Texas AG: Invest in research when buying gold coins

AUSTIN, Texas — With input from numismatic experts, the Attorney General of Texas, Ken Paxton, recently issued a consumer protection alert about buying and selling gold coins.

Award-winning expert of rare coins and precious metals and authority on numistmatics-related crimes Michael Fuljenz, president of Universal Coin & Bullion, Beaumont, Texas (www.UniversalCoin.com), in coordination with other noted numismatic authorities, consulted with the attorney general’s office regarding this consumer alert.

The advisory is titled “Consumers Should Do Their Research Before and After Investing in Gold Coins.” It emphasizes the critical importance of working with reputable dealers to help avoid paying too much when buying or receiving too little when selling. Paxton’s office recommends researching dealers through the Better Business Bureau. As well as the American Numismatic Association. In addition, the Professional Numismatists Guild, Professional Coin Grading Service and Numismatic Guaranty Corporation.

While anyone can be a victim of unscrupulous practices, the Attorney General’s office specifically refers to the senior citizen demographic within the U.S. This group accounts for 14% of the population. In turn, the advisory also states 60% of the callers to the National Fraud Information Center are senior citizens.

“By issuing this important consumer protection advisory, Texas is not only assisting Lone Star state residents but providing nationwide benefits to the public who can access this useful information online. Attorneys general across the country now also have a template to provide consumer protection advice to their residents about buying and selling gold bullion and gold coins,” said Fuljenz.

• Do not respond to callers not previously contacted. Cold callers often are not registered in Texas to legally telemarket and often try to pressure customers to act quickly.
• Do not do business with a dealer who guarantees your purchases are totally safe, will go up in value or can’t go down, stresses government gold confiscation or says he will buy them back for what you paid at any time.
• Keep notes and all receipts, documents, correspondence and shipping records regarding transactions.
• Inquire about terms of return privilege on rare coins when considering a purchase.
• When welcoming a dealer into your home to do an evaluation, always have a second person in attendance.

• Counterfeit coins and gold bars, as well as counterfeit grading service holders are a possible risk, especially with online transactions.
• Be wary of home storage IRA plans, as these have not been thoroughly tested with the U.S. Treasury or IRS. Stick with reputable independent custodians.
• Be careful selling to itinerant dealers who set up in hotels or in temporary locations. Instances of customers receiving much less for their coins is often cited.
• Make sure dealers you are working with are registered to do business in the state, and when required, registered in their city.
• If a dealer does not pay you, return your coins or deliver your purchased product in 30 days or less, you may have been a victim of fraud.
Learn more by visiting www.texasattorneygeneral.gov/cpd/gold-coins.

Editor’s Note: In light of this advisory, we want to mention two reliable references with valuable information about coins, including gold issues. Both books are published by Krause Publications Numismatics group, a sister publishing entity of Antique Trader, and have served the coin collecting community for decades.

The first reference is the 2018 edition of the award-winning “U.S. Coin Digest.” Inside you’ll find chapters devoted to collecting, identifying and evaluating the spectrum of U.S. coins, including gold coins. Each coin listing includes primary descriptive details, and professionally vetted prices in up to 11 grades of condition. Plus, it features 2,000 high quality color photos.
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“2017 North American Coins & Prices” is another helpful guide for evaluating coins, including gold issues. More than 50,000 coin listings appear, accompanied by more than 6,100 detailed black and white photographs, and expertly assessed values – for multiple grades of condition. This book includes early Colonial U.S. coins to 21st century coins, as well coins issued in Mexico between 1701 and the present, along with Canadian coinage from 1858 to 21st century coins.
Item#R1314 Retail Price $21.99 • Special Closeout Price $10

You can pick up either or both of these references online at www.krausebooks.com or by calling 855-864-2579 (M-F 8am-5pm MDT). Be sure to enter or mention Discount Code GOLDCOIN17 to receive the sale price. This offer is valid through June 25, 2017.