Nowadays, it’s popular for individuals to sell items online as alternatives to donating goods or hosting yard sales. The appeal is there because sellers can reach a large swath of buyers, make some money, and get rid of items quickly. Unfortunately, the action of selling things online might not always go smoothly as in the real-life case of a news reporter.
Online Sales Platforms
Looking to make some quick cash by selling unwanted items online? Sellers beware! There is a recent scam on the rise that involves sales platforms such as Facebook Marketplace that permit buyers and sellers to conduct business. Though Facebook has implemented measures to try to prevent and address scams on its Marketplace platform, the reality is that sales scams can still occur.
Recently, NBC10Philadelphia highlighted the story of a news anchor attempting to sell a coffee table on the popular sales platform. Let’s learn what threw the $25 transaction into a tizzy.
The Coffee Table Saga
News anchor and investigative consumer reporter Tracy Davidson is trying to sell a coffee table on Facebook Marketplace. She gets a message saying that a woman, Lisa, wants to buy it. They go back and forth with the usual conversation. The interested buyer says that she is out of town and asks if her son could pick it up at 7 pm today. The buyer then asks if she may use Venmo or Zelle to make the purchase. The seller agrees and gives out her Venmo address. All seems normal so far, but there’s more.
Red Flags Begin to Appear
The buyer requests that the seller “Kindly mark it {the item} sold while I make the now payment.” The words “now payment” seemed off. Next, the buyer follows up with this message: “Kindly check your Venmo or your email inbox or your spam folder for payment confirmation.” “Hmmm,” the seller thinks, “I don’t really need to do that because I can see in my account there’s no payment yet.” Red flags are now going off in the seller’s head.
It Continues…
Then, another weird message appears from the buyer that reads, “I got an email from Venmo saying your account isn’t a business account and I wanna be sure of what I got if you got the same email as well? Kindly check your email…” The seller is now suspecting something is up since she doesn’t have a business account and why would Venmo send that type of email?
Recognition of a Scam
Buyer Lisa continues to message the seller with the following, “Please be sincere do you got an email concerning the payment on hold? I’m sure you got the same email as Well.” The seller notices poor grammar, a standard “red flag” of a scam. The seller is instructed by the buyer to check her spam folder. The seller did and found an email made to look like it came from Venmo. However, upon further inspection, the seller realizes the source is not Venmo but is instead coming from a Gmail account. (Another tip that it’s a scam.)
The scam letter read:
We have a problem while crediting your account with the $25.00 USD because the status of your account is not a business user which makes your account have limits. To fully expand your account into a business account and deposit your funds now, contact the buyer to send you an additional payment of $500.00 USD into your account to expand your account limit. Soon as this is done, we will credit your account with the total sum of $525.00 USD. An alert has been sent to the buyer in regards to the $500.00 USD additional payment he/she has to send to you, we will secure this transaction with high priority.
The seller sees that the notice is dated the day before (another sign it’s not authentic) and she immediately calls out the scam. Suddenly, and not surprisingly, buyer Lisa’s social media profile disappears.
Davidson warns, had she fallen for the scam, here’s how it would have played out:
- The scammer (buyer Lisa) would send a screenshot to the seller (Davidson) showing payment of the $525.00.
- The seller (Davidson) would get a fake email saying the money is on the way and asking for reimbursement for the $500.
- Meanwhile, no money is really being sent to the seller. If Davidson would have made the reimbursement, she would have been out the $500.00.
Facebook warns people about the prevalence of spam, scams, and phishing. They note that:
- Marketplace scams can happen to both buyers and sellers. Since scams come in different forms, people should be aware of the latest scams.
- Avoid communicating privately outside of Facebook and Messenger. If you are told to reroute the conversation, it’s likely a scam. Also, avoid requests to contact other individuals (relatives of the seller, for example) as they are not the owner of that Facebook account.
- Pressure tactics can be an attempt to get around normal safe practices. Beware of people who push you to move quickly to complete a sale.
- Use only trusted payment services to complete a sale. Watch out for messages or emails from the seller telling you that there is a problem with your payment. This is a red flag of a scam.
- Be careful with fake emails that appear to be from payment apps like Venmo or Zelle asking you to take some type of action before you can accept payment. This is a red flag of a scam. Random emails that tell you to upgrade your account or pay a fee are likely scams.
- Buyers beware as some listings may be scams. Never pay for items in advance. Avoid sellers who request payment upfront before providing the item. Ask to see valuable items in person before sending payment.
Tell-tale Signs of Sales-related Scams:
- Buyers sending screenshots of payments – requesting that you send them the items(s) because they’ve already paid. Note that sellers should not trust screenshots as confirmation of payment.
- Buyers claiming they’ve accidentally overpaid you and request a refund for the overpayment.
- Buyers offering to pay more than the asking price (perhaps saying the overpayment is for third-party movers to deliver the items).
- Buyers requesting refunds without paying. Always privately check your account to confirm payment.
- Buyers who try to confuse sellers with complicated requests such as asking them to pay with gift cards. Never pay with gift cards.
- Verification codes sent to the phone (for example a two-factor authentication code such as Google Voice Code). Scammers will ask for this code to “verify identity.” Never share verification codes.
- Sales offers that appear too good to be true. This typically indicates a scam.
Protect Your Private Info
As always, guard your personal data and watch out for scams asking for account information such as your email address, account numbers, or passwords.
A Few More Tips to Avoid Sales Scams:
- Check buyer and seller ratings. While not foolproof, it can help you gauge who is trustworthy.
- Immediately report suspicious activity to Facebook so their investigative team can act. Remember that promptly reporting scams helps prevent others from being scammed.
- Understand whether purchase protection is offered. This can be beneficial as it allows buyers to request refunds should problems occur.
- When buying/selling items, conduct transactions in well-lit public areas (or at police stations if they offer this service) and never go alone.
Maintaining Awareness of Sales-related and Other Scams
Awareness of the latest tricks out there is beneficial for scam avoidance. Whether you’re buying or selling something on Facebook Marketplace or another venue, or you are simply pursuing emails or messages, use caution and common sense. Go with your gut and do not engage with suspicious parties. If you begin to conduct business but sense that something is off, or you recognize red flags, report them and end contact immediately. Know that it is better to be safe than sorry as it is often challenging to recover funds or identities lost to scammers.
Disclosure: This article is purely informational and is not intended as a substitute for professional advice.
