Looking For a Coin on the Secondary Market?
- May 22, 2018
- Learn
- 5 minutes read
The Royal Canadian Mint takes pride in creating truly unique and innovative collector coins. Often that means some coins, like the glow-in-the-dark Falcon Lake collector coin released in 2018, will sell-out in a matter of days or even hours, leaving collectors hunting on the secondary market for that special coin to add to their collection. But, where exactly should you turn when a coin sells out? What if you are looking for an older coin, maybe one only a few years old, but no longer in the Mint’s inventory?
Your best bet is to consult a Mint authorized dealer.
The Royal Canadian Mint takes pride in creating truly unique and innovative collector coins. Often that means some coins, like the glow-in-the-dark Falcon Lake collector coin released in 2018, will sell-out in a matter of days or even hours, leaving collectors hunting on the secondary market for that special coin to add to their collection. But, where exactly should you turn when a coin sells out? What if you are looking for an older coin, maybe one only a few years old, but no longer in the Mint’s inventory?
Your best bet is to consult a Mint authorized dealer.
What you may not know is that the Mint takes great care in vetting and maintaining its list of authorized coin dealers. Not everyone who inquires about becoming an authorized dealer is automatically accepted. The Mint’s authorized dealer program provides customers with reputable outlets for information, for purchase and resale, and for help in managing their collections.
What does it take to become an authorized dealer?
A potential dealer has to meet two criteria to be considered:
- They must purchase a minimum amount of coins (numismatics, i.e. collectible coins) per year.
- They must operate from a bricks-and-mortar location.
If a dealer meets these two basic criteria, the next consideration involves their location. Are they located in an area that is not already well served by other dealers, or are they in a busy metropolitan area with multiple, already well-established dealers? If it’s the latter, the Mint may maintain contact, but refer them to an established dealer with whom they may develop a relationship.
If however, the Mint thinks there may be value in the partnership, they will conduct a thorough vetting process. This involves investigating the potential dealer’s background, verifying their financial situation and business conduct.
The Mint performs a biannual review of all its authorized dealers. Many of the dealers listed as authorized on mint.ca are businesses that have been working with the Mint for over 20 years, and are in many cases family-owned entities with well-established reputations.
What do the various levels of authorized dealer refer to?
The different levels of the Mint’s authorized dealer program are based on the total business volume with the Mint each year.
Dealers who purchase more product tend to have larger operations with more employees, and will often dedicate more time towards specialized services for their clients. These may include concierge services where a dealer will personally contact customers to apprise them of new coins being released and other information pertaining to their collections.
Authorized dealers often have tens of thousands of different items in their inventories, including books on coin collecting, accessories such as frames and catalogues to store coins, and coins produced by other Mints from around the world.
What benefits come with being an authorized dealer?
In addition to having a link and their contact information displayed on mint.ca, authorized dealers get sneak peeks of upcoming numismatic products that the Mint is developing. Dealers will know of products in the Mint’s pipeline up to two years before they are released. Some dealers will even act as advisors to the Mint in suggesting and developing collectible products. The Mint also helps dealers with special marketing to support the launch of these new products.
The greatest benefit to a dealer may be that, in being vetted and vouched for, the Mint is conveying to collectors that your business is a reputable and trustworthy one.
Why should I consult an authorized dealer? What about eBay?
If you’re a collector looking to know more about coins, or your own collection, an authorized dealer is a reliable source with extensive knowledge of the coin market. They may have older inventory, or be able to help you locate a hard-to-find item. They will often carry bullion as well as numismatic coins. Authorized dealers will assess the value of your collection and give you an accurate idea of what it’s worth, sometimes for free, sometimes for a fee.
The Mint relies on its dealers for valuable customer and industry insights, as many of the Mint’s authorized dealers have decades of knowledge about coins and collectors.
Other places that collectors can look to are eBay, Kijiji and Amazon. You might find rare coins on eBay, or get a sense of what is being offered for a particular coin. If you choose to consult these kinds of sites, the best advice is to do your research. Don’t rely solely on these channels as the pricing of a coin may not reflect the actual value. Know who you’re buying from as you can confidently ask questions about the condition of a coin and where it came from.
Dealers will often sell coins for similar prices to those found online, with the benefit of added security if there is a problem with your product. Most dealers authorized by the Mint are also members of CAND (the Canadian Association of Numismatic Dealers) and abide by CAND’s Code of Ethics which includes a provision against the selling of fraudulent products. Reputable dealers will stand by their product, and provide a refund if a product proves to be falsified in some way.
What should I do if I think a dealer is operating in an unethical or fraudulent way?
Aside from the biannual review that all authorized dealers are subject to, the Mint maintains close relationships within the community of dealers. Word of mouth travels fast in the tight-knit dealer community, and authorized dealers are rightly protective of the trust that customers confer onto them by their status. CAND members also pledge to help law enforcement in upholding the law as part of their Code of Ethics.
If you are a collector who thinks that a Mint-authorized dealer is behaving unethically, you can contact the Mint by email or telephone to report your concerns. The Mint takes all fraudulent activity very seriously. If an authorized dealer were to be found guilty of such activity, their ties to the Mint and the Mint’s endorsement would immediately be rescinded.
Dealers are collectors in their own right, and they share the fascination and passion that all collectors share. They are dedicated to helping their customers achieve their objectives, whether they collect for personal reasons or for investment. Dealers work to maintain long term relationships with collectors, and provide unbiased advice based on knowledge of coins beyond the Mint’s purview and products.
When you consult an authorized dealer, you are speaking with a fellow collector who understands your passion. They are committed to providing you with excellent service and helping you to develop your collection in any way they can.