Following is a basic guide for grading Canadian coins minted for circulation. It's a standard guide that applies to all denominations.

      The condition of a coin indicates the amount of wear it has since the time it was minted. Conditions are determined by a grading system. A coins grade is important to know as it determines the value of the coin.

     Up 'til the mid 1970's grades were described using adjectives like  Good, Very Good, and Extremely Fine, etc. Since then an alternative grading system using numbers, attributed to Dr. William Sheldon, from 1 to 70 has been adopted. In this system circulated coins use a range from 1 to 59, while uncirculated coins use a range from 60 and progresses to 70, considered to be perfect. While this number scale is continuous from 1 to 70, not all the numbers are used, grading just is not that precise and although science does plays a part, grading is more of an art or personal opinion. Today we see both numerical & adjectival systems used together such as Very Good 8, Uncirculated 60.

Once coins enter into circulation, they begin to wear. The extent of this wear is what determines a coins grade, a coins grade determines it's value.

ABOUT GOOD 3 (AG3): There will be only an outline of any large design. Very heavily worn with portions of  legends, lettering, date being worn away. The date is barely visible.

 GOOD 4 (G4): Heavily worn. Designs will be clearly outlined but with substantial wear. Some larger detail may be faintly visible. Legends are weak.

VERY GOOD 8 (VG8): About 25% of the original detail remains. There will be heavy wear on all of the coin. Most of the finer detail, hair, leaves will be almost worn smooth.

FINE 12 (F12): About 50% of the original detail remains, a moderate to considerable even wear. All lettering is visible but will show some weaknesses.

VERY FINE 20 (VF20): Will have about 75% of detail remaining. Moderate wear on highest points.. Lettering and major features are still quite sharp.

EXTREMELY FINE 40 (EF40): About 95% of original detail is visible. Slight wear on the highest points but the coin still has excellent overall sharpness. Traces of mint lustre are still visible.

ABOUT UNCIRCULATED 50 (AU50): Trace of wear on nearly all the highest points. At least 50% to almost all of the mint lustre will still remain.

UNCIRCULATED 60 (UNC60) / MINT STATE 60 (MS60): There is absolutely no trace of wear or handling, although nicks, a few bag marks ( typical of coins being minted for circulation ) and some discoloration (pitina) may be visible. A high degree if not all of the mint lustre should still remein.

     To grade coins you'll need a magnifier, 4 to 8 power (any higher may make those typical minting nicks and  bag marks look like monsters and you'll end up assigning a lesser grade than is deserved). Good lighting is very important, a rule > a 100 watt incandescent bulb set 3 feet away or a 50 watt half the distance.( Fluorescent light does not give sufficient light.). You can adjust the lighting and magnification to suit your own personal needs. Hold the coin (over a soft surface to prevent damage should you drop it) between your thumb and index finger by it's edge at an angle so the light reflects from the coin into your eye. Tilt, turn and rotate the coin to see different characteristics from different angles and in better detail, examine the rim and edge of the coin also.

     With time, patients, study and practice, you'll learn the art and science of grading coins. You can look for professionally graded coins to compare with your grades and to learn from. Buy at least one good coin book, grading guide, and there is a ton of information just waiting to be discovered on the internet !!

     I've decided to write this guide because all too often I see coins that are over graded,(this isn't just my opinion, this is fact), whether intentionally over graded or because of a lack of knowledge, I can't say. But it is very upsetting to see these coins being bid-up far beyond their true value by novice coin collectors. I certainly don't profess to be an expert or professional in the coin field but I have been collecting and studying them for a lot of years and have great respect. I thank you for taking the time to read this guide, I hope it's helped in some way.  If you have any questions, info., advice or suggestions, please feel free to email me anytime. Thanks and Happy coin collecting!! Dana

Feel free to copy (and paste) or print this guide, you'll have it for future reference.

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