ebay fraud - How to Prevent Fraud on EBay - 4 Signs to Watch For
by Chris Malta
- 1. "Phishing" Expeditions
- If someone claims to be selling you wholesale items, but doesn't require your Tax ID number, they're not legitimate.
- If you see a drop ship site with name brand logos plastered everywhere, they're very likely NOT an authorized dealer — accounts with large brand companies are extremely difficult to establish, and their logos are copyrighted material.
- If you're using a new supplier, start out with a very small order to test their service and examine their products. If you find they're fakes, you've learned your lesson at a minimal cost.
"Phishers" send out mass emails, posing as eBay (or any company) and asking the recipient to confirm their password, which they use to hijack their account. Instructs McGrath, "Any email that's really from eBay will be on your My eBay page under your My Messages, NOT in your inbox."
Always log into eBay — or any password protected site — by going to the site from your favorites bar, or by typing in the URL yourself. Never log in on a page you opened through an email link. No matter how authentic the page looks, there's a good chance you've been redirected to a phony site.
2. Unauthorized Suppliers
You need to verify your suppliers — not everyone that claims to be selling wholesale products is legitimate.
3. Counterfeit Cashiers Checks and Money Orders
Be particularly careful with international buyers who need you to send an expensive item to an "agent," along with an exorbitant fee. Before you send out a buyer's item, or forward any "agent's fees" from their check, take that check to your bank.
Have them call the issuing bank and verify the check is good. If it's not, you've saved yourself a lot of money. And if they tell you it's good and turn out to be wrong, you won't be the one taking the loss.
4. Sites or Auctions that Don't Accept PayPal or Credit Cards
PayPal performs very thorough background checks and is committed to going after perpetrators of fraud, and credit cards let you file charge backs. If a supplier insists on being paid with a cashiers check or money order, that may be an indicator that you should look for alternative product sources.