A cautionary tale...read the fine print.

I recently won this 1832 LM-1 Capped Bust Half Dime in a Heritage auction. I was busily patting myself on the back for a $68 hammer win when I got the invoice that showed a $29 buyers premium, which amounted to a 43% buyers premium. My first reaction was WTF!

Then I read the details: The buyer's premium at Heritage is 20% of the hammer unless that 20% is less than the minimum of $29.

Fortunately, the final tab was not more than I was willing to pay so I don't have to wear a hair shirt.

I was also the underbidder on two much more expensive coins so I just have to get my mind wrapped around these new, higher prices.

Most folks here are probably already aware of this BP minimum so I'm just taking the opportunity to expose my ignorance. Feel free to make fun!

 

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IMHO buyers need to be discriminating when it comes to buying lower value items because the fixed juice getting squeezed from them is a significant premium when the bidding approaches the true value of an item.

 

Yeah, its brutal. I got slammed with that once, and now completely ignore lower valued items there. In fact, between the buyer fee and high shipping I usually try to buy multiple items in an auction if I bid at all, but usually do not bid at all. Heritage ancient buyers are CRAZY!

For fairness, though, all shipping is getting ridiculous. I had a 1 gram coin a firm charged me $45 for DHL for, it arrived 4 weeks later as regular Swiss post.

 

To emphasize that point, Great Collections recently modified their available shipping options. Previously, the least expensive shipping option was a $5.60 USPS option. Now, the cheapest is a $14.00 Fed Ex two-day delivery. Don't know why they made the change but there it is.

 

yeah been surprised more then once with buyers premiums.. normaly I'm ready for them and know about what they should be.. but have been caught out a few times with "minimum" premiums just like you...

 

I was watching an auction last night on Liveauction. I could not believe the price proof sets were going for......($19-$25) for random common dates add a 22% BP plus shipping.......No way!

 

Just a cautionary tale about avoiding "low value" auctions, occasionally - well very occasionally you can find some great overlooked treasures in Heritage's weekly auctions. Just because a consignment gets condemned to a low value, weekly auction doesn't mean it is not unique and or very rare and valuable. I say that because I have just this week traipsed across an overlooked, not researched item in the Tuesday auction that would have gone for far much more had it been adequately researched, described and placed in a signature auction.

 

@Publius2 Thanks for the lesson, I've not purchased at any auctions other than fleabay and those BP's can bite for sure!

Sounds like a story needs to be told about your acquisition!

 

Thanks for the info, I didn't know that. Nice half dime, though!

 

I'm printing an invoice for a 300$ coin I just won and shipping by USPS is $5.50

 

The moral of all these stories is: Save yourselves the buyer's premium and the shipping costs. Buy what you can at shows instead.

 

GC updated the shipping charges in April. There is still a $5 (plus $0.50 per item) USPS option for invoice under $500. Over that, it is a minimum of $14 (plus $0.50 per item).

https://www.greatcollections.com/kb/Shipping-Fees-and-Methods-t86-4.html

 

Yes, an interesting tale for sure, glad you don't have to wear a hair shirt!

 

Thanks for the explanation. My father told me when I was a little shaver "Surround yourself with people that are smarter than you. It can't hurt"

 

Don't worry I learned through experience too. I won something over $500 and saw the higher shipping charges. Then I found that article on the website. I don't mind as I've had my share of GC wins where they lost money on the shipping, so it evens out over the long run (and GC shipping along with Stacks is still much more reasonable than Heritage).

 

I was aware they had a minimum buyers fee, but I believe they have raised it, I thought it used to be $20.

This is why you should always read and understand the terms of sale before bidding. There can be some interesting things in there. One of my favorites is the clause that says that coins certified by a TPG (and how many raw coins do most of the major houses sell nowadays) can not be returned for any reason other than authenticity. Mis-described, misattributed, unmentioned damage, a mechanical error in the label, misgraded, sorry not returnable. Take it up with the TPG.

 

Can you help me

 

With what?

 

(ebay)is the best if you don't want to pay all that extra cash but sometimes when you have tax it can hurt.

 

I guess its related to this thread?who knows!!!!.most likely he won't come back as usual.