Online auction are a great way to buy almost anything. Like the world’s biggest and strangest shopping mall, there are people selling things that you didn’t even know existed.Types of e-auction frauds:-
Bid shielding is the practice of placing a low bid in an auction online and having a second person enter a bid that is high enough to get other bidders to drop out or not even bid. Then at the last second, the high bid is retracted and the low bid wins.
Misleading descriptions where sometimes descriptions include too much flowery language or omit important details.
Fake photos where almost every listing has a picture of the item with it. Dishonest sellers will put up a misleading photo or even a photo of a different item.
Prevention methods of e-auction frauds:-
- Some internet auctioneer such as Ebay does provide a voluntary program for the users to provide their information such as date of birth and driver’s license number for online verification purposes. Users are encouraged to subscribe for this program.
- The consumers can check up on the Feedback forum which is available in the auction website to find out the supplier’s trading reputation and the reliability of the auction website based on the comments given.
- The consumers should gain sufficient knowledge and education effort regarding online auction process and the fraud that might occurred.
- The seller should allow the buyer or the buyer’s representative to inspect the items before the auction starts and the buyers must take the initiative to check the items on the other hand.
- There is an insurance package program for certain auction transitions that can be taken up by the consumers. This insurance usually covers items price up to certain value.
2 comments:
Useful information as many people are going into e-auction these days.
Thx for the comment.
~have a nice day~
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