What Do You Look For in an Online Coin Dealer?

Back in the good ol’ days when I started collecting coins, there was no such thing as an online coin dealer. In fact, the word “online” wasn’t even in anyone’s vocabulary. The internet was still many years in the future.

Skipping forward to my life as an adult coin collector in the 1970s, it was possible, as it had been earlier, to buy coins from distant coin dealers who advertised in various coin magazines and newspapers. There were no pictures of the coins you were buying, unfortunately. You just had to trust that the dealer graded accurately.

I remember ordering a key coin for my Lincoln cent set in the early 1970s from a dealer’s ad. I can still remember the day it was delivered. I was cutting my front lawn when the mail person came for my signature. I cut off my mower, signed for the small package, and hurried into the house to look at my Very Fine 1909-S Lincoln cent.

Unfortunately, my excitement turned to disappointment when I looked at the coin. In my opinion, the coin was no better than Fine and not a really nice Fine at that. I think the price I paid for the coin was $20, so it really wasn’t worth returning the piece for an exchange or refund. So I suffered in silence and vowed never to buy anything from that dealer again.

Nowadays, we have the internet, and virtually any coin you might want to buy from a distant dealer is shown in a picture or pictures, which can often be enlarged and examined minutely. Although the situation is immensely better than it was before the internet, there are still coin sellers who take advantage of people who order from them.

So, what do you look for in an online coin dealer? As you would expect, when I posed this question on CoinTalk, I got a wide variety of answers with some common elements.

For example, the first respondent wrote, “No question returns or PayPal ... otherwise it’s go away. I’m buying from pictures so I insist on returnability. There are some very good dealers on eBay but no shortage of scammers either. Always check the feedback before buying is the best advice I can give.”

Another poster said he looked for selection first, followed by terms and forms of payment accepted. He later added, “Images!!! I should have put that as my #2, right behind selection.” The idea of good pictures of coins for sale turned out to be a common theme.

Another common theme was sticking to dealers who’ve given good service. One poster wrote, “I don’t buy very many coins anymore, but I seem to keep going back to dealers I know that have a good reputation. Returning a coin is a pain. My last return was over 20 years ago but I still want that option if needed.” He also mentioned good images.

Getting to know dealers personally was often mentioned. For example, one poster wrote, “I would meet with a dealer at a show and build comradery and a relationship before ever buying off a site. There are some excellent dealers out there that are reputable and have a great eye for quality coins.”

Several other collectors also mentioned doing business with dealers they know. For example, one wrote, “Ideally, I buy from people I have met at the shows over the years.” Said another, “If I buy from dealers, I almost exclusively buy from the people I’ve met. I gamble on eBay and buy at some reputable auction houses. But if I’ve met someone at a show, talked to them, gotten their card, I’m much more likely to visit their website later.”

The next respondent began with a desire for selection before adding other qualities he looked for. “It depends if they have material I would have use for and then price. Furthermore, [they should] have a fair return policy, quality professionalism, photos, prompt shipment, and quality/positive feedback, all a plus. The guy with a bunch of negatives, blurry photos, wannabee, lacking professionalism, dumbo just showing one side of the coin plus low or no feedback: He’s not even fit to be on the field.”

A collector of German coins generally buys from sellers in Europe. “I try to look for sellers with large inventories so that I may purchase several items at once to spread out shipping costs. I like for items to be accurately described. I’ve found several good coins on eBay, but am often directed to a seller’s main site by a business card tucked in the package, which I appreciate. Other than that, I’ll agree with others that I like multiple pictures, a fair return policy and reasonable shipping costs with prompt mailing.”

The next collector echoed the desire for good photos with the ability to enlarge them. “I hate having to return coins that arrive and are not what the photo represented. I also favor FREE shipping ... Some little volume sellers try to make a profit with ridiculous handling and shipping charges.”

High premiums on eBay were sometimes criticized. One collector wrote, “I buy on eBay quite a bit, and there’s plenty of good sellers there when it comes to tokens and medals. I’ve also bought gold coins on eBay with no problems excepting the high premiums! That’s the worst thing about eBay, high premiums to the point of feeling disrespected!”

Although I didn’t weigh in on the discussion, I have a problem with buying on eBay that no one else mentioned: charging state tax. If I buy something from an eBay seller, eBay tacks on an additional 7 percent to the price that I pay. This doesn’t happen if I purchase the same coins from the dealer’s website. Unfortunately, some of my favorite dealers now list virtually their entire inventories on eBay.

Bottom line: If you want to find a good online coin dealer, look for good pictures and lots of them, fair shipping charges and a reasonable return policy, a large selection, good feedback from a sizable number of customers, and, best of all, someone you’ve met at coin shows that you know to be a reputable and knowledgeable citizen in the coin world.