PSA backlog

[Gorditadogg]

Originally Posted by Pat R

Even using their APR value there shouldn't have been an upcharge on some of the cards.
One of the cards was a Mathewson white cap in a PSA 2 the APR on that card is $449.99

https://www.psacard.com/auctionprice...ummary/2092813

Haha, aren't you a trip. That was a 2017 sale. I am guessing the value of that card is slightly higher now. What do you think it is worth today? $2500?

[esehombre]

The last PSA Submission I received (December 2021) I was hit with an "Upcharge". They sent me a link to a Goldin Auction that ended in October.

[Johnny630]

Originally Posted by esehombre

The last PSA Submission I received (December 2021) I was hit with an "Upcharge". They sent me a link to a Goldin Auction that ended in October.

That's a Win on the Upcharge !

[glchen]

BTW, PSA has issued a statement on MARX cards here: Link

[swarmee]

Originally Posted by glchen

BTW, PSA has issued a statement on MARX cards here: Link

Looks like PSA is aware the authorized dealer is filing for bankruptcy protection. So the customers get their cards back in whatever state of grading they're in (most ungraded?), then have to fight PSA and others who are also owed money by Marx? Ugh. This may drag on a long time. And PSA specifically didn't say that those cards would be allowed to continue going through grading, just that they would be returned in the most expeditious manner. Many customers will now be out the grading fees (to Marx), with their cards back 1+ years later ungraded and some nearly worthless.

[BobbyStrawberry]

Honest question: what the !*&# is PSA doing? (From a business perspective, I mean.)

Instead of spending years failing to work through the backlog and angering their customer base, why not hire more people and expand their capacity?

[swarmee]

Originally Posted by BobbyStrawberry

Instead of spending years failing to work through the backlog and angering their customer base, why not hire more people and expand their capacity?

Honest answer: I believe they have more than tripled their capacity in the last couple of years, it just hasn't been enough for the market which has grown into base card slab flippers in the same time.
Their biggest failure seems to be keeping low prices for too long, so that the backlog grew quickly to an inordinate pile to ever grow out of.

[conor912]

Originally Posted by glchen

BTW, PSA has issued a statement on MARX cards here: Link

I’ve heard guys ask why PSA doesn’t just charge at the time of submission like SCG. Ive wondered the same thing, and the only possible reason I can come up with having something to do with liability and them being able skirt any semblance of legal responsibility for promised services….basically saying we don’t have make good on any promises until payment is collected. Curious to hear other takes, though.

[swarmee]

PSA Pros:
1) Charging for the order in advance would make it harder to upcharge customers when their assessed graded card value now exceeds their submission level declared value.
2) They would have to escrow large amounts of money on behalf of customers, maybe? Or at least change up their accounting
3) Don't have to deal with refunds.

Customer pros:
1) You couldn't file a chargeback on a credit card payment if the grading took over 6 months? This is the cluster that BGS has been in for 4 (?) years.
2) Theoretically you could let them keep your cards if you were underwater on them, like sending back your house keys to your mortgage lender during the subprime crisis.
3) Your money isn't tied up.

[Tyruscobb]

Originally Posted by conor912

I’ve heard guys ask why PSA doesn’t just charge at the time of submission like SCG. Ive wondered the same thing, and the only possible reason I can come up with having something to do with liability and them being able skirt any semblance of legal responsibility for promised services….basically saying we don’t have make good on any promises until payment is collected. Curious to hear other takes, though.

The backlog was allegedly between 13M and 14M cards. Let’s compromise at 13.5M. Let’s estimate that the average grading fee for the 13.5M cards was $15.00. That equals $202,500,000.00 in upfront fees.

Let’s estimate that PSA could earn just 1% interest on those fees. That’s $2,025,000.00 in yearly interest (free money) just from collecting fees upfront and depositing them into an account. How does this not make sense?

[Pat R]

Originally Posted by Gorditadogg

Haha, aren't you a trip. That was a 2017 sale. I am guessing the value of that card is slightly higher now. What do you think it is worth today? $2500?

Well you're the one that said that's what they were probably using for the values.