Inflation, Dead Hobbies & the Collector

“Buy now while prices are low. Inflation is just around the corner. When inflation comes, prices will shoot through the ceiling!” So goes the story of buy now or you’ll “miss the boat”.

Inflation as a short fix

Hobbies that depend on the return of inflation as the only method to get prices rising are “dead hobbies”. These hobbies are dead because the collector base isn’t able to push prices up by itself.

A hobby that needs inflation to get its prices moving is just looking for a “quick fix”. Inflation is only a short-range solution to the long-term problem of a lack of new interest. Inflation pushes up hobby prices because investors are unloading money by buying items that will retain purchasing power.

Collectibles as safe havens

Collectibles are considered a safe harbor from which to weather the inflationary storm. When investors rush in, demand increases and therefore prices rise. It’s a self-fulfilling prophecy.

As soon as a healthy profit is realized by investors or the fear of inflation subsides, prices usually come back down. This is because most of the investors sell. They have no intention of holding items for several years since they aren’t collectors. They only came to protect their purchasing power and/or to make a quick profit. Prices generally return to about the same level they were before the investor buying spree.

A hobbyist’s point of view

From a collector’s point of view, it’s better to be in a hobby not concerned with inflation as a way to get prices moving. This is because you’ll get more permanent and steady price increases over a period of years as the number of collectors in the hobby increases. You’ll also miss the rapidly rising and quickly declining prices since collectors have a tendency to hold on to pieces and not sell just because prices are up.

Collectors buy hobby pieces because they want them, not just so they can make a quick profit. Besides, from the collector’s point of view, it takes a lot of time and work to put together a nice collection. Once a nice collection is sold, it takes years to form another one.

The next time a hobby mentions “the return of inflation will get things going”, remember, it’s the collector who has to live with the mess after the “party” of rising prices is over.

Copyright 1987 by Greg Tunks

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Frequently asked questions

You can find out the value of old credit cards by checking how much similar cards sell for. There are several ways to do this.

The simplest way to determine the value of old credit cards is to ask an experienced collector. If you submit an inquiry via our contact form, we can connect you with an expert who can assist you and point out if there is anything rare or unusual in your collection.

Alternatively, you can become a member of the American Credit Card Collectors Society. Membership in our credit card collecting club provides access to resources and knowledgeable members who can help. Benefits of membership include access to a gallery containing thousands of cards with historical pricing information, and access to our entire collection of newsletters, from 1994 through the present day.

You can look at recent sales on auction sites, however, there are some considerations to keep in mind when doing this. Firstly, it’s important to look at selling prices, rather than asking prices. Selling prices are the prices people actually paid, while asking prices can be very different. Secondly, historical sales on some sites are only saved for 3 months, so you may not find something that exactly matches what you have. Thirdly, it is sometimes possible to see rare or unusual cards sell for lower prices than they should have because people do not understand their worth, the ads don't do justice to the card, they're listed in the wrong category, or any combination thereof.

There are always people in our club who are actively buying cards. Collectors tend to focus on a niche, like gas cards or retail cards, or they might focus on a slightly broader area, like bank cards or travel and entertainment cards. Many of the rarest or most unusual cards will exchange hands in private sales. Please contact us if you are thinking of selling your collection.

You can also sell your old credit cards on online marketplaces. You will get the highest price if you sell each of your cards individually, although this approach requires the most effort. At the opposite end of the effort scale would be selling all cards as a job lot, an approach which typically results in the lowest price on a per-card basis. Halfway between these two approaches would be to group cards into different categories and to sell these individual groups, e.g., BankAmericard, Master Charge, oil and gas, retail, and so on.

To join the club, visit the membership section and complete the registration form. You can pay by check or PayPal. We offer annual or lifetime memberships. If you have any questions please contact us via the form on our website.

Credit cards are more worthwhile collecting if they are rare, in good condition, have historical significance, or are associated with famous personalities or events. Valuable modern cards might include those that are difficult to obtain, such as American Express Centurion (a.k.a. ‘black’) cards, while older credit cards might include early independent bank cards, American Express, Diners Club, or BankAmericard (Visa) cards from the 50s/early 60s, or Master Charge (MasterCard) cards from the late 60s. Rare or unusual cards can also be sought after, such as those issued in small numbers, like small independent department stores or gas stations, or cards with appealing aesthetics.

Consulting with other collectors or experts in the club can provide valuable insights. Contact us for more information via the form on our website.

We do not offer an appraisal service in a traditional sense (such services are normally a paid service) but we can connect you with an expert who should be able to assist for free and point out anything rare or unusual in your collection. The simplest way to do this is to submit an inquiry via our contact form.

The American Credit Card Collectors Society accepts donations and is most grateful for any we receive. When donations happen, we strive to find good homes for cards where they will be looked after, matching cards with collectors who will appreciate them. The club may charge members a nominal fee for donated cards, and the proceeds are offset against the running costs of our club. We are a non-profit organization. Running costs include expenses like our convention and website hosting. Donations are most popular for people getting out of the hobby, or when someone has inherited a collection and doesn’t know what to do with it.

If you wish to donate your collection, please contact us via the contact form above.

American Credit Card Collectors Society