Coin Condition and ANA Grading
Coin Condition
When it comes to coin collecting the key to the value of your collection is the condition of your coins. Condition is king! Each grade on the grading scale is a step closer to a perfect coin.
The two most respected of the independent grading services for U.S. coins are PCGS (Professional Coin Grading Service) and NGC (Numismatic Guaranty Corporation). They are the most widely accepted in the marketplace and offcer independent judgment regarding the grade or each coin. As a buyer it should put you more at ease when purchasing a coin and it increases the liquidity of those coins.
ANA Grading System Basics
The first thing any grading service must do is determine that a coin is authentic. After its authenticity is determined a grade must be determined in order to establish the coins value correctly. Miniscule differences in grade can mean thousands of dollars difference in a coins value. Below are the basic elements of the ANA (American Numismatica Associate) grading system.
PROOF A specially minted coin distinguished by sharpness of detail and usually with a mirror-like surface. Proof is a method of manufacture, not a condition. Proof coins are struck on polished planchets using polished dies. Typically, slower moving presses strike the planchet, sometimes more than once. This process creates coins that have a sharpness of detail and brilliant finish not seen in circulated coins. Proof coins are minted mostly for collectors and generally are not released for circulation.
MINT STATE The terms Mint State (MS) and Uncirculated (Unc.) are used to describe coins showing no trace of wear. Such coins can vary to some degree because of blemishes, toning or small imperfections as described in the following subdivisions.
PERFECT UNCIRCULATED (MS-70) Perfect new condition, showing no trace of wear. The highest quality possible. No evidence of scratches, handling or contact with other coins. Few regular-issue coins are ever found in this condition.
CHOICE UNCIRCULATED (MS-65) An above average Uncirculated coin which may be brilliant or lightly toned and has very few contact marks on the surface or rim. MS-67 through MS-62 indicates a slightly higher or lower grade of preservation.
UNCIRCULATED (MS-60) Has no trace of wear but may show a number of contact marks, and surface may be spotted or lack some luster.
CHOICE ABOUT UNCIRCULATED (AU-55) Barest of evidence of light wear on only the highest points of the design. Most of the mint luster remains.
ABOUT UNCIRCULATED (AU-50) Has traces of light wear on many of the high points. At least half of the mint luster is still present.
CHOICE EXTREMELY FINE (XF or EF-45) Light overall wear shows on highest points. All design details are very sharp. Some of the mint luster is evident.
EXTREMELY FINE (XF or EF-40) Design is lightly worn throughout, but all features are sharp and well defined. Traces of luster may show.
CHOICE VERY FINE (VF-30) Light even wear on the surface and highest parts of the design. All lettering and major features are sharp.
VERY FINE (VF-20) Shows moderate wear on high points of design. All major details are clear.
FINE (F-12) Moderate to considerable even wear. Entire design is bold with overall pleasing appearance.
VERY GOOD (VG-8) Well worn with main features clear and bold, although rather flat.
GOOD (G-4) Heavily worn with design visible but faint in areas. Many details are flat.
ABOUT GOOD (AG-3) Very heavily worn with portions of lettering, date and legends worn smooth. The date may be barely readable.
