Important News! CoinLink has merged..... Visit our NEW Site www.CoinWeek.com

BREAKING NEWS:....... Vist Our NEW Site at CoinWeek.com

U.S. Mint Price Gouging

Although the U.S. Mint has been listening and communicating better this past couple of years, I think they’re getting way too greedy in their product mark-ups. Take, for example, the Jackson First Spouse half-ounce gold coin: the Mint is selling the Proof version for $619.95. (The Uncirculated version is $20 less.) On August 28, 2008, the day the Jackson First Spouse coin went on sale, NY gold closed at $833.70 per ounce. This makes the NY spot price of a half-ounce of gold $416.85 on that day. The Mint’s mark-up on the Jackson First Spouse coin is more than fifty percent over bullion value! This is a $203.10 profit on a $619.95 coin! This is absurd!

Of course, part of the problem for the Mint is the way it must do its pricing. It uses a system where it must fix the pricing for the coins ahead of time, hoping to account for upward bullion market fluctuations that might occur during the time frame the coin is on sale. In other words, the Mint sets a “worst case scenario” price and that’s what we’re stuck with. I don’t know what they need to do to bring their ecommerce systems into the 21st century, maybe congress has to pass a bill or something, but the Mint really needs to change its pricing model so that prices fluctuate based on the actual bullion market.

Read Susan’s Full Article Here

Related posts:

  1. Price rise is bad news for gold sellers
  2. HOW TO PRICE VERY RARE COINS
  3. NumisMedia FMV Price Guide Now Available on NGC Web Site
  4. A Market analysis of the eBay Price Performance of PCGS Certified Genuine Coins.
  5. Gold glittering at record price
  6. As Gold Price Rises, Experts Issue Consumer Caution Advisory
  7. NGC Launches New Coin Price Guide Powered by NumisMedia
  8. Gold price soars past $730, raising gold type coin values
  9. Ritual dating from 1919 sets price of gold
  10. Is The Deep Financial Crisis Overwhelming Gold Price Manipulation?

About the Author

Susan Headley is the "Guide" for the About.com Coins section. Susan lives near Chicago, where she works as a consultant to ancient coin dealers, helping catalog and authenticate ancient coins and regularly attends many of the major coin shows. Susan is a member of the American Numismatic Association (ANA,) the American Numismatic Society (ANS,) CONECA (error and variety coins club) and several regional and local coin clubs.

RSS Feed for This Post1 Comment(s)

  1. john moody | Oct 15, 2008 | Reply

    setting the right price to coins purchased from the mint could easily be accomplished simply by locking in the sale of the coin at current spot, then adding a preset premium,

RSS Feed for This PostPost a Comment

You must be logged in to post a comment.

DISCLAIMER: All content within CoinLink is presented for informational purposes only, with no guarantee of accuracy.
CoinLink does not buy or sell coins or numismatic material, and has no ownership interest in any web site listed within CoinLink.
All News and Article links are direct, without framing, to the original source, which is solely responsible for the content.
No endorsement or affiliation to or from CoinLink is made.