A grading question...

Why are coins returned by PCGS as "NOT GRADABLE?"

Can't every coin be graded?

Example:

http://cgi.ebay.com/ws/eBayISAPI.dll?ViewItem&item=300437781073

 

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No they can't.
They can receive a 'details' grade by some companies if the coin has deep gouges over it, scratches, or has signs of heavy cleaning or being in jewelry.

Heavy cleaning can be polishing, whizzing, being scrubbed down with a wire brush, etc, etc...

The coin above has deep gouges and has been cleaned.

 

If the coin has too much damage, ie bagmarks, a lot of wear, etc. it will be slabbed as genuine, or details with no grade. That means the amount of damage on both sides prevent the TPG from giving it a grade of any level.

 

That being the case, how would you price it?

 

That is totally up to the buyer, there is no price guide for that.
My suggestion is you grade the coin with the details it has, then knock down a grade or two in value, it totally depends on what your budget is, and the difference between the grade you graded at it (or the details grade it has already) and the next and previous grades on the line.

I personally recommend you don't buy non-gradable or 'details' graded coins at all.
Stick to problem-free coins.

 

I don't actually pay attention to the grades in my collection. So long as the date and mintmark are readable and the coin is authentic, I am happy with it. Of course I would prefer an MS70 to a G4, but if I come across a G4 that I need, I will not hesitate to add it to my Dansco albums.

 

To get to the bottom line. Any coin which has any problem which might affect it's value will not be graded because the TPGs essentially guarantee authenticity and value for the particular grade. Since problems of any nature reduce the value below the problem free coin, it gets either a Detail (NGC) or Genuine (PCGS) slab which guarantees authenticity but not value for the grade.

Now it can be body bagged if it's bad enough.

I believe this is why there are more older graded copper coins slabbed than there will be in the future. I have a couple of hundred old coppers, but I suspect fewer than five would qualify for full grading. Most of the rest would probably get detail graded.

 

Thank you for that explanation. That cleared it up pretty well for me.

 

That sounds ridiculous. You NEED to pay attention to grades. If you buy problem coins at non-problem prices, you will have a problem.
Stick to buying non-problem coins, even if it is for your Dansco album.

The only time that problem coins are really bought is when they are key dates, and even then I don't know that I'd buy the coin. It is best to have problem free coins in your collection.

 

Of course I pay attention to the grading when I purchase a coin. But I am not going to turn down a coin because of a G4 rating. What I mean to say is I have no requirements for my collection so long as the date and mintmark are legible.

 

I try not to touch problem coins with a 10 foot poll.

 

Okay that sounds better...
The way you were making it sound, it just seemed as though you didn't care about grading at all, and you'd just buy any coin that comes along. That is not how it is done, and just because a coin has G-4 on its label, doesn't mean it is a G-4 which is why it is important to grade. And a lot of coins in slabs are problem coins, which is why you need to learn to decipher those as well.

 

I was taught to ignore grades unless it was done by a professional grading company. I have graded a few coins myself in my collection using the Whitman Guidebook, but am sure I am at least a few grades off.

 

It just takes a lot of practice. I'm to the point where 80% of coins I send to TPG'ers come back the grade I think they should. If they don't come back how I think, I sit down and study it long and hard, compare it to others of a higher/lower grade, and try to understand it. Admittedly, my weakest area is telling the MS coins apart (MS60 from 61, for example), probably because I don't have enough to compare.

 

And you were right, in your case, if it wasn't graded by NGC or PCGS, ignore the grade.
With other coins graded by ANACS or ICG make sure to have a second opinion.
I'd recommend getting ANA's grading standards, the 6th edition.
There is also PCGS's Photograde, on online photo guide that you can browse through, it is really neat, and pretty spot on.

 

The ANA Grading Standards is the Whitman Guidebook I use. I have the photograde on my phone, but am not a fan of it. I like the book. Would like to see them make a 7th edition though.

 

Great
The thing I like about Photograde is that it is a very quick reference to glance at, and is spot on.
The ANA Grading Standards is a great reference guide and it is suitable for use by anybody.

 

And to extend on these comments (which are very good by the way) ...

NGC and PCGS are good as gold, ANACS and ICG are good, but still require scrutiny. AND --- if it's slabbed by a different company than these, don't believe the grade, don't believe that it isn't problem-free, and don't believe any error attributions that might be noted on the slab.

 

Plus - practice with the guess the grade threads. It will help you look at coins closer and notice little things.

 

Good idea. I looked at one of those polls and picked a grade. When I checked the results, that grade had 0% votes. I need to find the anonymous polls.