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MWBen --
One evening when I was chatting with someone, I suggested that he purchase a 1933 Goudey Lou Gehrig that was missing the bottom portion of the card (card was originally listed on eBay). The price was right and when he relisted the card several weeks later, he made a profit. I certainly agree with you that a BIN of $550 is too high, but like runscott wrote, maybe the seller doesn't know any better.
I still remember a show I attended many years ago where the seller of a 1954 Hank Aaron rookie wanted 90% of book for his card:
"What do you mean?" I asked. "The card has one of the corners clipped off!"
"Exactly!" the seller replied. "90% of it is still there."