what is a normal turnaround time for receiving payment from an auction house?

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Posted By: warshawlaw

I've still not received payment on a lot I sold in the December Lelands auction. Anyone else consign to that one? If so, what's your payment status?

Are some better than others w/r/t payment? If so, which ones?

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Posted By: Kyle

I recently found out it is common practice to have to wait 45 days... which in my opinion is pretty terrible.

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Posted By: leon

45 days is normal for large auction houses....smaller ones send the funds sooner, in my experiences.....

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Posted By: Ted Zanidakis

The last time I consigned a BB card set to Sotheby's it took 2 months
before I received payment; and perhaps, only because after 6 weeks I
called them to ask why I had not received the proceeds from sale.

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Posted By: Joann

Anyone know why such long delays are standard? It can't take that long to do the admin and processing. Maybe they are waiting for the return/complaint deadline for the buyer to pass before they release funds?

Joann

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Posted By: leon

a possibility- interest on roughly 5m-10m, in the bank for a month.......probably adds up to a few pennies....and they have to have some time for the few issues that might arise from some of the items...(that's a general statement)...

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Posted By: joe

This is a small auction house, no cards. Inside The Park Collectibles, auction was Dec 7 2005 and I received my check on December 30, 2005.
Joe

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Posted By: Judge Dred (Fred)

I've consigned to a few places and I've received payment relatively quickly (within 30 days or less).

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Posted By: davidcycleback

Mike Gutierrez Auction, as an example, has a brief return period if the auction description desription is false. It would only make sense that this auction hold money until after this period is up. I would think the average auction houses would make sure that everything is shipped and accepted before giving money to consignors. Business-wise, it wouldn't be sound to give money to consignors until the consignments are accepted by the buyer. The auction house is charging a fee to perform the entire transaction, including consumation of sale. It can be compared to an agent selling a house.

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Posted By: warshawlaw

I've not seen payment yet; has anyone else been paid?

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Posted By: Tom Boblitt

April auction, I received payment in LESS THAN 30 days after the auction. It was for a fair amount as well. I can't imagine being paid any sooner and didn't really expect it for a week or two later than what I got it. Every step of the way was flawless with them...........

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Posted By: jay behrens

I got my payment from the REA auction two weeks after the auction closed.

Jay

Growing old is not optional, growing up is.

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Posted By: Wesley

I have only consigned with two auctionhouses.

Mastro took about two months after close of auction to pay.

REA paid me almost immediately following the auction.

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Posted By: Bob

Adam- Mastro told me my check was going out June 5th from the April auction.
tbob

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Posted By: warshawlaw

According to its press release, Mastronet did $11 million in the April auction. Invoices went out on April 24th and call for payment within two weeks, so by May 8th. I would assume that the vast majority of bidders were notified by internet and got their money in faster, but for sake of conservative analysis, let's say that only 80% of the money came in on time. That means that by May 8th, Mastro had about $8.8 million in proceeds in the bank. My lousy little money market account with my commercial bank earns 1% a year. Even at that crappy yield, Masto would earn $241.10 a day on the $8.8 million. They will have held the money about 25 days overall, perhaps a bit more, resulting in interest income of about $6,000. Do four times that in auction volume each year (as Mastro does) on the same terms and you drop $24,000 to your profit line with zero risk and zero cost. Nice set-up if you can swing it, no?

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Posted By: Richard Masson

Isn't it kind of unfair to take a swipe at Mastro when your beef is with Leland's? They're the guys who have been sitting on your dough for six months, not Mastro.

Quit typing and go ask Leland's for your money.

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Posted By: warshawlaw

I haven't been paid by Mastro for the April auction so, no, my swipe is entirely fair.

Lelands paid me; took them about 2 months.

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Posted By: joe

For Mastro's March auction, I called about my consignment check. They were waiting for payment on 1 of about 10 items, so they held the money until they were able to send 1 check. As far as the 8 million dollars or whatever that figure was, I doubt they were holding every consignors monies. I'm would be pretty sure that most checks were sent out within the 45 day period that they print in the front of the catalog.

Joe