How to Buy Silver Dollars and What to Know
Navigate the process of acquiring silver dollars. Gain essential knowledge for smart collecting and investment.
Silver dollars are both historical artifacts and tangible assets, attracting interest from collectors and those seeking alternative investments. These coins offer a connection to American monetary history. Their appeal stems from their intrinsic metal value and potential for numismatic appreciation based on rarity and condition. Understanding these coins is an important step for any prospective buyer.
Types of Silver Dollars
The U.S. Mint produced several types of silver dollars, with Morgan and Peace dollars that are widely recognized. Morgan Dollars were minted from 1878 to 1904, and again in 1921, featuring a design by George T. Morgan. This coin depicts Lady Liberty on the obverse and an eagle on the reverse. Morgan Dollars are 90% silver and 10% copper, containing 0.77344 troy ounces of silver per coin.
Peace Dollars succeeded the Morgan Dollar, minted from 1921 to 1928, and then again in 1934 and 1935. Designed by Anthony de Francisci, the Peace Dollar showcases Lady Liberty with a radiate crown on the obverse and an eagle at rest on the reverse. Like the Morgan Dollar, it also contains 90% silver and 10% copper. Earlier issues such as Seated Liberty Dollars and Trade Dollars exist, but appeal to more specialized collectors.
Factors Determining Value
A silver dollar’s value is influenced by its condition, rarity, and historical context. Condition, or grade, is assessed using a standardized system from Poor (P-1) to Perfect Uncirculated (MS-70). An Uncirculated (AU) coin shows slight traces of wear, while a Mint State (MS) coin shows no traces of wear and retains its original luster. Differences in grade lead to substantial variations in price, with higher-grade coins commanding greater premiums.
Rarity is important, driven by low mintage numbers, survival rates, and specific mint marks. Certain dates or mint marks within the Morgan or Peace Dollar series are known for their scarcity, making them sought after. A coin’s historical significance, including its production or circulation history, can also contribute to its desirability and value. Understanding these elements is important for assessing a silver dollar’s worth.
Where to Purchase Silver Dollars
Silver dollars can be purchased through several channels. Online marketplaces and e-commerce sites provide a wide selection and the convenience of browsing. These platforms feature detailed descriptions and images, though physical inspection is not possible before purchase. Many online dealers also offer return policies and authenticity guarantees.
Local coin dealers offer in-person inspection, allowing buyers to examine coins before purchase. They can also provide expert advice.
Coin shows and conventions offer a large inventory from multiple dealers, fostering competitive pricing and direct negotiation. Auction houses, both online and physical, are another avenue, but buyers should be aware of buyer’s premiums and bidding dynamics.
Tips for a Successful Purchase
Verifying authenticity is important when purchasing a silver dollar. Buyers should know the weight, diameter, and thickness of standard silver dollars: approximately 26.73 grams, 38.1 millimeters, and 2.4 millimeters. Comparing the coin to known genuine examples through images or physical references can help identify discrepancies. Buyers can also listen for the distinct “ring” of a silver coin when gently tapped, which differs from base metals.
Before finalizing a transaction, confirm the seller’s return policy, typically 7 to 30 days, for independent authentication. Secure payment methods, such as credit card payments with buyer protection or insured bank transfers for larger sums, are advisable. Insist on a detailed receipt including the coin’s description, grade, and purchase price. Handle the coin carefully by the edges to avoid damage and store it in an inert, archival-safe holder to protect its condition.