Attn Consignors to Auction Houses

[gnaz01]

Originally Posted by Shoeless Moe

I know this has been brought up before, but for those of you who consign to auction houses what do you feel is an acceptable amount of time from the time the auction ends to the time your receive your consignment check?

I've gotten them from REA in as little as a week to 2 weeks after it ended which I know is the exception to the rule.

Goldin, MEARS, Hunt & SCP usually take one month from the time it ends.

I actually have stopped using Heritage because it was 2 months and I feel that is way too long.

How's 90 days??

[Shoeless Moe]

Originally Posted by gnaz01

How's 90 days??

Heritage 90 days or someone else? Brutal

[gnaz01]

Originally Posted by Shoeless Moe

Heritage 90 days or someone else? Brutal

Someone else.....

[petecld]

I’d like to set the record straight regarding the settlement period for Heritage. The settlement checks for Heritage consignors mail out 45 days from the close of the auction. That is, and always has been, the term of our consignment agreements.

It sounds great to say people have to pay fast so in turn consignors get paid fast but consignors get a lot for the wait. Giving buyers a longer time to pay, and more options to pay, often encourages them to spend a little more. In addition to standard payment methods, Heritage accepts payments by eCheck, credit cards (up to $2,500) and PayPal (up to $2,500). We also offer extended payment terms for qualified buyers. While the hobby’s widest options for payment do have the effect of a slightly longer settlement period, we have always found that consignors believe the benefits of these terms outweigh the wait. Consignors also have the option to set up a wire transfer directly to their bank account on settlement day.

We realize that some smaller auction firms do advertise shorter settlement periods, but we have always considered the financial return of our consignors to be the most important factor to take into consideration. In addition, many of our consignors take solace in the fact that I am told Heritage has never been late on a auction settlement date in our 40+ year history.

If anyone has any other questions, please feel free to email me.

Peter

[Shoeless Moe]

I don't know, your rules say must pay within 7 days, but checks go out in 45 days. Sure is a long time in between.

I understand the old days when banks paid interest then I could see you guys waiting those 38 days before sending payment, make yourself a nice little chunk of change on the interest, but nowadays........just send it out quicker.

You guys have the technology to get it out a little quicker. Just my 2 cents. For the super patient who can wait about 2 months for payment you are not kidding Heritage always gets strong prices. That I would and could not dispute.

[Shoeless Moe]

and...........2 months may not sound like a lot to some, but you need to take in account first the consignor sends their item in 2 months (give or take) before the auction starts, then the auction could run for almost a month. Then another 2 months before paid.

You could be talking almost 1/2 of a year (6 months), the whole process.

Thus, the back-end thus needs to be shortened.

[chalupacollects]

Not being a frequent big AH buyer, but an occasional buyer, all the payment forms mentioned above typically are clearing funds back to the AH in 2-3 days max.. e-checks, credit cards, ACH, Paypal, regular checks etc. In fact regular checks are typically cleared same day now through the Fed...

AHs giving terms for larger, big spending clients where large purchase are concerned is between AH and buyers and sure if 30 day terms are given with payment via wire can take longer though the wire will clear quickly also once submitted.

This coming from someone who sold such services to many merchants for about 20 years...

Would be nice customer service if AHs were able to ship smaller items that are under payment limits established above much quicker and then remit payment back to smaller consigners the same... might even get the "little guy" to consign more.

[thecatspajamas]

Originally Posted by Shoeless Moe

and...........2 months may not sound like a lot to some, but you need to take in account first the consignor sends their item in 2 months (give or take) before the auction starts, then the auction could run for almost a month. Then another 2 months before paid.

You could be talking almost 1/2 of a year (6 months), the whole process.

Thus, the back-end thus needs to be shortened.

Besides your math being terrible, it sounds like selling via auction house may not be the best route for you with turnaround time from acquisition to cash-out being such a high priority for your flipping endeavors. Or at least you need to read the fine print on the front end rather than publicly griping on the back end when you get exactly what you signed up for. Any negotiation of terms should be done on the front end, whether with Heritage or any other auction house or reseller. By you agreeing to a specific time to payout on the front end, and then complaining about it and trying to get it changed after-the-fact, I have a hard time finding sympathy for anyone other than the Heritage rep in this case.