Auction fraud

Online auction fraud

Today we talk about the auctions, as they are very popular at the present time. But in order to tell you about them, you need to know what it is.

Auction is the functional market, which appoints the time and place of the goods or services and conducts a public auction.

Mostly, it can be a large company that sells a specific product. Scheme of the action is very simple, they are purchasing products of other companies, as well as unknown manufacturers on the purchase price and then sale by getting the difference.

Very often there is auction fraud, they operate in the same way, but the quality of the goods does not correspond to reality.

If we take to the attention the real auction, it also can be brokerage firms that resell goods on commission and receive a fee for it from sellers. The main rule of any auction, buyers and sellers can not participate in them.

But as auction fraud is thriving, it happens that the organizers participate under the guise of independent buyers.

You should know that only one person can not participate in the auction, because it will be a fake auction.

Generally, this type of activity can suit anyone, most important thing is that there is something to sell. If we take the example of Western countries, many people organize the auction of unnecessary things, so they get rid of old things and get a lot of money.

Let’s look at the rules of the auction, in which circuits they are held so as not to get on auction fraud.

Online auction fraud

  1. Each product submitted to the auction is declared, and its original price.
  2. If the customer is satisfied with the price, it raises a number plate, and thus confirms the acceptance of purchase.
  3. Further, the auctioneer confirms the proposed rate and begins to wait who will give more.
  4. If no one has suggested that cost more than the first party, he counts until the three, and goods are sold.
  5. If someone gave more, bids are ongoing.

Also in our time online auctions become very popular. They provide more opportunities, because you can buy products at low cost to all over the world. The scheme, based on the trust of buyers and sellers, as cash transactions are carried out. That is why in this area often thrives fraud.

Online auction fraud

As we said above, that the auction is now filled with scams, how to single out the swindler? Basically, if the deal is very good and everything is in your favor, then probably it is a fraud. Very often, the seller-speculator puts an attractive product at a very low cost, but with contact information leaves the e-mail address. People like the price, and they communicate by email with grief-seller, and then become the victims of fraud.

Hackers say that the buyer should send a small sum, and the remainder after the commodity. Thus, he entices the money, and then you get nothing.

There are also more sophisticated online auction frauds. For example, bank checks. Basically checks are written out on large sums of money, and the sum is greater than the value of the goods. When you are trying to cash a check, the bank tells you that it is not valid. There are tens of possible examples, few people have time for all kinds of scams. That is why let’s look at the recommendations that give the owners and organizers of auctions in order to not get on fraudster participating in it.

  1. Do not use the services of intermediary’s services, which are unknown to you.
  2. According to statistics in Africa and Romania, there are most auction scams, so do not make deals with them.
  3. Use a well-known online auction, which, for example, use your friends and acquaintances.
  4. Do not give your credit card details to merchants on the Internet.
  5. Use payment systems for payment, not credit cards.
  6. Do not accept checks, if they specified the sum, which is greater than the actual value of the goods, it is immediately possible to regard as a fraud.
  7. Provide feedback on the seller after the completion of the transaction, rather than during the process.
  8. Look at the reviews, which leave others and make conclusions.
  9. Find out what guarantees gives the auction site to their customers, as well as whether there is insurance that will cover the expense.
  10. The price for the goods should not be the main reason for the purchase, carefully read all the information and footnotes under the item.
  11. Find out the payment methods.
  12. Do not give passport data to the seller.
  13. Well done site, should not be a valid reason to participate in the auction.

Remember that online auction fraud is used for different purposes. The main objective of the swindler, is, of course, to lure from you as much money as possible. But it also happens that this method works to obtain your confidential information. Since taking part in the auction, be careful, and then the purchase will bring you pleasure.

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