Considering selling something online? Here are 7 things to lookout for
With the current rate of inflation hovering right around 7.75 percent consumers are having to deal with rising prices for nearly everything they need to buy.
Add to that Christmas and the need to put gifts under the tree, many people are finding that the money just isn’t there and look for ways to bring in extra dollars.
Online selling is one avenue often chosen. However, as the editors of the Scambusters newsletter point out, “Unfortunately, there are hundreds or even thousands of scammers actively scouring "for sale" ads online, trying to get their hands on your money, your stuff, or your personal identity information.”
After you’ve scoured your attic, basement, and garage for things you no longer need but may be of value to someone else you do have options. eBay, Craigslist, Facebook, local neighborhood sites like Nextdoor offer possibilities.
But, with the potential for being ripped off how do you use these sites safely? In its current newsletter Scambusters lists seven different schemes con artists are using to get into their target’s wallets.
Nonpayment
If you mail your item before receiving payment or if you believe an email that says you've been paid - for example, from PayPal - you're asking for trouble. Crooks may say they need the item immediately and urge you to mail it straightaway. Their check may be a dud. Or they fake an email from the supposed payment source - such as payment apps Venmo or Zelle - when they haven't paid at all.
Overpayment
Sometimes known as an advance fee scam, the crook sends a fake check or email as outlined above. They tell the seller they sent too much and ask for part of it to be wired back. Or they say they changed their mind or that the item was not what they expected and ask for the full amount to be refunded. They aim to get your money before you discover the check is a dud or your payment service never actually received the money.
Fake verification request
Your "buyer" says they're worried about being scammed and that they'll send a verification code for you to read back to them to prove you're legit. But the code doesn't really come from them. Pretending to be you, they may have asked your bank or cellular provider to send it. When you give it to them, they may be able to access your account.
Google Voice scam
A variation of the above. This time, the code comes from Google. Once you give it to the scammer, they have both your phone number and the code, which enables them to set up a Google Voice account using your phone number.
Requesting your bank details
This is the simplest of all identity theft tricks. The "buyer" asks for your bank account details so they can supposedly transfer the money directly. Pairing it with other stolen ID information, they can access your bank account and drain it.
Using stolen credit cards and accounts
Scammers pay with stolen bank account or credit card details bought online and have you mail your item to an address where they can pick it up or have it forwarded, usually to an overseas address. It can be tough to get compensation.
Bogus escrow
Escrow services are independent third parties or "middlemen" who hold payments until a deal closes. Crooks set up fake escrow companies and tell the seller they've lodged the money with them, which will be released on receipt of the item. You mail the item but simply never receive your money.
There are ways to protect yourself. Scambusters suggests the following:
Don't accept checks, even cashier's checks or money orders as payments. They're easily faked, and it may take weeks before your bank identifies it as such.
If you accept mobile payments, check your account online to ensure the money is actually there. Don't accept a confirmatory email as evidence it arrived. And make sure you fully understand how to use a payment app.
Don't accept overpayment of any sort.
If you're using an escrow service, either don't use one suggested by your buyer or, if you do, check out the service's reputation online.
Verify the mailing address using an online search
Sell locally if you can so you can meet the buyer (in a safe public place, such as outside a police station) and ask for cash. Also ask for a valid form of identification.
Don't give your account details or other confidential information to someone you don't know. And don't give your password to anyone. Legitimate organizations never ask for this.
Dennis Horton is director of the Rockford Regional Office of the Better Business Bureau, which serves Winnebago, Boone and Stephenson counties among others in northern Illinois.
This article originally appeared on Rockford Register Star: Considering selling something online? Here are 7 things to lookout for
