A question on currency grading

[jtryka]

I was surfing through ebay for large size notes, and I came across a Series 1918 $2 graded by PMG as Fine 12, but there was a corner missing from the note. Is this common in currency grading? As primarily a coin collector, I would have thought that a missing corner or tear would be like a scratch on a coin resulting in a body bag and a net grade. Is this not true in currency?

[zrlevin]

It looks like it should have been BB'd. Here is a quote from PMG's website:

 

Some notes fail to make the grade, so to speak. For example, notes which have a corner missing, are stained or been damaged due to most any adverse occurrence after leaving the BEP will be net graded. This means that instead of no grading it, PMG will holder and authenticate it as a "Net Grade". PMG will specifically state the reason(s) any note is net graded. The PMG guarantee is not valid on any net graded note.

 

 

Zach

[vcavo]

Currency grading is somewhat different than coins. PCGS does it few different ways. Red lable, or not call it PPQ, their version of original and not messed with. Usually if a note has been messed with PMG may choose not to grade it.

 

PCGS will grade a pressed GEM, a GEM 65 with no PPQ attached. PMG will call that a much lower grade.

 

Personally I like the PMG thinking as opposed to PCGS. My prefrence, I think over time the PMG notes will command more $$$$.

 

Of course, avoid CGA, run, duck, hide.`

[jtryka]

Well, I went back and found the item: 1918 $2 on eBay

 

You can clearly see the missing corner, and maybe it does say "Net" in tiny letters by the grade. It seems like they might employ something similar to coins where they note the problem and then net grade more prominently.

[zrlevin]

It doesn't say net grade anywhere, but above the grade it says "See Comments" and on the back it says "Corner Off".

 

Zach

[MunkyMan95]

It always says see comments... It usually says something about paper quality.

[vcavo]

You will not see a "NET" grade in currency. This is a coin thing.

[oldbucks-migration]

That is a classical corner ripped off of a $2.....and the grade by definition should be VG at best. Eventhough it may look great, part of the note into the design is missing. A notation is needed to define the fault.

 

Jeff