Purchasing Coins at a Public Auction

Auction officials may acquire their coins onthe grade and overall quality of the coins they plan to
consignment from private dealers, governmentbid on beforehand.
agencies, collectors, estates, museums, banks, or otherAs the auction starts, a single spokesperson, who is
sources and then offers them to the public where bidsfollowing the mail bids will announce the starting bid
are taken and the highest bidder then purchases theaccording to the bids from the mail, which are typically
coin they have been bidding upon.an advance over the second highest mail bid. After the
While participating in an auction might be extremely funspokesperson calls out the opening bid, the auctioneer
most collections have been formed from acquiringwill cry out that they have a bid of a certain amount
coins in this manner. Typically all auctions areand then ask for a higher bid. At this point if there is
conducted in the same manner, with the exception ofany competition from clients who would like to bid on
auctions they do mailing bid sales. Normally auctionsthat particular lot, then hands will begin going up. The
are conducted by licensed auctioneers with the auctionauctioneer will continue advancing the amount, until that
itself containing a various amount of rare coins with theparticular lot is sold to the highest bidder.
majority containing more common coins from a varietyIf on a particular lot no one within the audience makes
of series.a bid higher than the opening bid, then the lot
Before the actual auction begins, each coin is firstautomatically goes to the bidder who mailed in their bid.
graded and determined if it is desirable. Then some ofIf a bidder at the auction bids the same amount as the
these coins are sent to an agency where they will behighest bidder who mailed in their bid, then the lot would
certified. After the all coins have returned from beinggo to the mail in bid because theirs was received first.
certified each coin is then assigned a lot number. TheWhen purchasing coins at any auction be cautious of
auctioneer company will then begin their process ofany coins that are sold under "as is" because once
researching and creating a catalogue for the auction.you purchase any coin then more than likely you will
Each coin has to have their pedigrees verified, dienot be able to get a refund, unless the coin is actually a
varieties confirmed, and any market information has tofake. It is a wise practice to make sure you
be studied, which often brings surprising results to allunderstand the terms of sale beforehand, and do not
involved.be afraid to ask question of other collectors or the
Once the catalogues are completed, they are thenauctioneer company. It will also help you to become
distributed to clients, who are on a mailing list thatfamiliar with the descriptions that the auctioneer uses.
belongs to the auctioneer company. Soon bids beginAnother safe guard for any bidder is to determine the
pouring in and the auctioneer company will beginprice for any lot you are willing to pay in advance, then
posting the bids in preparation for the auction. On thedo not exceed that amount. There are times when
day of the auction itself, clients have the opportunity tobidders do get carried away with the excitement that
inspect the coins they plan to bid on. All floor bids arefills the room and does over bid on a lot that may not
final, which is why it is important that the clients verifyeven be a good value in the end.