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But on certain cards; restoring them to 1-3 is actually an easier gig; for if you're a grading company and the card is like $1K and in bad condition; do you automatically question said card like you would a higher grade example.
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Humm....Getting a 1-3 to a 4-5 is usually very easy, since the lower grade cards have more problems to work with and edges/corners are usually not a primary concern. Altering a card to the 7/8 range is much more difficult. It's tedious micro-type work, usually on the corners and edges, that has little room for error.
That being said IMHO there are more high grade altered cards in the auction houses because that's where the high grade cards are. I think the altered low to mid grades can be sold more efficiently on eBay. Of course, I'm referring only to graded cards. Raw cards are the wild west.
I would hope that grading companies question all cards equally and give a little extra attention to the top tier cards. I'm not really sure if that happens though.