help with EGL USA cert/UGS appraisal question

[tiffany09]

hello, this is my first post since discovering the site and i''m hoping some of the experts out there can help clarify something for me and give their advice.

are EGL USA cert''s really less reliable than GIA? Also, are the UGS appraisal values they come with very inflated? i keep finding mixed information online saying that the EGL USA labs in NY and LA grade with the same standards as GIA but that the international labs are worse, and some saying to stay away from EGL certs altogether. my cert is in fact a US one and it has been validated through their website. the stone also matches the plotted characteristics.

im concerned that my diamond may have been graded a higher clarity than it actually is though, since I can see some flaws with the naked eye from the top of the stone. the cert says it''s SI1, I color, ideal plus cut, and its 1.1 ct. UGS appraisal has a replacement value of $10,500 for the loose stone. does this sound totally wrong to anyone? when i look at diamond prices online, this just seems so much higher than what they go for.

im thinking of getting an independent appraisal, but if it is much lower than the original one, what should i/can i do? since i''ve had it for quite a while now (over a year) i''m afraid i may be stuck with it and im just really disappointed and upset by this. i don''t know if the jeweler it was bought from has an upgrade policy or would do anything since it''s been so long now, and i feel like getting the appraisal might make me feel even worse about it in this case. any insight would be helpful, since i don''t even know where to begin to ease my mind on this.

 

[Dancing Fire]

Date: 6/19/2009 1:12:56 AM
Author:tiffany09
hello, this is my first post since discovering the site and i'm hoping some of the experts out there can help clarify something for me and give their advice.

are EGL USA cert's really less reliable than GIA? Also, are the UGS appraisal values they come with very inflated? i keep finding mixed information online saying that the EGL USA labs in NY and LA grade with the same standards as GIA but that the international labs are worse, and some saying to stay away from EGL certs altogether. my cert is in fact a US one and it has been validated through their website. the stone also matches the plotted characteristics.

im concerned that my diamond may have been graded a higher clarity than it actually is though, since I can see some flaws with the naked eye from the top of the stone. the cert says it's SI1, I color, ideal plus cut, and its 1.1 ct. UGS appraisal has a replacement value of $10,500 for the loose stone. does this sound totally wrong to anyone? when i look at diamond prices online, this just seems so much higher than what they go for.

im thinking of getting an independent appraisal, but if it is much lower than the original one, what should i/can i do? since i've had it for quite a while now (over a year) i'm afraid i may be stuck with it and im just really disappointed and upset by this. i don't know if the jeweler it was bought from has an upgrade policy or would do anything since it's been so long now, and i feel like getting the appraisal might make me feel even worse about it in this case. any insight would be helpful, since i don't even know where to begin to ease my mind on this.

yes, sorry to say,but they are worthless.

 

[Lorelei]

Hi Tiffany,

EGL are considered by some to grade more leniently than AGS or GIA, EGL USA is thought to be the strongest of these labs, this page explains further.

http://diamonds.pricescope.com/grading.asp

Also it isn''t unusual to see inclusions in even GIA graded SI1 clarities, this grade is not created equal. Yes the appraisal is also inflated but this is commonplace.

Just to clarify, is this your engagement diamond? Did your fiance buy it?

 

[tiffany09]

Hi all,

thanks for the replies. Yes, this is my engagement diamond and my fiancee did buy it. I know he couldn''t afford my dream ring at the time and we''ve recently talked about maybe upgrading it some day in the future. I had nothing to do with choosing it (though i did tell him i wanted round brilliant, which it is) and I don''t know what he paid for it, but he said it was ''fair'' and less than the appraisal value.

i just wanted some piece of mind i guess to know that the jeweler didn''t misrepresent it as something better. I''ll get over it I''m sure, I just feel bad about the whole situation. If we ever do upgrade we''ve decided it will be something we do together to make sure it''s perfect, though I have my doubts that we''ll ever actually go through with it. part of me kinda feels like it defeats the purpose of an engagement ring at all, but part of me feels like for such an important piece of jewelry we should be completely satisfied with it.

 

[Lorelei]

Date: 6/19/2009 10:15:35 AM
Author: tiffany09
Hi all,

thanks for the replies. Yes, this is my engagement diamond and my fiancee did buy it. I know he couldn''t afford my dream ring at the time and we''ve recently talked about maybe upgrading it some day in the future. I had nothing to do with choosing it (though i did tell him i wanted round brilliant, which it is) and I don''t know what he paid for it, but he said it was ''fair'' and less than the appraisal value.

i just wanted some piece of mind i guess to know that the jeweler didn''t misrepresent it as something better. I''ll get over it I''m sure, I just feel bad about the whole situation. If we ever do upgrade we''ve decided it will be something we do together to make sure it''s perfect, though I have my doubts that we''ll ever actually go through with it. part of me kinda feels like it defeats the purpose of an engagement ring at all, but part of me feels like for such an important piece of jewelry we should be completely satisfied with it.

I understand. Maybe in time you could reset this diamond into a pendant to keep it close to your heart, that is what some do who upgrade. I do understand about what you are saying being in 2 minds about upgrading, I can tell you from my point of view that I have upgraded many times but my original tiny engagement ring is priceless as is yours. So maybe keeping this one and resetting to a pendant or keeping it as a ring might work and in time buy an additional diamond as the upgrade if finances permit.

 

[Richard Sherwood]

Hi Tiffany. EGL-USA seems to be a little softer in their grading than the GIA. Not usually dramatically so, but enough that dealers take it into consideration when they''re purchasing an EGL-USA diamond.

Consequently, these stones trade for a greater discount on the open market than GIA stones, and that savings is usually passed along to the end consumer.

So no matter what the USGS appraisal says, your fiance'' probably paid a fair price for the diamond, and the higher price on the appraisal is no cause for concern.

 

[oldminer]

If the appraisal value from USGS is way above what was paid, you will pay way above what needs to be paid for an insurance premium. This is the major problem with "feel good" appraisal values. It costs you more money for insurance yet does not protect you better than a report using competitive market prices. Even if somewhwere on this large planet a very high priced retailer finds an equally high priced, willing to buy, customer, using such a far edge of the bell curve for the value on a report is a distant stretch of what is ethical. Some retailers have built their business model on comparing their selling price to ridiculous appraisal values provided by large appraisal firms who just don''t care. It is highly profitable. Maybe this USGS report is not quite at this highest limit, but it definitely could be higher than you need it to be for insurance. Insuring something for similar to what was paid for it recently is generally not so afar off the correct path. A little cushion is perfectly acceptable as we do not see most prices going down, but rather going up into the months and years ahead.

Insurance companies who make replacements for loss, use vendors who sell to them at realistic and competitive prices, not at inflated prices. You need enough insurance to get a replacement. No one will hand you a check for the difference, so minimizing the annual cost for insurance coverage is just smart.

 

[tiffany09]

Thanks again to everyone, I really appreciate the input. Hopefully someday finances will permit me to get that dream diamond and keep the old one as well, since I would really hate to part with it entirely.

Just to clarify on the insurance, it is insured for the appraisal value of the diamond in it''s setting (white gold w/ 5 channel set stones on each side), but the premium is not much at all each year (less than $200), so that''s not really an issue. I did check to make sure I can use a jeweler of my choice also, so thats fine with me.