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Coin Purchase Plan

YorkshiremanYorkshireman Posts: 4,583 ✭✭✭✭✭
I have no plan to participate in this, but I would like to get opinions on the new Legend coin purchase program.

Why would one do this if they are collectors and not investors? Would it give one a better shot first pick at stuff in your area of interest?

JJ Teaparty does this, or at least did in the past. I realize Legend's will involve more high end stuff than Teaparty's just from the nature of its target market.

Please weigh in with your thoughts and comments.
Yorkshireman,Obsessed collector of round, metallic pieces of history.Hunting for Latin American colonial portraits plus cool US & British coins.

Comments

  • SonorandesertratSonorandesertrat Posts: 5,695 ✭✭✭✭✭
    Purchase programs are not new---I remember programs being advertised more than 40 years ago. They are geared to investors and perhaps also to lazy collectors.
    Such programs are very good for dealers, since they enable dealers to move out stale inventory items. What I would be more interested in knowing is if they
    actually are in the financial interests of the buyers---my gut feeling is no.
    Member: EAC, NBS, C4, CWTS, ANA

    RMR: 'Wer, wenn ich schriee, hörte mich denn aus der Engel Ordnungen?'

    CJ: 'No one!' [Ain't no angels in the coin biz]
  • TopographicOceansTopographicOceans Posts: 6,535 ✭✭✭✭
    Next thing you know, K-Mart will start offering lay-a-away.
  • JustacommemanJustacommeman Posts: 22,852 ✭✭✭✭✭
    Well since it's out there might as well get it right....................MJ

    "Due to unusual opportunities in the marketplace plus demand for an easy way to buy, we have created two ways to collect and "put away" high quality coins in today's complex market.

    Many people have been recently telling us they want to buy a group of coins, but do not know what to do or which ones they should buy. We've created two easy ways to help you. Each plan is devised, personally tailored, and administered by the principals of Legend Numismatics who each have 40+ years experience and have built more of the FINEST major Collections ever than any current dealer who is in business. The principals also attend every major show and they rank among the biggest buyers at the major auctions. Legend knows it markets and coins!

    The coins selected for inclusion in these plans will meet Legend's strict quality and eye appeal standards. Pricing is predicated on the price we have paid for each coin plus a small mark up. We'll be seeking out only the VERY BEST deals available. Coins may come from our inventory or you may have "first shot" on NEWPS. You will be buying the coins at a TRUE WHOLESALE price-not someone's advertised crazy retail numbers. One last benefit: Legend Rare Coin Auctions will agree to auction any coin from these plans (so long as they are in their original holder) for an unbeatable % (its so low we can't publish it). ALL COINS ARE CAC'd of course.

    Even though these Plans are designed to take advantage of what we see as some possibly short term benefits; however we MUST point out coins are along term proposition and NOTHING is guaranteed. If you are a novice, you won't find any better way to buy!

    PLAN 1
    $10,000.00-$25,000.00
    In this group we will limit the value of coins to approximately $4,000.00. You'd be amazed what you can buy for under $4,000.00 these days!

    PLAN 2
    $25,000.00-and up in increments of $25,000.00.
    NO LIMIT. You can specify all gold or no gold if you wish.
    This plan is for someone who wants to buy bigger ticket coins now and knows the importance of having access to really great coins. We do all the leg work. You can set a maximum value per coin to include. We can even get you started on a full collection!

    Note: With ALL Plans we create, only "common sense" coins with the most potential will be selected.

    This is NOT an approval service. We will only construct a plan after payment is received. All purchases will be broken down individually and each coin WILL have a full 5 day return period. Legend will also keep a record of your purchases so that if there is a spike in the market, we can inform you and make appropriate suggestions.

    If you want to buy some really cool coins at todays lower levels, we're here to help! Basically pick a lump sum and we'll do the rest!"
    Walker Proof Digital Album
    Fellas, leave the tight pants to the ladies. If I can count the coins in your pockets you better use them to call a tailor. Stay thirsty my friends......
  • commoncents05commoncents05 Posts: 10,096 ✭✭✭
    Only an idiot would do something like this, regardless of the dealer offering. Placing your trust solely in someone who has no financial intensive to make good recommendations sounds like a terrible investment.

    -Paul
    Many Quality coins for sale at http://www.CommonCentsRareCoins.com
  • SonorandesertratSonorandesertrat Posts: 5,695 ✭✭✭✭✭
    Given the number of coin purchase plans that I have seen over the years, it is obvious to me that there was, and remains, no shortage of idiots...
    Member: EAC, NBS, C4, CWTS, ANA

    RMR: 'Wer, wenn ich schriee, hörte mich denn aus der Engel Ordnungen?'

    CJ: 'No one!' [Ain't no angels in the coin biz]
  • LindeDadLindeDad Posts: 18,766 ✭✭✭✭✭
    Plans are great.
    But when it involves money usually to one who divvies the plan makes the most money.
    image
  • JustacommemanJustacommeman Posts: 22,852 ✭✭✭✭✭
    I trust Laura. I trust George. Many know I'm pro Legend. It's true. I enjoy putting together my own collection in my series. That being said if I ever wanted to put together a gold set for example I might take them up on something like this. Gold is something I don't collect and have only working knowledge of.

    FYI there is a 5 day return privilege.................MJ
    Walker Proof Digital Album
    Fellas, leave the tight pants to the ladies. If I can count the coins in your pockets you better use them to call a tailor. Stay thirsty my friends......
  • epcjimi1epcjimi1 Posts: 3,489 ✭✭✭


    << <i>

    The coins selected for inclusion in these plans will meet Legend's strict quality and eye appeal standards. Pricing is predicated on the price we have paid for each coin plus a small mark up. We'll be seeking out only the VERY BEST deals available. Coins may come from our inventory or you may have "first shot" on NEWPS. You will be buying the coins at a TRUE WHOLESALE price-not someone's advertised crazy retail numbers. One last benefit: Legend Rare Coin Auctions will agree to auction any coin from these plans (so long as they are in their original holder) for an unbeatable % (its so low we can't publish it). ALL COINS ARE CAC'd of course.

    >>



    I'm sure Legends customer service / judgment and marketing is top-notch, their inventory reflects that.

    The CAPS in the above referenced paragraph are, well, a bit strange.

    However, "(its so low we can't publish it)" sounds like used car sales lingo.

    Finally, I'd auction something for you too that I'd already sold to you, for another undefined percentage more.
  • winkywinky Posts: 1,671
    Come on K-Mart, better than ebay. Yea 6 month lay-a-way. image
  • 410a410a Posts: 1,325
    I don't think a person could go much higher up the "food chain of trust" than to do Rare Coin business with Legend and only a couple of others.image
    and so I don't get my head ripped off..DHRC, Pinnacle, Albanese RC
  • Timbuk3Timbuk3 Posts: 11,658 ✭✭✭✭✭
    Pass !!! image
    Timbuk3
  • roadrunnerroadrunner Posts: 28,313 ✭✭✭✭✭
    Collection Investment Programs

    Made popular by Bowers and Ruddy Galleries in the 1970's, especially once they were under GE's ownership. There's no shortage of MS & PF64/65/66/67 type out there in the market (barbers, seated, etc.) today. Just because the stuff is cheap vs. 2008 or 1989 is no guarantee it will be considered cheap in 5-10 years. The best buys today are probably in the stuff you can't find....even in the <$500 price range.
    Barbarous Relic No More, LSCC -GoldSeek--shadow stats--SafeHaven--321gold
  • Dave99BDave99B Posts: 8,667 ✭✭✭✭✭
    Only an idiot would do something like this, regardless of the dealer offering.

    Yup .... imageimage

    Dave
    Always looking for original, better date VF20-VF35 Barber quarters and halves, and a quality beer.
  • LakesammmanLakesammman Posts: 17,445 ✭✭✭✭✭
    It wouldn't be for me since the hunt is 99% of my coin pleasure, but others might find it useful.
    "My friends who see my collection sometimes ask what something costs. I tell them and they are in awe at my stupidity." (Baccaruda, 12/03).I find it hard to believe that he (Trump) rushed to some hotel to meet girls of loose morals, although ours are undoubtedly the best in the world. (Putin 1/17) Gone but not forgotten. IGWT, Speedy, Bear, BigE, HokieFore, John Burns, Russ, TahoeDale, Dahlonega, Astrorat, Stewart Blay, Oldhoopster, Broadstruck, Ricko, Big Moose, Cardinal.
  • TwoSides2aCoinTwoSides2aCoin Posts: 44,513 ✭✭✭✭✭
    imageimage
  • ElcontadorElcontador Posts: 7,656 ✭✭✭✭✭


    << <i>Only an idiot would do something like this, regardless of the dealer offering.

    Yup .... imageimage

    Dave >>



    To je govno.
    "Vou invadir o Nordeste,
    "Seu cabra da peste,
    "Sou Mangueira......."
  • DaveWcoinsDaveWcoins Posts: 1,185 ✭✭✭


    << <i>

    << <i>Only an idiot would do something like this, regardless of the dealer offering.

    Yup .... imageimage

    Dave >>



    To je govno. >>



    I had to search on the web for a Croatian to English translation of that.

    Mucho effort-o.

    Dave Wnuck. Redbook contributor; long time PNG Member; listed on the PCGS Board of Experts. PM me with your email address to receive my e-newsletter, and visit DaveWcoins.com Find me on eBay at davewcoins
  • mrearlygoldmrearlygold Posts: 17,858 ✭✭✭
    imageimage

    Hey when you buy a house or a stock or whatever don't you just send the money and let the pro's do the picking?


  • coindeucecoindeuce Posts: 13,496 ✭✭✭✭✭


    << <i>imageimage

    Hey when you buy a house or a stock or whatever don't you just send the money and let the pro's do the picking? >>



    Sure. . . if it's with your money. image

    "Everything is on its way to somewhere. Everything." - George Malley, Phenomenon
    http://www.american-legacy-coins.com

  • BryceMBryceM Posts: 11,850 ✭✭✭✭✭
    I can't imagine the circumstances that would lead me to use such a service. I'd rather not have other people telling me what to like, even if they are wicked-smaht.
  • orevilleoreville Posts: 12,126 ✭✭✭✭✭


    << <i>It wouldn't be for me since the hunt is 99% of my coin pleasure, but others might find it useful. >>



    image
    A Collectors Universe poster since 1997!
  • SonorandesertratSonorandesertrat Posts: 5,695 ✭✭✭✭✭
    " The best buys today are probably in the stuff you can't find."

    I have found this to be the case most of the time. When I look through a dealer's inventory in person or online, I am just as interested in what he almost never has in stock as in what he routinely has.
    Member: EAC, NBS, C4, CWTS, ANA

    RMR: 'Wer, wenn ich schriee, hörte mich denn aus der Engel Ordnungen?'

    CJ: 'No one!' [Ain't no angels in the coin biz]
  • JCMhoustonJCMhouston Posts: 5,306 ✭✭✭
    For those of the crew that are to young to remember, this has been done by many dealers over the years. And rarely has it accidentally worked out in the investors interest. You'll wind up with a bunch of widgets (probably nice ones considering the source) but just common coins none the less.

    Funny how the same old ideas keep getting recycled every 10-15 years for a new group of fish, sorry, I meant sophisticated investors. It will be interesting when the first batch of people decide to cash out, and get a shock on their rate of return.
  • AMRCAMRC Posts: 4,280 ✭✭✭✭✭
    Yet another great way to bury 'em a little deeper.
    MLAeBayNumismatics: "The greatest hobby in the world!"
  • Cougar1978Cougar1978 Posts: 8,723 ✭✭✭✭✭
    Years ago when I would get correspondence for such "plans" it would immediately go in the garbage.


    Coins & Currency
  • CoinJunkieCoinJunkie Posts: 8,772 ✭✭✭✭✭


    << <i>Why would one do this if they are collectors and not investors? >>


    I don't know. Maybe so the person can consider themselves a collector without really knowing anything
    about coins?
  • WHPRATTWHPRATT Posts: 114 ✭✭✭


    << <i>It wouldn't be for me since the hunt is 99% of my coin pleasure, but others might find it useful. >>



    Agreed.
  • YorkshiremanYorkshireman Posts: 4,583 ✭✭✭✭✭


    << <i>

    << <i>It wouldn't be for me since the hunt is 99% of my coin pleasure, but others might find it useful. >>



    Agreed. >>



    Even if you have a good dealer or two searching for specific coins or types of coins, the mandate is "Find me ...."
    The purchase plan mandate seems to be spend my money.
    Yorkshireman,Obsessed collector of round, metallic pieces of history.Hunting for Latin American colonial portraits plus cool US & British coins.
  • illini420illini420 Posts: 11,466 ✭✭✭✭✭
    There have been a few collectors that I've met that have participated in these types of purchase plans as an investment and because they didn't have the time, expertise and/or confidence in themselves to buy good coins. In just about every instance, they were way overcharged for what they got at the time. In one of the cases, it was clear the dealer would pass off stale inventory to the buyer on the purchase plan... was never the fresh new purchases that were nice for the grade.
  • Legend is continually reporting how tough nice fresh coins are to find so are they going to return money because they can't fill the plans with the tough stuff or fill with what's available? Maybe there are so few of the really big money customers they will be able to fill with the type of coins they could sell dozens of times over.
  • gripgrip Posts: 9,962 ✭✭✭✭✭
    That to me is not collecting but investing. All the fun of the hunt
    is taking out of the game.
  • YorkshiremanYorkshireman Posts: 4,583 ✭✭✭✭✭
    Yes, grip.

    For me, there is at least as much fun in the hunt as in the ownership.
    Yorkshireman,Obsessed collector of round, metallic pieces of history.Hunting for Latin American colonial portraits plus cool US & British coins.
  • rickoricko Posts: 98,724 ✭✭✭✭✭
    While I certainly respect Legend, this is not my type of collecting. Cheers, RickO
  • CoinosaurusCoinosaurus Posts: 9,642 ✭✭✭✭✭
    A collection formed like this has no soul. Last week I had the pleasure of looking over a twenty-year collection formed piece by piece - no hoards here. Even though I never met the collector, I feel like I am know a lot about them just by spending a day with their coins.
  • CocoinutCocoinut Posts: 2,515 ✭✭✭✭✭
    There's nothing new about this type of marketing scheme, other than higher prices. This thread prompted me to pull out a copy of a Bowers and Ruddy Rare Coin Review (catalog) from 1971. They devoted an entire page to their new "Collection/Investment Program", where an individual could send them $50, $100, $250, $500, or $1,000 monthly (or at some other interval), and receive coins from B&R's inventory. Buyers would receive uncirculated or proof type coins or key dates. Coins were sold at the prevailing price, and buyers had 7 days to return them. Given the prices in that 1971 catalog, I'm sure anyone who kept with the program did well if they held their coins for 10 years or more.

    Coins were very cheap compared to today; examples:

    R&B unc. 1857 half cent: $85
    VF 1799 large cent, perfect date: $1,995
    Brilliant Proof Indian Head cents: $44.50
    Proof V nickels: $49
    BU Bust half dimes: $79.50
    Common date proof Seated dimes: $72
    BU 1916 Standing Liberty quarter, "the finest": $849
    BU 1795 Half dollar: $2,995
    BU 1834 Capped Bust half: $89
    Common date BU Barber halves: $129
    1870, 1871, or 1872 proof Seated dollars: $429
    1885 proof $3 gold: $1,795
    BU Liberty $10 gold: $45
    Proof 1899 $20 Gold, "unsurpassable quality": $2,195
    11 piece set of proof trade dollars 1873-1883: $3,995

    It was hard to go wrong investing in coins in those days. Today? I wouldn't be so quick to take advantage of Legend's offer.

    Jim
    Countdown to completion of my Mercury Set: 1 coin. My growing Lincoln Set: Finally completed!
  • stmanstman Posts: 11,352 ✭✭✭✭✭
    I'm thinking instead of a set amount....... perhaps a blank check is in order. I'd hate to miss whatever "opportunity" a dealer may come up with for my best interest.
    Please... Save The Stories, Just Answer My Questions, And Tell Me How Much!!!!!
  • johnny9434johnny9434 Posts: 29,070 ✭✭✭✭✭
    i wouldnt do it but what ever makes you happy. jmo
  • originalisbestoriginalisbest Posts: 5,971 ✭✭✭✭
    LOL LOL LOL LOL LOL LOL LOL

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