Don’t Get Taken with Fake Bullion Coins

There are some shady coin dealers out there ready to take your money in exchange for fake gold coins, so you must always be cautious when making your coin collection purchases. If you shop for gold coins on eBay, there is some protection from fraud for the buyer.

Here are some tips to help you spot fake bullion coins and not come up on the short side of a coin trade.

#1 – A Trustworthy Seller – You might save a few dollars shopping around for a deal, but you might also lose just as easily. While you may spend a few dollars more trading with a reputable coin dealer you know you can trust, that is still a lot better than losing money on a fake coin purchase from someone you do not know.

#2 – Too Good to be True – Everyone wants to come out on the winning end of a coin sale. Don’t be too quick to let a coin dealer or trader know if you do not know a coin’s true value. Also remember always that if something sounds too good to be true, it usually is exactly that.

A buyer will usually go ahead and purchase a coin before having it appraised because they fear the seller will go up on price. That is okay if the seller will be easily located after the coin sale and allow a refund if the coin turns out to be a fake, but if he/she knows it is fake, it is not likely they will want to deal with you after the sale.

#3 – Digital Scales – It is not unusual for experienced coin traders to carry a digital scale with them to coin shows so the weight of the coins can be easily determined. Most knowledgeable coin dealers know what the weight of certain coins should be. There are some sellers who buy counterfeit coin copies from eastern countries such as China and try to sell them as bullion gold coins, and after the sale they are nowhere to be found.

Do your homework and know how much coins should weigh. This is not a foolproof way to identify fake coins, but gold and silver do weigh differently than other metals. Having something to measure the coins with is also a good idea, because dimensions of coins are also published for rare and unusual coins.

#4 – Portable Information – Purchase a pocket sized coin reference guide you can carry with you and refer to when shopping for coins. No matter how good your memory is, it is just not likely you will be able to memorize the details of every rare coin. Even one small detail can make a difference when determining if a coin is authentic or a fake.

Don’t let yourself get taken in by a fake coin salesman. Educate yourself about coins and coin trading. Carry a reference guide with you when coin shopping. If there is any doubt about a coin’s authenticity, have it appraised prior to purchase. Just these few small precautions can prevent you from losing money on a fake bullion coin trade, so shop wisely for your coin investments.

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