Like most industries, the coin-collecting industry is filled with jargon and technical language. This is fine if you’ve been involved with the industry as a business or as a hobby for years, but it becomes more frustrating if you’re new to the business. Or maybe you’ve been involved in the past, but it’s been a few years since you’ve thought about gold or coins, making you a bit rusty on your terminology.

If you’re unfamiliar with the terms and phrases being thrown around regarding coin collecting, it can seem like an incredibly complicated business that’s impossible to get involved with because there’s too much to learn . . . .

I am a 2nd generation Coin Dealer. Over the years, countless numbers of clients have asked me many different questions. I’m going to take this opportunity to answer one of the most common questions I get asked by new coin investors: “Why do two of the exact same coins, with the same grade, have different prices?”

When it comes to purchasing a product, one of the most important factors in evaluating fair price is a sure sense of a product's condition. When buying a used car, for example, it is smart to have a trusted mechanic first check under the hood. You want to establish a proven set of criteria to be sure you are making a good investment. The same is true with coins.

The table below shows each of the point scores on the modern Point Grading Scale along with their corresponding descriptive categories and abbreviations, and is followed by a list of detailed category explanations and defining characteristics.

 Note: The Difference between Mint State and Proof Grades

The term “Mint State” is a grader’s designation for a regular Business Strike coin that has never been circulated: e.g. one in the same approximate condition as when it was first produced. A Mint State (MS) coin is graded between 60 (with marks) and 70 (flawless/gem-like)—the highest grade a Business Strike coin can achieve. 

When it comes to purchasing a product, one of the most important factors in evaluating fair price is a sure sense of a product’s condition. When buying a used car, for example, it is smart to have a trusted mechanic first check under the hood. You want to establish a proven set of criteria to be sure you are making a good investment. The same is true with coins.