On Both Scratched Coins and Charity

[dualstow]

I was reading this interesting news item from the end of 2010 ("Many Krugerrand Coins Being Dropped in Charity Buckets"), which caused me to examine my own coins more thoroughly. I only buy krugs, in part because they are relatively more scratch resistant than coins of pure gold. On the other hand, they all date from the 70s and early 80s, so they've been handled a lot.

In a coin I received just yesterday, I can see a tiny patch of discoloring that looks like neither gold nor the coppery orange that is typical. It looks rather like the color of a nickel. It's from a reputable dealer and I'm not worried about it, but in case you didn't read the article, it states that one coin

is said to have a value close to $1,500 because it is in very good shape. The coin in Dallas is estimated to be worth $1,400 and the coin in Illinois had a $1,000.

I probably will leave my coins to my nieces and nephews, but I hadn't really thought about the fact that they might sell for less due to scratches. Another argument for GTU?
(EDIT: I originally and hastily & erroneously wrote "less than spot")

[Lone Wolf]

That article claims $1000 for a genuine Krugerrand?  No way!  Send it to me.  I'll take it for $1050.    In all honesty, I have a hard time imagining not being able to sell a coin in decent shape for spot.

Either way, it's a good argument for keeping them wrapped up and not doing tons of unnecessary handling.  From what I've gathered, very basic, gentle handling is going to cause no problem whatsoever on a 22k coin like the Krugerrand.  Mostly just don't overdo the pawing and keep your fingernails off of it.  Now with the 24k coins like the Maple Leaf, I think you really do have to be ultra-careful.  22k is nowhere near as bad about taking a scratch from what I've gathered.

Any idea what that discoloration is?

[Gumby]

is said to have a value close to $1,500 because it is in very good shape. The coin in Dallas is estimated to be worth $1,400 and the coin in Illinois had a $1,000.

I probably will leave my coins to my nieces and nephews, but I hadn't really thought about the fact that they might sell for less than spot due to scratches.

They won't sell for less than spot. That Illinois coin was only valued lower because it was a HALF-OUNCE coin.

[craigr]

I've never seen even a very badly scratched coin sell for much below spot. The dealer can always sell them for scrap for spot price of gold. This article is just not correct.

[dualstow]

Lone Wolf, I have no idea what the discoloration is. Honestly, looking at it, I have to say it looks like a fake coin that is 99% covered with a perfect krugerrandesque patina.  :) But, as I said, it's from a reputable dealer, one that both craigr and mediumtex have used, so I won't sweat it. I don't own a Fisch or any other coin tester. It's possible that the nickel-colored patch comes off, but I'm not going to mess with it or try to clean it.

They won't sell for less than spot. That Illinois coin was only valued lower because it was a HALF-OUNCE coin.

Interesting, and not mentioned in the original (to this thread) article. Thank you for tracking that down.

Perhaps the author of the original article is just uninformed.

[dualstow]

It seems like a good place to add this: Prior to this most recent order, I wrote the dealer about cleaning fingerprints off coins. They told me not to worry about krugs, but said I could use a mild dish detergent if I really wanted to do something about the prints. So, maybe I'll try the detergent on the discoloration.

(The person who responded also mentioned an  "8.3 % alloy of Silver and Copper" but I think that was a slip. I'm just going by wikipedia, but I thought that alloy was for American eagles, and that krugs only have gold & copper).

[Gumby]

It seems like a good place to add this: Prior to this most recent order, I wrote the dealer about cleaning fingerprints off coins. They told me not to worry about krugs, but said I could use a mild dish detergent if I really wanted to do something about the prints. So, maybe I'll try the detergent on the discoloration.

(The person who responded also mentioned an  "8.3 % alloy of Silver and Copper" but I think that was a slip. I'm just going by wikipedia, but I thought that alloy was for American eagles, and that krugs only have gold & copper).

Just be careful not to use anything beyond a mild detergent and soft pressure. The problem with cleaning a coin is that it often removes the mint lustre. It's better to have a dirty coin that retains microscopic traces of the original mint lustre than a clean coin without the mint lustre. Of course, mint lustre is not that important with non-numismatic coins that are held for their metallic content. But, mint lustre — even in a dirty coin — is very important to numismatic coin collectors.

[dualstow]

Good to know. I think I'll leave the krugs alone after all. I know they're real and am in no hurry to sell them.
I appreciate all the replies.