FWIW, the most common grade of ferrite is chemically manganese zinc ferrate(III). So it's oxides, not steel; and contains metals other than iron. In small amounts, mixed with whatever's needed to balance the oxides, it probably won't matter in a steel melt (the zinc will evaporate and the manganese, as long as it ends up reduced as well, will probably tend to improve the alloy). Or it melts into slag and no one minds.
It's probably more than a little disingenuous to call it "sub grade steel", but in the quantities that might be found in salvage, it's probably pretty neutral. So, just don't put heaps of the stuff in there.
Tim