Coins traded back to dealer: crime or misdemeanor?

RYK

Over the last two of years, I have traded about a half dozen coins back to a dealer, on the purchase of new material. As I refine my collecting objectives, certain coins did not seem to fit any longer. Almost always, the trade back has been to help fund larger purchases. Is this part of the dealer-collector relationship (as I thought) or is this akin to returning coins, as per the recent thread on the subject?

mrearlygold

Robert,

My customers provide me with a pretty good amount of "newps" and trades, so what you're descibing is a good thing. To me anyway.

Particularly in the realm of early dollars and gold which I've focused on for many years, there are quite a few customers who have changed collecting plans in the last year and either sold me or traded me quite a bit of this type of material which by and large has been off the market for years.

Rgrds
Tom

rkfish

I don't know about the other thread but for us it's a great dealer-collector relationship.
We appreciate our customers allowing us to trade/buyback coins when they are
upgrading especially so when they are coins we sold them. Win -win in our opinion as
we have a client who upgrades his collection and we are able to keep a the particular
date/mm in inventory.

Baley

no problem if the dealer is willing.

If they're nice coins, I'd be surprised if he wouldn't take them back, especially if you're trading up.

Coinosaurus

One of my favorite dealers is always happy to get his stuff back. We usually both end up making money on the deal. It's definitely a good thing.

Wondo

I always have the option of trading back any purchase material at full price from my dealer. That is one of the many reasons that I like him.

mirabela

I'd have reservations about a dealer who didn't want what he or she had sold me previously.

catfish172

<< <i>Over the last two of years, I have traded about a half dozen coins back to a dealer, on the purchase of new material. As I refine my collecting objectives, certain coins did not seem to fit any longer. Almost always, the trade back has been to help fund larger purchases. Is this part of the dealer-collector relationship (as I thought) or is this akin to returning coins, as per the recent thread on the subject? >>



No, trading even if it is back the the original person is not the same as returning. They're 2 different types of transactions. Returning is for the purpose of obtaining a refund. Trading aka bartering is an age old tradition that extends to a point in time before money was even invented. Relax, you're not breaking any codes, but rather honoring a tradition of our ancient ancestors worldwide. If your happy and the dealer is happy what difference does any of our opinions make?

kryptonitecomics

When I used to trade back locally, the dealer would only give me half of what I originally paid him in trade.....left a real bad taste in my mouth since he was profiting from the trade and then the subsequent purchase.


I can live with some profit on his end, but If I paid $400 for a coin, and you give me $200 in trade and then sell the coin for $400........come on now

mrearlygold

<< <i>When I used to trade back locally, the dealer would only give me half of what I originally paid him in trade.....left a real bad taste in my mouth since he was profiting from the trade and then the subsequent purchase.


I can live with some profit on his end, but If I paid $400 for a coin, and you give me $200 in trade and then sell the coin for $400........come on now >>




You were obviously doing business with the wrong dealer or buying the wrong coins or both. Hope that's changed!

Tom

RYK

Thanks for your comments. You have affirmed what I thought to be the case. In fact, one seller. who is a friend, board member, and collector, upon selling me coins from his personal collection told me that the coins come with a "string" attached: if I want to sell the coin, he wants to buy them back. I have received 100% credit toward new purchases from Doug Winter since I started dealing with him, and he has always given me a "no problemo" type response to my trades. It sounds like this is not unusual.

tradedollarnut

There's a big difference between taking a fresh coin off the market for 15 years in trade and taking a coin you sold in the past year or so in trade. The first has had plenty of time to appreciate and allow you to make a fair offer without offending the seller - the second is a touchy situation.

Wondo

The dealer is in business to make a living. Any transaction involves a profit motive, whether current or future, for the dealer. Trades are part of business and obey this rule. I don't think for a moment that a trade up at even money will not, in the long term, profit the dealer.

mrearlygold

TDN, I believe I wrote "as many as 15 years". Did you miss that?

Several occured in the last 4 months or so ( in-out) and one customer netted more than 15% on a cash out.

I would agree that's unusual but it happens. Depends on your markup obviously and series lately.

Tom

K6AZ

I never trade coins in. I buy the upgrade with cash, and sell the coin I upgraded. It's worked well for me.

tradedollarnut

Did you miss that?

If I was responding specifically to your post, I would have quoted it. I do that as a habit.

Rising markets float many boats....

tradedollarnut

As for the adoption, I come with a lot of baggage!

That's ok .... so does she!

puff

>>>I have tried to develop a relationship with a small number of dealers such that they will provide me their expertise, good service, and access to above average coins at a "reasonable" price. ("Reasonable" means that they make a profit, and I don't get buried.)<<<

That's precisely what I do RYK, and everyone should do in my opinion, if they collect moderately expensive to very expensive coins.

RYK

Just to see if anyone else has any additional insight or advice on the topic