Grading Service Level Confusion - Value?

frankbmd · #1 12-19-2016, 10:22 AM

Scenario #1

You have a card that you paid $1000 for, but you think it would be worth more graded. You submit it with a valuation of $1000.

It is returned in an "A" slab or worse (ungraded, not "A") with a new market value of $83.

Scenario #2

You submit a 50 card lot that you paid $1000 for and you submit them with a valuation of $1000.

Three of the cards grade very well and the overall graded value of your submission is now $8300.

It has always been my impression that the valuation you submit serves as ungraded replacement value should something happen at the grading company or in transit (insured value).

These scenarios may be extreme in the real world, but raise the following questions.

If the cards declared valuation impact grading company service level and fees,
are their fees justified in these two scenarios?

In Scenario #1 should the submitter receive a partial refund from the TPG, based on the devaluation of their submission as a result of the grading process?

In Scenarion #2, similarly, should the submitter be charged an additional fee by the TPG, based on the submitter's undervaluation of their submission?

To link valuation to TPG fees assumes that the TPG spends more time grading high value cards. Do they?

If the submitter profits from a beneficial grade above the valuation, is the TPG warranted in claiming a percentage of that gain, either before or after grading?

As previously mentioned, Beckett's service level (i.e.: turn around time) is independent of declared valuation. Whether you are submitting a Mendoza or a Cobb, and want either back in 14 days, makes no difference in their fee.

Obviously the value appreciation potential of grading a Cobb is greater than grading a Mendoza and I suppose this is justification for increased fees for grading Cobbs by SGC and PSA.

Unfortunately no matter what he did, Mendoza could never have a batting average above the Mendoza line.

tschock · #2 12-19-2016, 01:10 PM

Quote:

Originally Posted by frankbmd

To link valuation to TPG fees assumes that the TPG spends more time grading high value cards. Do they?

Think of it more like women in line to get into a chic night club. The hot ones go to the front of the line and get in faster, while the average ones stay in queue. The hot ones valuation might be higher (as they get a more thorough going over by the eyes of the other guests), but once they're in the door, it doesn't matter to the night club owner.

frankbmd · #3 12-19-2016, 01:45 PM

Quote:

Originally Posted by tschock

Think of it more like women in line to get into a chic night club. The hot ones go to the front of the line and get in faster, while the average ones stay in queue. The hot ones valuation might be higher (as they get a more thorough going over by the eyes of the other guests), but once they're in the door, it doesn't matter to the night club owner.

Rest assured Taylor, all my chicks are well above the Mendoza line and it isn't even close (as long as I'm sober

).

bnorth · #4 12-19-2016, 01:16 PM

Quote:

Originally Posted by frankbmd

In Scenario #1 should the submitter receive a partial refund from the TPG, based on the devaluation of their submission as a result of the grading process?

In Scenarion #2, similarly, should the submitter be charged an additional fee by the TPG, based on their undervaluation of their submission?

I have never heard of scenario 1 happening. I have heard of scenario 2 happening several times.

People have this strange idea that grading companies are here to help the card collecting hobby.LOL They are here to make cash and lots of it, it is their one and only goal, as it should be.

scomeau · #5 12-19-2016, 02:46 PM

Frank,

You bring up some good points. I have certainly had Scenario #1 experiences. I'm sure if I were smarter, I would never have purchased the cards, but the hobby used to be different and I ain't that smaht. We used to buy raw cards all the time.

If you submit the Scenario #1 card low-balling, you're inviting a low grade. It would be nice if the grader was unaware of the submitted service level, but I doubt that, because there's always a time parameter that they have to meet. At least PSA says the cards are submitted anonymously so that 'Big' or 'Small' customers get consistent treatment.

By coupling time and grade estimate, the grading companies are asking us to express our opinion, and while they might not intentionally lean one way or another, human nature is human nature.

I really don't doubt the integrity of the graders, but I know if the card is submitted as a $100 card and it's on the cusp of 6 and 7, as a grader, I would be subconsciously thinking that the submitter would be satisfied with a 6. This is why the have double blind drug studies - honest people are influenced by what they know. We all know the impact of 6 vs 7.

On the other hand, if I was hopeful on it being a 7, and submitted it s a $1,000 card, the grader knows my expectation, and might be similarly influenced to make inadvertent 'allowances'. It a very subjective thing after all.

But this is all simply argumentative, and as far as I know there is no good solution. The flat fee for grading (there could be different price levels for different sets or time periods) would remove most subjective leaning. In my mind, the grader should be taking more time looking at a Mayo Cut Plug Anson than a '33 Lew Fonseca (Sorry Lew).

I guess I'll take the hit and submit it as I see it and hope the best things happen. What's my option?

Aquarian Sports Cards · #6 12-19-2016, 05:16 PM

Quote:

Originally Posted by scomeau

Frank,

You bring up some good points. I have certainly had Scenario #1 experiences. I'm sure if I were smarter, I would never have purchased the cards, but the hobby used to be different and I ain't that smaht. We used to buy raw cards all the time.

If you submit the Scenario #1 card low-balling, you're inviting a low grade. It would be nice if the grader was unaware of the submitted service level, but I doubt that, because there's always a time parameter that they have to meet. At least PSA says the cards are submitted anonymously so that 'Big' or 'Small' customers get consistent treatment.

By coupling time and grade estimate, the grading companies are asking us to express our opinion, and while they might not intentionally lean one way or another, human nature is human nature.

I really don't doubt the integrity of the graders, but I know if the card is submitted as a $100 card and it's on the cusp of 6 and 7, as a grader, I would be subconsciously thinking that the submitter would be satisfied with a 6. This is why the have double blind drug studies - honest people are influenced by what they know. We all know the impact of 6 vs 7.

On the other hand, if I was hopeful on it being a 7, and submitted it s a $1,000 card, the grader knows my expectation, and might be similarly influenced to make inadvertent 'allowances'. It a very subjective thing after all.

But this is all simply argumentative, and as far as I know there is no good solution. The flat fee for grading (there could be different price levels for different sets or time periods) would remove most subjective leaning. In my mind, the grader should be taking more time looking at a Mayo Cut Plug Anson than a '33 Lew Fonseca (Sorry Lew).

I guess I'll take the hit and submit it as I see it and hope the best things happen. What's my option?

Again, I submit at a level that recompenses me for the card pre-grade. I recently submitted a 1965 Mantle with a $250 valuation and got a NM/MT 8. I really have never noticed a correlation between my estimate and my grade.

scomeau · #7 12-19-2016, 05:44 PM

I am reassured that you feel that way. I hope my expertise or luck in my old purchases mirrors your.

Similar Threads
Thread	Thread Starter	Forum	Replies	Last Post
New grading service	hunterdutchess	Net54baseball Vintage (WWII & Older) Baseball Cards & New Member Introductions	7	11-26-2010 04:24 PM
AGS grading service	Boomer	Net54baseball Vintage (WWII & Older) Baseball Cards & New Member Introductions	1	09-23-2010 09:51 AM
what grading service gives coa	Archive	Net54baseball Vintage (WWII & Older) Baseball Cards & New Member Introductions	2	10-15-2005 12:04 PM
SCD grading service	Archive	Net54baseball Vintage (WWII & Older) Baseball Cards & New Member Introductions	10	07-19-2005 04:27 AM
New Grading Service	Archive	Net54baseball Vintage (WWII & Older) Baseball Cards & New Member Introductions	4	09-28-2002 01:54 PM