beginners-guide

Purpose

A comprehensive guide for complete beginners who want to start collecting coins, covering initial steps, essential knowledge, tools, and best practices.

Key Findings

Coin collecting is one of the most accessible hobbies - you can start with loose change from your pocket
Most important principle: collect what interests you, not what you think will be profitable
Never clean coins - this significantly decreases their value
“Buy the book before you buy the coin” - education is essential before spending money
The Red Book is the definitive U.S. coin price guide (2026 edition is the 79th)
Professional grading uses the Sheldon Scale (1-70 point system)
Proper handling and storage are critical for preserving value

Getting Started

Step 1: Start With What You Have

The easiest way to begin is with coins already around you:

Check your pockets, piggy bank, and change jars
Look under couch cushions and in your car
Search through coin rolls from banks
Gather everything in a safe place

Why this works: Unlike many hobbies requiring expensive equipment, coin collecting can start at zero cost. You likely already have interesting coins without realizing it.

Step 2: Choose Your Collection Focus

Common collection themes include:

Country of origin - U.S. coins, world coins, specific countries
Time period - Ancient, medieval, modern, specific decades
Denomination - Pennies, quarters, silver dollars, etc.
Design theme - 50 State Quarters, commemorative series
Mint marks - Coins from specific U.S. Mints (P, D, S, W, CC)
Artist or designer - Coins by specific engravers
Coin finish - Proof coins, uncirculated, business strikes

Beginner-friendly options:

State Quarters (1999-2008) - 50 coins, readily available, low budget
Indian Head Pennies - Historical interest, affordable
Lincoln Cents - Longest-running U.S. coin series, widely available
Modern commemoratives - U.S. Mint releases special designs regularly

The golden rule: Choose what genuinely interests you. Your enthusiasm will sustain the hobby far better than chasing profit.

Understanding Coin Value

The Sheldon Grading Scale

Developed in 1948 by Dr. William Sheldon, this 70-point system determines a coin’s condition and value:

Scale breakdown:

1 (Poor) - Barely identifiable, heavily worn
3 (About Good) - Heavily worn, major design elements visible
12 (Fine) - Moderate wear, major details clear
40 (Extremely Fine) - Light wear only on highest points
50-58 (About Uncirculated) - Minimal wear, most luster remains
60-70 (Mint State) - Never circulated, no wear
- MS-60: Uncirculated but with many marks
- MS-70: Flawless, perfect coin

Six Grading Criteria

Strike - How well the design was impressed from the die
Preservation - Amount of wear and damage
Luster - Original mint shine/reflectivity
Color - Natural toning vs. artificial discoloration
Attractiveness - Overall eye appeal
Origin - Mint location (affects rarity)

What Decreases Value

Cleaning - Never clean coins; it damages the surface and is considered defacement
Scratches - From improper handling or storage
Bag marks - Contact marks from mint bags (acceptable on older coins)
Staple marks - From being stapled to cardboard (avoid this storage method)
Corrosion - Environmental damage, especially to copper and silver
Bent or damaged edges - Physical deformation

Essential Terms (Numismatic Glossary)

Basic Terminology

Numismatics - The study and collection of currency, including coins, tokens, and paper money
Obverse - The “heads” side of a coin (typically features a portrait)
Reverse - The “tails” side of a coin
Field - The flat background area not part of the design
Legend - The inscription or text, usually country name or motto
Denomination - The face value of the coin
Mint mark - Small letter showing which mint produced the coin (D=Denver, S=San Francisco, P=Philadelphia, W=West Point)

Condition Terms

Mint State (MS) - Never circulated, grades MS-60 to MS-70
Uncirculated - Same as Mint State, shows no wear
Proof - Special collector version with polished dies and enhanced shine
Business Strike - Regular production coin intended for circulation
Cartwheel effect - Light pattern on mint state coins resembling wheel spokes

Physical Features

Reeding (Milling) - Grooves on the edge (originally to prevent clipping/shaving)
Bag marks - Surface nicks from contact with other coins in mint bags
Toning - Natural color change over time (can enhance or decrease value)
Luster - Original mint shine and reflectivity

Essential Tools and Supplies

Must-Have Items

Reference book - The Red Book (Official Red Book: A Guide Book of United States Coins)
- Updated annually with current values
- 2026 edition is the 79th edition
- Buy this first before purchasing coins
Magnifier - For examining details and identifying mint marks
- 5x to 10x magnification is typical
- Jeweler’s loupe works well
Storage solutions
- Coin folders - Cardboard folders with slots for specific series
- Coin albums - Higher quality with plastic slides
- Holders - Individual capsules or flips for valuable coins
- Avoid PVC-containing plastic (causes green corrosion)
Cotton or latex gloves - For handling valuable coins
- Always hold coins by the edges, never touch the faces
- Oils from skin can damage coins over time

Professional Grading Services

For valuable coins, consider third-party certification:

PCGS (Professional Coin Grading Service)
NGC (Numismatic Guaranty Corporation)
ANACS (American Numismatic Association Certification Service)
ICG (Independent Coin Graders)

These services authenticate, grade, and seal coins in protective holders (“slabs”). Over 80 million coins have been certified collectively.

Where to Find Coins

Free/Low-Cost Sources

Pocket change - Check all change you receive
Banks - Buy rolls of coins to search through
Relatives - Older family members may have old coins
Estate sales - Sometimes find coin collections

Buying Coins

Coin dealers
- Ask experienced collectors for reputable dealer recommendations
- Build relationships with honest dealers
Coin shows
- National and local shows offer variety
- Can compare prices across multiple dealers
- Great for networking with other collectors
Collectors
- Trade or buy privately
- Join coin clubs for networking
Auctions
- Best for rare and expensive coins
- Requires knowledge to avoid overpaying
- Online auctions (Heritage, Stack’s Bowers) and live auctions

Important Beginner Tips

Do’s

✓ Handle properly - Hold by edges, use gloves for valuable coins ✓ Store correctly - Use proper holders and albums, avoid PVC plastic ✓ Educate yourself - “Buy the book before you buy the coin” ✓ Collect what you love - Interest sustains the hobby ✓ Join communities - Coin clubs provide learning and trading opportunities ✓ Keep records - Document what you paid and when you acquired each coin ✓ Take your time - Build knowledge before making expensive purchases

Don’ts

✗ Never clean coins - Even dirty coins are worth more uncleaned ✗ Don’t expect quick profits - Coins typically need years to appreciate significantly ✗ Don’t buy without knowledge - Know what a coin is worth before purchasing ✗ Avoid impulse purchases - Research before buying ✗ Don’t touch coin surfaces - Handle by edges only ✗ Never use staples or tape - These damage coins permanently

Joining the Coin Collecting Community

Coin Clubs

Benefits of membership:

Share your collection and get feedback
Learn from experienced collectors
Trade or purchase coins
Stay current on hobby trends
Access to club libraries and resources

Major organizations:

American Numismatic Association (ANA) - Provides database of clubs worldwide
Local coin clubs (check ANA database for clubs near you)
Online communities and forums

Learning Resources

The Red Book - Essential price guide
ANA educational programs - Courses and certifications
Coin shows - Educational seminars often available
Online forums - CoinTalk, NGC forums, PCGS forums
YouTube channels - Many numismatists share educational content
Coin dealer websites - Often have educational articles

Famous Beginner-Friendly Series

U.S. Coins

Lincoln Cents (1909-present)
- Longest-running U.S. coin design
- Affordable for most dates
- Notable: 1909-S VDB (low mintage, high value)
50 State Quarters (1999-2008)
- 50 different designs
- Easy to find in circulation (though increasingly rare)
- Each state released in order of statehood
- Affordable, beautiful designs
Indian Head Pennies (1859-1909)
- Historical significance
- Available in various grades at different price points
- Beautiful classic design
Morgan Silver Dollars (1878-1921)
- Iconic American coin
- Contains actual silver (0.77344 oz)
- Carson City (CC) mint marks are highly prized
- More expensive but holds both numismatic and metal value

World Coins

Canadian coins - Similar to U.S. but often overlooked and undervalued
British coins - Rich history, widely available
Ancient coins - Roman and Greek coins can be surprisingly affordable in lower grades

Investment Perspective

Realistic Expectations

Long-term hobby - Most coins need years to appreciate
Not a get-rich-quick scheme - Flipping coins quickly rarely works
Knowledge = Profit - The more you know, the better deals you’ll find
Condition is critical - Small grade differences mean huge value differences
Rarity + Demand = Value - A coin can be rare but worthless if no one wants it

Smart Collecting Strategies

Focus on quality over quantity (one nice coin beats ten mediocre ones)
Buy certified coins for expensive purchases (PCGS/NGC slabs)
Specialize in one or two areas rather than buying randomly
Learn to identify undervalued coins in your focus area
Keep coins properly stored to maintain condition
Document your collection (photos, purchase price, source)

Next Steps for Beginners

Inventory your existing coins - See what you already have
Buy the Red Book - Get the current year’s edition
Choose a focus area - Pick a series or theme that excites you
Get proper storage - Folders or albums for your chosen series
Find a local coin club - Search ANA database
Attend a coin show - See coins in person, talk to dealers
Start small - Buy a few affordable coins to learn grading
Read and learn - Study before making major purchases