Coin Flippers - The Perfect Way For a Quick Potential Profit With No Risk?

[BackyardBullion]

So....

Thought just occurred to me. 

You see so many flippers listing coins up on eBay or FaceWhack time and time again. Some don't sell, some do and make a nice profit.

But...Heres the thing. A seller could very easily get email confirmation of their order, list the coin and if it does NOT sell then just return it to the Mint for a refund after 14 days from delivery. You don't need a reason to return as a distance seller the RM has to honour the return and also there is NOTHING stopping an unscrupulous coin flipper making a small mark on a coin to damage it and say thats how it arrived.

If the coin sells, hello profit.

If the coin does not sell then straight back to the mint for a refund. 

I really hope this isn't the case but I would not be surprised at all if this happens. 

[FlorinCollector]

This 100% happens and to add to that on the Facebook groups. When a coin sells out but does not have insane hype. On the groups people will offer the coins at cost or they will send it back. They offer it at cost to you so they can build their spend history with the RM. You could easily get into the higher tiers and it wouldn't cost you a penny. 

[Samcrewsilverlover]

40 minutes ago, BackyardBullion said:

So....

Thought just occurred to me. 

You see so many flippers listing coins up on eBay or FaceWhack time and time again. Some don't sell, some do and make a nice profit.

But...Heres the thing. A seller could very easily get email confirmation of their order, list the coin and if it does NOT sell then just return it to the Mint for a refund after 14 days from delivery. You don't need a reason to return as a distance seller the RM has to honour the return and also there is NOTHING stopping an unscrupulous coin flipper making a small mark on a coin to damage it and say thats how it arrived.

If the coin sells, hello profit.

If the coin does not sell then straight back to the mint for a refund. 

I really hope this isn't the case but I would not be surprised at all if this happens. 

Wow...that's disgusting to think people (Flippers do that) although would not surprise me....I have more respect for dodgy insurance brokers than I do for FLIPPERS...just my honest opinion on this matter...but I know many will disagree..even established dealers....😳

[TeaTime]

I'm sure that is actually happening and it's quite astounding that punters are playing the game and actively encouraging the practice. All it would take is for people to stop buying secondary market coins at massively inflated prices and the flipping would stop. Unfortunately the lure of an easy 1-2 hundred pounds (and subsequent diminishing returns as a coin gets re-sold again and again) is too tempting. 

Logically anyone with any coin collecting experience (especially with RM coins) knows that the market is saturated and that even the low mintage coins ultimately end up finding a level well below the initial frenzy.. There are simply a lot more flippers than collectors.

 

[FlorinCollector]

@TeaTime Spot on! The main part is the biggest loser here (unless you hold many modern proof silver releases) is the Royal Mint. 
 

The flippers will only get caught holding the latest coin and lose on it. However, when the market turns the RM have changed their business model to more releases. I don’t think it will do well in the end.

[Samcrewsilverlover]

2 minutes ago, TeaTime said:

I'm sure that is actually happening and it's quite astounding that punters are playing the game and actively encouraging the practice. All it would take is for people to stop buying secondary market coins at massively inflated prices and the flipping would stop. Unfortunately the lure of an easy 1-2 hundred pounds (and subsequent diminishing returns as a coin gets re-sold again and again) is too tempting. 

Logically anyone with any coin collecting experience (especially with RM coins) knows that the market is saturated and that even the low mintage coins ultimately end up finding a level well below the initial frenzy.. There are simply a lot more flippers than collectors.

 

I was very happy to see FLIPPERS selling on Ebay when the Gothic came out. Instantly pricing at £899+ at the beginning..but their greed has now seen these coins come down to around £350-400 🙂 yes there are still making a small profit if they do manage to sell..but at least they are not getting the inflated prices they want on the day of release..even before they have them in hand...and seeing the prices crash....big belly laughs from me....🤣🤣🤣🤣🤣🤣

[TeaTime]

I have to admit to buying modern coins in the past with a FOMO attitude - only to see the prices plummet within a year. I soon learnt my lesson - as will other people who get caught up in a hype frenzy.

I think the long-term result of flipping and the artificial scarcity market we now see will be less people bothering with coins in the future. There will be people who may have ended up as collectors (or stackers) who won't bother after getting burnt once or twice. And that could result in a loss for anyone who genuinely loves numismatics and enjoys owning little pieces of history and art. 

If genuine collectors cannot buy coins from the producers because of flippers they will eventually stop trying and then it's just speculators selling to speculators in an ever decreasing circle....

 

 

[ArgentSmith]

3 hours ago, BackyardBullion said:

You don't need a reason to return as a distance seller the RM has to honour the return and also there is NOTHING stopping an unscrupulous coin flipper making a small mark on a coin to damage it and say thats how it arrived.

 

Why would someone damage a coin before they return it, what would the point be?

[westminstrel]

43 minutes ago, ArgentSmith said:

Why would someone damage a coin before they return it, what would the point be?

To justify the return.  If they can’t flip it for a profit, they can at least get their original spend back from the RM.

This is a terrible thing to do though. 😕

[westminstrel]

If the RM had advanced and automated systems and quality control, they could maybe photograph the proof coins being encapsulated, and if the packaging were 100% secure, there’d be no way this sort of trickery would work.

[ArgentSmith]

3 minutes ago, westminstrel said:

To justify the return.  If they can’t flip it for a profit, they can at least get their original spend back from the RM.

This is a terrible thing to do though. 😕

The only justification you need to return a proof coin to RM is that you've have changed your mind, that's good enough. Be careful what you fill your head with.

3 minutes ago, westminstrel said:

If the RM had advanced and automated systems and quality control, they could maybe photograph the proof coins being encapsulated, and if the packaging were 100% secure, there’d be no way this sort of trickery would work.

It doesn't happen 🙄

[ArgentSmith]

4 hours ago, FlorinCollector said:

They offer it at cost to you so they can build their spend history with the RM. You could easily get into the higher tiers and it wouldn't cost you a penny. 

Happens on here 😉

[westminstrel]

1 hour ago, ArgentSmith said:

The only justification you need to return a proof coin to RM is that you've have changed your mind, that's good enough. Be careful what you fill your head with.

Not “filling my head” with anything - just being aware so as not to be the  village idiot. 😆
 

1 hour ago, ArgentSmith said:

It doesn't happen 

But of course I know that! 😏

[GoldDiggerDave]

For me I buy the coins I like if I sell  them for a small return I'm happy to have held them and passed them on to a follow collector, if I don't sell I keep them because I liked it in the first place.   The Mint is not stupid yes they would accept a couple of returns without issue but they would not continue to keep accepting them back if a buyer was using them for "sale or return".

 

 

 

[goldhunter]

8 hours ago, ArgentSmith said:

The only justification you need to return a proof coin to RM is that you've have changed your mind, that's good enough. Be careful what you fill your head with.

It doesn't happen 🙄

Fair play to the RM that they do not charge a cancellation fee, unlike some companies such as Power Coin that charge 15%.

[Paul]

I'm less and less inclined to participate in the new releases game now.

Will stick with the great engravers as I've got my foot in the door to keep series going.

My spare cash will just go into sovereigns and 1oz gold bullion I think

[GoldStatue]

You would have thought that if the flippers were returning coins on a large scale the RM would just change their selling T&C or cancel the customers RM account, it costs companies a small fortune to deal with returns.

You just have to accept that at the moment speculators are going to try to make money out of coins, it's a bull market with high gold price/low interest rates/popular hobby/plenty of releases to speculate on.

 

[CollectForFun]

13 hours ago, BackyardBullion said:

If the coin sells, hello profit.

If the coin does not sell then straight back to the mint for a refund. 

I really hope this isn't the case but I would not be surprised at all if this happens. 

Maybe an unpopular opinion, but I don't see anything wrong about it. I must admit it's actually very smart business strategy.

As already noted, there's no reason to damage the coin before returning to the RM, as that really wouldn't be nice.

[LawrenceChard]

14 hours ago, BackyardBullion said:

So....

Thought just occurred to me. 

You see so many flippers listing coins up on eBay or FaceWhack time and time again. Some don't sell, some do and make a nice profit.

But...Heres the thing. A seller could very easily get email confirmation of their order, list the coin and if it does NOT sell then just return it to the Mint for a refund after 14 days from delivery. You don't need a reason to return as a distance seller the RM has to honour the return and also there is NOTHING stopping an unscrupulous coin flipper making a small mark on a coin to damage it and say thats how it arrived.

If the coin sells, hello profit.

If the coin does not sell then straight back to the mint for a refund. 

I really hope this isn't the case but I would not be surprised at all if this happens. 

I am sure it does, and it will probably become more prolific.

Anyone want to buy a 2 kilo gold Gothic Quartered Arms?

😎

 

[goldhunter]

My name is Goldhunter and I am a Flipper.

Phew, feel better for getting that of my chest.

Just taken my first step on the road to recovery

 

[FlorinCollector]

9 hours ago, ArgentSmith said:

Happens on here 😉

Yep and at the risk of sounding like a **** people praise them for doing these deals but it is clear. There might be the odd nice guy but come on people!

[FlorinCollector]

1 hour ago, GoldStatue said:

You would have thought that if the flippers were returning coins on a large scale the RM would just change their selling T&C or cancel the customers RM account, it costs companies a small fortune to deal with returns.

You just have to accept that at the moment speculators are going to try to make money out of coins, it's a bull market with high gold price/low interest rates/popular hobby/plenty of releases to speculate on.

 

That is the big difference since covid started. Before covid the business of flipping coins wouldn't work on every release. This is due to the fact that many coins used to sell under RRP. 

Now that this has changed and most coins sell for RRP or more there is no need for them to return the coins. They simply offer them at profit or cost. At profit they win and at cost they add to their spend history to help them get higher end coins with bigger profits. 

I would say it is even wise if they lose a few quid on each release to be in at a chance of a high end gold engravers coin for example. 

[ArgentSmith]

37 minutes ago, goldhunter said:

My name is Goldhunter and I am a Flipper.

You bad man, do you damage coins and send them back to the Royal mint? 🤣

[NewCoins]

3 hours ago, LawrenceChard said:

I am sure it does, and it will probably become more prolific.

Anyone want to buy a 2 kilo gold Gothic Quartered Arms?

😎

 

I will buy anything for the right price.

[Foster88]

15 hours ago, TeaTime said:

If genuine collectors cannot buy coins from the producers because of flippers they will eventually stop trying and then it's just speculators selling to speculators in an ever decreasing circle....

This is precisely the reason why, for now, I’m going to sit out for the latest Monarchs release. Monday mornings are stressful enough without waiting see if I’m 4,000 and something in the queue to get in and find nothing left. I may pick up the odd one as the series continues.

I admire those who are aiming for the full 21 coin set. I would like to have got this series having a big interest in British monarchy but you can’t win them all.

Maybe it is some flippers ruining it for genuine collectors as the secondary market prices just put me off.