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“Item Never Received” Scam: eBay sellers beware

June 17th, 2006 · No Comments

Whether you are watching a news report from TV, listening news from a radio station or simply reading news either from periodicals or the Internet, news about the alleged growing fraud problems on eBay won’t escape you.

What is fraud, exactly? Fraud is quite an extensive subject, but the basic premise is that it’s a form of deception made for personal gain. Fraud is commonly defined as a crime or offense of knowingly deceiving another person in order to damage them — normally, to gain property or services from that person in an unfair manner. It can be committed through various methods, including mail, wire, phone, and the Internet. More recently, however, the Internet has been the most common avenue for such acts.

Like others, I also had my share of bad experiences on eBay. But that did not stop me from going back to do my transactions there. Keep in mind that eBay is simply a reflection of real-life society, where most users are generally of a good nature. Personal experiences with devious people are not that rare in the real world. The truth is that whether you are online or offline, there are horrible individuals out there who will not hesitate to use whatever means available to them just to take advantage of other people.

So what if you had a bad experience on eBay? It should not keep you from enjoying one of the most rewarding experiences on the Internet. Look at it this way: you learned a valuable life lesson, albeit the hard way. The best way to cope with it is to pick yourself up and move forward — just as you would in real life.

I have been conducting various transactions over the Internet for quite some time now, and after falling victim to an eBay scam I decided to take a closer look at the subject at hand. Just like anybody else I consider bad experiences as life’s way of teaching us valuable lessons of survival. So I took it upon myself to be aware of the different facets of eBay trading, both the good and the bad.

From what I have learned, fraud on eBay, although diminutive in comparison to the number of successful transactions that usually occur, it still exists. Thus, it still poses a threat to any eBay member. Now, if you think that since you’re just a seller you never have to worry about fraud – think again. There are a lot of scams aimed at eBay sellers that you need to watch out for. By knowing about these scams, you can prevent it from happening to you.

One of the most notorious scams on eBay is the “Item Never Received Scam”. This scam is usually targeted towards eBay sellers who take part in various auctions. This scam is typically made use of with low value or uninsured items. Why just low value items? Well, basically this is due to the fact that in accordance to eBay’s policies, high priced items are insured for safety.

How does the “Item Never Received Scam” work? This is actually very similar to the “Buy and Switch” Scam. Scammers are very aware of the fact that it is the seller’s responsibility to get the item safely to the buyer. Thus, if the item is damaged during the delivery or was not received, the seller will be held accountable.

So the seller is left with no choice but to send another item or to give a refund, in order to ensure that the buyer is satisfied and to avoid negative feedbacks. After all, feedback is the backbone of a seller’s success on eBay.

Fortunately, the scam is predictable enough that avoiding it has become easier by simply learning how the scammer carries out his plans. The scammer usually starts off with finding a certain item up for sale (typically low value items or uninsured items). Then the scammer bids on the item until he or she won the auction.

After the auction, the scammer then sends out the payment to the seller and in turn the seller sends out the item. The scammer receives the item, and then waits for a couple weeks before sending an email to the seller saying that the item did not reach him or her.

Of course, the seller does everything possible to locate the package. But since the scammer already has the item, the effort would all be in vain. Therefore, the only option left is for the seller to refund the scammer’s money instead of risking a negative feedback. After all, the item is not that valuable.

But then again, the seller is left without his or her item and not to mention without his money because of the refund. To top it all off, the scammer gets away with a free item!

So how do you prevent this from happening to you? There are several ways, but a good place to start is by reviewing eBay’s policies. Keep in mind that eBay set up several rules and guidelines in order to fashion a safe, fair and enjoyable trading environment for all of their members. As a seller, it is your responsibility to learn and understand eBay’s selling policies, along with all applicable laws and regulations that are included both in the User Agreement and in the Rules for Sellers. Furthermore, learning about eBay’s selling policies would also help you from accidentally breaking rules, which could terminate your listing. The selling policies of eBay are regularly updated, so it might be a good idea to check them out regularly.

Another way to avoid being victim to the “Item Never Received Scam” is by taking preventative measures such as studying the various tips of fighting fraud available on the Internet. The Internet Fraud Complaint Center offers a wealth of information on the subject. Their website includes various bits of information on how to avoid Internet Auction Fraud, Non-Delivery of Merchandise, Credit Card Fraud, and other fraudulent activities.

EBay is generally a safe and secure way to transact online trading. That is if you use it wisely and remain informed of how fraud occurs in order to avoid being victimized by it. It is also imperative to take active participation in fighting online fraud by always reporting suspicious activity. Remember that eBay itself is dedicated to ensuring that transactions take place without fraud, therefore you can be sure that they are indeed doing their very best to prevent illegal fraudulent activity.

As much as we want everyone to be honest and trustworthy, remember that the world we are living in is no way perfect – not even close. There are still those who will continue to try to take advantage of others, and unfortunately the Internet provides tremendous opportunity, so it is up to you to prevent it

Tags: Selling on eBay · Internet news · eBay

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