eBay Fraud – eBay Rip Off

In one of my previous articles I have explained how scammers open a fake paypal Account. eBay accounts can be exploited just the way paypal accounts are. Usually what you need is just some technical computer know-how, and a virtual credit card and you’re ready to open up a fake ebay ID, with the purpose of scamming a few people before you get caught. If the process is repeated, you can imagine that the sums of stolen cash just keep on increasing day after day. Once read about fake paypal accounts you will understand how easily is to do just the same on other websites where similar authentication of user accounts is used.

Shill Biding

Shill bidding is artificially increasing the price of an item by any means may it be a second eBay account or a “friend” bidding on your item. These methods are used by both sellers to sell an item higher as well as buyers to get an item for a lower price. We will look at both examples.

A seller has set up an auction for his car. His starting price was 5000$, but four days after he logs in to eBay and notices the price got up only to 5430$ and only 2 days are left to auction end. He gets scared because he was hoping to get 8000$ for the car. He creates another eBay account or calls his friend to bid on the item to raise the price. This is unfair to other buyers and also prohibited by eBay.

A buyer, we can safely call this buyer a scammer, looks for a new computer. Soon he finds what he is looking for. A brand new Toshiba laptop starting at 1$ while the retail price is 1500$. Naturally he wants the item to sell as low as possible, so to secure this price he uses a sneaky method. On this current account he places a bid of 400$, he then logs off eBay, signs in with another account and places a bid of 1600$. As you see he placed a bid higher than the price of the new item. This is done for a reason. When normal ebayers see this, they will not bid on the item since it is overpriced already. Minutes or seconds, before the auction end he will retrace the 1600$ bid which will automatically make his second account where he placed 400$ the winner. He was second in line and if the highest bidder retraces a bid, eBay system chooses the next in line as the current highest bidder. If you’re a seller and don’t want this to happen to you, use a buy it now price, or a starting price which you think is fair and acceptable for you.

Fake Auctions

To setup fake auctions thieves need multiple eBay accounts, because eBay is catching scammers and looking 24/7 for bogus auctions. There are two ways to obtain multiple eBay seller accounts:

a) Opening multiple accounts under a false ID
b) Phishing
c) Gaining Access to the Database (extremely rare)

Image Example of a False Auction

These scam auctions usually have these following points in common. Feedback of the seller doesn’t matter here, because these accounts were hijacked and are used by a different person, Scammers. Many times auctions are posted in a totally unrelated category, such as seen on the picture example above. The Auctions goes for a Travel Trailer and the category of the selling item is Music Cassettes! This is done by the scammers to lower the rate of being caught. Another thing by which you could recognize this auction as a scam is that the “seller” tries every possible way to contact him outside of eBay. One thing that can’t be seen in this example here is, the real auction description was clickable and directed you to a site out of eBay. Seller said to contact him through email to either negotiate a buy it now price or other questions. That is because he knows eBay is on his track and sooner or later his fraudulent auction will be put down, so he wants as soon as possible other means of contact for his targets, in this case email. A trick to fool you can also be a “Buy It Now” button or link inside the description. If you are about to click this link you will be forwarded to an eBay clone (an exact clone of eBay, of course a fake one, set up by the thief) where you can be scammed more easily, because the dupe eBay site is in direct control of the con artist. These thieves are in a hurry to scam you so they will often repeat sentences like “I ship fast” or “contact me fast, before it is too late”. The grammar also will be of very bad nature and contain more spelling mistakes than you can count on your fingers. Sometimes, duplicate auctions will be setup by scammer. This means that one is legit, from a real seller but the other one is a dupe from a scammer, a copy-paste. More then often these will be from China at ridiculous low prices and descriptions will contain more talk about their culture, how great their country is than from the selling item itself. Funny but True!

Fake auctions, sometimes, are placed by usually honest ebayers who are pulling a prank or trying out and idea on their minds. A great example happened about a year ago when xbox360 came out and there was a huge demand for it, they were selling like break. So in all this chaos, someone had the idea of selling an xbox BOX. Yes just a box, he clearly did write he is selling a box from xbox 360. In the description he added all the necessary information for xbox 360, but in the bottom of the post he mentioned he does not sell an actual xbox 360, but a regular cardboard box written xbox 360 on it. I had a pretty good laugh at it, since it was the lone fault of the buyer not reading the description in whole. Although the auction was deceptive, it is the buyers responsibility to read the whole page and inform himself properly before making a buy decision.

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Kay Lewellyn
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Kay Lewellyn

I find eBay is ethically and morally bankrupt when it comes to protecting the consumers of their sites. They allow sellers to rip off consumers, posting of fakes, and the eBay cunster services representatives constantly lie to consumers over the phone and blame the consumers for the illegal actions and activities occuring on their own site.

Jon
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Jon

I would think that around 10% is stolen, 50% is counterfeit and 35% sub standard or graded. You are much better off buying from a high street store. Even Amazon now has tbayers selling on its site.

faust
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faust

I just been a victim of a scum as a buyer on Ebay. I am upset, and shocked, now I lots all confidence with Ebay and Paypal. I purchased a laptop for 180pounds, the seller stated that was only 4 month old and in top working order. After the seller cashed my money, I asked her about the delivery, and she stated that I will receive on Tuesday. Tuesday came and went . I then emailed her, and she now said that the laptop has some problem and is not 4 month old but 1 year old. .And also she… Read more »

Kaye
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Kaye

Let me tell you about a bad eBay seller: My daughter placed an order for the daily deal on eBay from Supergooddeals on 3/4/11 and I ordered on 3/15/11. They sent us an email that stated our packages got ran over by a truck and left tire treads on it but they would send out another item. Then they sent us both emails that said if you can’t leave at least 3 stars and positive feedback then don’t bother leaving them feedback at all. Because this will hurt their business and this is how she supports her 2 yr old… Read more »

Joe Bleau
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Joe Bleau

If you have any faith at all in eBay’s phony feedback ratings you must believe in the tooth fairy. Just look at the number of 100% ratings given to so many vendors. It is simply impossible for any vendor to please every single one of thousands of customers. eBay makes it impossible to post negative ratings. I stopped using eBay several years ago as it is simply a scam.

Michael Smoker
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Michael Smoker

eBay and Paypal (which is a division of eBay) are ripoffs in themselves. On a sale of $65 or so they charge the seller combined fees of more than $10. That is ridiculous, and if there were some competition to eBay and RipoffPal, then they would have motivation not to mistreat their customers so badly. I am seriously considering cancelling my eBay account because the ripoff level there is disgusting.

sammy
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sammy

please be aware of a mobile seller by the name superluxuryphoneshop2010 from hong kong. i paid for a phone. got it 4 week later, its faulty. i contacted them they promised to refund once they had it back. i posted it that day, got proof of posting and guess what 11week later still no money! i contacted ebay in the begginning they said you have to give at least 6 week for delivery. i then go to raise a complaint, and low and behold i cant because its gone over 45 days!! he is now refusing to answer my emails.… Read more »

john
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john

I was ripped off by e-bay themselves. As a seller I sold for 10 years with perfect feedback. I sold a rare perfect shape synthesizer to a guy. He immediataly tried to re-sell again e-bays own policy. then saw pictures he put up and for some dumb reason took the thing apart. After a week and his ad saying how perfect it was and it was. He filed a BOGUS CLAIM NOT AS DESCRIBED. E-BAY never researched anything or talked to me and gave him his money back. The guy now has the synth and 600.00 and i was sent… Read more »

Mrflashco
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With this so-called Buyer protection sellers don’t have a chance.I have 12 ebay user ID’s and 7 paypal accounts and onlythrough frustration and aggravation as a seller, I have learned numerous tactics from this evil entity. It is now possible for anyone to get anything free from any seller on ebay through the feedback system. Sellers are so afraid to lose their status’s using the DSR system that they will give you anything from LCD TV’s to diamond rings just to keep selling without restrictions or facing suspension. I will be happy to inform you further on this if you… Read more »

Scott in WV
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Scott in WV

So I sell an IBM T400 laptop screen on ebay that was pulled from a system that had a defective motherboard. It was bright and clear with no defects before it left my hands. Someone bought it and I shipped it to them. IMMEDIATELY after he receives it he files a dispute with both ebay and PayPal claiming the item didn’t work and that I was attempting to rip him off, he wanted a refund NOW, etc. etc. When I asked (with a please I might add) for photographic proof he became even MORE confrontational saying that it made no… Read more »