Expert: Jim Lawniczak - 9/4/2007

Question
I have a 1916 american penny with a stamp SD2 on it.you can see the stamp on the front and the imprint on the back. are you familiar with this?
i also have a 1956 penny that seems average but i see online store has it for $275..is there a reason for this? thank you for your time

Answer
Hello, Nicole, you have what is called a "counterstamped" coin.  This was often a way of cheap advertising and was much more common on U.S. large cents (made 1793 to 1857) than on any other coins.  This was because their size allowed larger counterstamps.  The idea was that I would stamp my business name or product on the cent and then it would be free advertising as people spent the cent and noticed my name on it.  

They are collectible and usually have value (try going to www.ebay.com and www.google.com and doing searches for counterstamp coin or variations with penny and cent).  The most value are for counterstamps that are identifiable to the business that advertised by stamping on the coin.  I have read that random letters and numbers (as your SD2 appears to be) have less value.  However, it is possible that someone has identified what "SD2" was about and if so, it might have some value to someone.  Again, try eBay and google searches for "SD2 counterstamp" and the like.

As to your 1956 cent, yes most of the billion plus 1956 and 1956D cents made have no value today over face value.  There are two possibilities for how a 1956 cent might be offered at $275.  (1) it is a super high grade -- like MS69, meaning that it is completely uncirculated and essentially mark free.  Very few cents are in that super high grade and some people pay high prices for them. The piece would have to be "certified" by one of the independent grading services to command that price. If you go to www.ebay.com and do a search for 1956 cent or 1956 penny, you'll see some certified pieces selling.  (2) it might be a doubled die or other special coin, or an error coin, that command premiums.  Jim Lawniczak