PCGS Grading and low value coins

RR · January 19, 2004 11:51AM

I see low value coins listed for sale at $5-15 and graded by PCGS. I see listings where someone will have maybe 10-15 Lincoln cents graded and slabbed for sale. I'm wondering how they get them all graded since it would cost more to get graded than they're worth. How are these folks getting such coins graded?

Thanks.

Russ · January 19, 2004 11:58AM

<< <i>How are these folks getting such coins graded? >>

Same way everybody gets coins graded, by submitting them. They're losing money of the sales. Most likely, they expected the coins to grade higher than they did.

Russ, NCNE

foodude · January 19, 2004 12:00PM

They're losing money

It is part of the tuition in learning how to grade.

lordmarcovan · January 19, 2004 12:06PM

Sometimes you can pick up other people's castoffs in swaps, too.

As a matter of fact, if you'll forgive my horning in on this thread with a little SSP, I am dumping, er, I mean clearing out a handful of such coins right now.

(For those of you unfamiliar with the abbreviation, "SSP"= "Shameless Self-Promotion", an acronym we use on the Darkside forum to warn others when we are sellin' stuff on the forum instead of the BST board where it should be.)

lordmarcovan · January 19, 2004 12:06PM

(Oh- let me be the first to welcome you to the forums, BTW).

Gandyjai · January 19, 2004 12:08PM

I have many lower-grade PCGS Ikes for sale. I am lucky if I come close to covering my grading cost on
a MS64 Clad Ike. These coins are a product of my "tuition" in learning what PCGS is looking for in a 65
or higher Clad Ike......mistakes by me that I lose money on

I COULD keep them and HOPE they go up in value SOME DAY.....but I need the storage space.

My grading has gotten better and I get fewer 64's....but they still sneak in every so often.
The 71's and 72's can still make money in 64.

Believe me, every time you see a lower grade PCGS coin sell for less than the slab fee.....some one just
got a lesson on PCGS standards of grading.....Boy, am I getting a lot of grading lessons!

Good Luck!
Gandyjai

mgoodm3 · January 19, 2004 12:09PM

The key is that someone else took a bath on that coin before you bought it. PCGS quality for ACG prices.

RR · January 19, 2004 12:11PM

<<(Oh- let me be the first to welcome you to the forums, BTW). >>

Thanks lordmarcovan!

RR

Deadhorse · January 19, 2004 12:45PM

Uh, excuse me for butting in here, but or butt, I was under the impression that some dealers are able to get large discounts on grading if they are grading a large amount of coins.

For example, the Coin Vault(I know, I know)submits perhaps thousands of common Morgans and or moderns to NGC.

I thought I heard somewhere that they were getting coins slabbed for around $3 a pop. They aren't the only ones either. Am I wrong here?

foodude · January 19, 2004 12:52PM

Uh, excuse me for ...

Yes some pay a reduced fee and even low volume submitters can do this to some extent by submitting raw coins to Teletrade. For ther latter your coins are then in a Teletrade auction.

I don't know how low the fees go for the high bulk submitters ... $3 seems really cheap, the slab and seal cost something, but then again the graders can probably grade Morgans in their sleep.

edited for spelling and to insert a missing word.

cladking · January 19, 2004 12:57PM

Welcome aboard.

Gandyjai · January 19, 2004 1:02PM

I am a collector, so I don't get any "special" dealer rates.
I have no interest in Teletrade.
So, I guess the best I can hope for is going for a "Bulk" submission.
I haven't done one yet (I'm working on one)

I think one gets $3 off each for a bulk on moderns??

Gandyjai

Russ · January 19, 2004 1:04PM

<< <i>I was under the impression that some dealers are able to get large discounts on grading if they are grading a large amount of coins. >>

Yes, on bulk submissions, (which I think is 100 coins), the rate is $8 per coin at PCGS. Don't know what it is at NGC. Bulk submitters, though, tend to be those who actually know how to grade reasonably well. They also specify minimum grades on these submissions, so the misses don't even end up in a holder.

Most of the stuff out there that's worth less than the cost of grading is small submitters.

Russ, NCNE

Skipper53 · January 19, 2004 1:12PM

Welcome aboard,
Some of my first submissions were, well much lower than I'd hope.
Then there were the ones that got "bodybagged".
Obviously, the ones that got graded will come closer to breaking even
than those that didn't.
I'm now much more careful about the coins I submit !

Skipper

,

LincolnCentMan · January 19, 2004 1:27PM

Ok,

Let me put it from a dealer's standpoint. Sometimes you happen into a lot of really nice coins that are close to the money. So you pick out all the ones you feel are close and send them in. Check out my invoice 9011629. All the 52's and 53's came from rolls.

52-P in 65 = brake even
52-P in 66 = $100 coin
53-P in 64 = lose money
53-P in 65 = brake even
53-P in 66 = $150 coin

Ignore the 33-D and 11-P, they're coins I wanted for me. ...and I still own them.

LINE # CERT # COIN DATE DENOMINATION VARIETY COUNTRY GRADE
1 21327267 1911 1C USA MS64BN
2 21327268 1933-D 1C USA MS65RD
3 21327269 1952 1C USA MS65RD
3 21327270 1952 1C USA MS65RD
3 21327271 1952 1C USA MS66RD
3 21327272 1952 1C USA MS66RD
3 21327273 1952 1C USA MS65RD
4 21327274 1953 1C USA MS65RD
4 21327275 1953 1C USA MS65RD
4 21327276 1953 1C USA MS66RD
4 21327277 1953 1C USA MS65RD
4 21327278 1953 1C USA MS65RD
4 21327279 1953 1C USA MS64RD
4 21327280 1953 1C USA MS64RD
4 21327281 1953 1C USA MS65RD
4 21327282 1953 1C USA MS64RD
4 21327283 1953 1C USA MS66RD
4 21327284 1953 1C USA MS64RD
4 21327285 1953 1C USA MS66RD
4 21327286 1953 1C USA MS65RD
4 21327287 1953 1C USA MS65RD
4 21327288 1953 1C USA MS64RD

So let's do the math:
3 52-P's at $16 = $48
2 52-P's at $100 = $200
5 53-P's at $5 = $25
7 53-P's at $16 = $112
3 53-P's at $150 = $450

Total value of slabbed 52's and 53's: $835

Cost of those two rolls: about $75
Cost of slabbing 20 coins: $320
Postage round trip: $30
Total cost: $425

Approximate profit: $410

David

Coppernicus · January 19, 2004 1:36PM

Russ is right - PCGS charges $8 per coin for generic bulk submissions. This helps to explain why there are common "commodity" coins in slabs, when the value of the coin is less that the $30 standard grading fee.

But, there are also collectors (not dealers) like me, who will submit a low value coin just to have it certified/verified in a PCGS holder. I just got back a 26-S Lincoln cent, graded XF40 (I was hoping for 45!!!!) that is a filler in my registry set until I can afford a RD or maybe RB specimen. I didn't mind paying more for the certifcation and slabbing than the coin was worth.

My guess is that there are a lot of other collectors that see this the way I do.

Mike

LincolnCentMan · January 19, 2004 1:58PM

In a small % of instances, there are cheap coins with "the look." Take this one for instance:

In all honesty, I expected the coin to come back higher. But let's get real, a 29-S in brown is a cheap coin. Even so, that coin is seriously nice... and worthy of my collection despite PCGS's opinion on the grade.

David

RR · January 19, 2004 2:40PM

Thanks to all for the welcome aboard, and the helpful information this evening.

RR

Coppernicus · January 19, 2004 3:07PM

LincolnCentMan - Right on! I also just got back a 1910-S which graded 64RB at PCGS. It had no red but very little brown either! It was a sharp strike and had a tinge of blue and green toning, almost like some proof coppers. I knew this one wouldn't go RD and might have gone 65 (but I thought BN, not RB) so I was satisfied with the 64RB. It is one of my favorite pieces in my registry set.

Mike

braddick · January 19, 2004 3:19PM

And then sometimes there is no rhyme or reason why a coin is holdered:
http://cgi.ebay.com/ws/eBayISAPI.dll?ViewItem&item=2219101298&category=11952

PCGS Grading and low value coins

Comments

Leave a Comment