Kitco: Maple Leafs on Sale

[Gosso]

Kitco has priced Maple Leafs at only 2.5% above spot price, available until September 4, 2012.



Must be slow going with this consolidation in gold prices -- good time to take advantage.

[LiquidSapphire]

Hi -
Thanks for the heads up - I am about to buy a few coins and this is very timely for me.
I have a question though, it says on the Kitco website that the coins you receive may not be mint.  I reason part of that is because the Maple Leaves are so pure that they are easily scratched.  Will this impact resale or insurable value at all?  Or should I focus on only getting mint coins?
Thanks!

[craigr]

Hi -
Thanks for the heads up - I am about to buy a few coins and this is very timely for me.
I have a question though, it says on the Kitco website that the coins you receive may not be mint.  I reason part of that is because the Maple Leaves are so pure that they are easily scratched.  Will this impact resale or insurable value at all?  Or should I focus on only getting mint coins?
Thanks!

As long as the coins are not seriously thrashed with wear (as circulated coins would be), then it won't be a problem. You are only holding them for the gold value, not collectible quality. You are correct that the gold is so soft that simply handling them (or even trying to wipe off fingerprints) is often enough to make them no longer "mint" condition. However the Maples are very beautiful coins and are a good option for the gold bullion portion of the portfolio. In Canada especially they are preferred because they exceed the purity conditions which means they are not subject to sales tax if that applies.

[Gosso]

LS,

I have bought a few Maples from Kitco.  There are some minor scratches but they are barely noticeable.  In general it is expected that a Maple will have a few scratches so it won't impact the resale value.  Typically the coins will come in a plastic sleeve that will protect it from fingerprints and rubbing against other coins.  The coin can slide out of the plastic sleeve, just in case you want to smell it. 

In Canada especially they are preferred because they exceed the purity conditions which means they are not subject to sales tax if that applies.

Ya, this sucks.  I would like to buy a few mixed alloy gold coins (Eagles, Krugerrand), but I'm not willing to fork over 13% in sales tax.

[WildAboutHarry]

From AJPM's (Portland) FAQ:

You say you only BUY BACK NEW AND SCRATCH FREE 24 KARAT COINS: Reading that statement has sent some customers into a frenzy. When you buy coins from AJPM they are "uncirculated" regardless of date. A hairline scratch on a new coin is NOT what we're talking about. NEW & SCRATCH FREE means you didn't play poker with them, didn't take a hammer and a nail to them, didn't rub on them with your fingers leaving finger prints all over the face of the coin, didn't take the gold bars out of the package and put fingerprints and scratches all over them, or bang them out of the tube or flips they were received in, and play with them and klink them together, and were completely careless with them. We have people come off the street with a maple leaf in their pocket, with no cover, banging around with their keys and change. That's a No No! This conversation doesn't apply AT ALL to Eagles, or Kruggerands, or any other 22 karat coin, because unless you were TRYING to damage them, they're pretty hard to scratch. I don't remember ever discounting our bid for an Eagle, Krugerrand, etc. but we will discount $20 per coin, minimum, for a rotten, scratched up maple, panda, kangaroo, gold bar, etc.

[LiquidSapphire]

Thanks for the information all!  Very helpful.  I suppose I'll verify that the coins will still be in pretty good shape and then just take extra care with them.  Thanks again.