holder with a CAC sticker recently sold at a Heritage Auctions Gallery auction for $21,850.00.

1945-S Mercury dime in MS68 NGC

Now first of all, this is a truly stunning coin. It can be a bit breathtaking also. But – and it’s a big “but” – it’s not rare. And it will cost you a lot of money. But how can it not be rare in an NGC holder in a grade of MS68? First of all, the truly rare high-grade Mercury dimes have FB (Full Bands) on the reverse. PCGS has graded only three 1945-S MS68FB Mercury dimes. Additionally, the population of these coins is 365 in NGC and 0 in PCGS.

You will pay between $200 and $400

It is quite probable that the vast majority – if not all – of the MS68 1945-S NGC dimes would be certified as MS67 by PCGS. The reputation of PCGS is that it is a more conservative grading service than NGC. Thus their coins fetch more money in the coin market. It will cost you between around $200 and $400 to buy one

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