How to avoid second-hand sales scams

Second-hand shopping is highly rewarding but you do not want to find yourself victim of a scam. Let's review the classics so that you avoid them from miles away.

Be careful

Not everyone on the internet is your friend, some folks are only after your cash. There are many online sales scams and today we’ll look at some of the most common ones. Before we get into the murky world of online con games though, the simplest way to stay safe online, is to follow The Three Golden Rules:

• Do your research: most scams fall apart when you look closer.
• Never pay in advance: cash on delivery or let it go!
• If it sounds too good to be true… Run!

The most common routines:

• The courier scam

First, you’ll get a message on Messenger asking if whatever item you have is still available. This scam usually targets higher-price items like motorbikes and cars, etc. Next, the buyer will tell you they want it and ask you to hold it. Then, they’ll claim they’re too busy to pick it up and claim they’ll send a courier with cash. If you accept this, sometime later they’ll send something suggesting they’re worried you might be a scammer. Therefore, they’ll only agree to send the cash if you cover the 20€ insurance. So, let’s nip this one in the bud. There is no courier, there is no cash and there is no insurance (seriously, what courier does that?). If you’re mad enough to send them anything, good luck getting it back. There are a few riffs on this scam. Sometimes, they’ll claim they are sending someone to pick the item up. In this case, they may send you a fake PayPal message claiming cash has been added to your account, or just try claiming money back via PayPal as they never received anything from you. The moral of this scam is: beware of anyone who won’t agree to your terms.

• The petrol money scam

This one usually begins with a job lot of stuff offered on Facebook Marketplace. The image may catch the eye of a bored browser. Looking through the various pics there’s often a high-value item hidden amongst some random stuff. This might be an electric guitar, a game console, or anything worth a few hundred Euros. The scam here is simple, first they’ll ask you outright to pay in advance through Paypal Friends and Families because they are poor. Then, if you refuse (and you should) they’ll say they are so desperate they’ll offer to deliver it. If you agree, they’ll set a time and it’ll all sound great until a few hours before the agreed slot. As the time approaches, you’ll get a message claiming they don’t have enough cash for petrol and asking you to forward them 20€. Guess what happens next? That’s right, hours of calls to customer service and 20€ you’ll never see again. The moral of this scam is never pay anything upfront and NEVER pay through friends and families. (There is a way around this, and we’ll discuss it at the end.

• The withdrawal limit scam

Here’s one for anyone selling an item for about £400. The scam begins with the obligatory “is it still available?” message. Honestly, so many of these scams only work en masse and it’s likely they just click the button on every listing on Facebook. If that’s true, you can improve your chances of not being scammed but not replying to that generic question. Anyway, back to the scam. This time, after the deal’s arranged, you’ll get a message seemingly from PayPal with an odd caveat. It will read something along the lines of, ‘400€ has been credited to your account, however, due to a security threat, you can’t withdraw it until your account reaches 500€’. As soon as you mention this to the buyer, they’ll assure you it’s a normal security thing. The buyer will tell you that you need to add another 100€ to your account and it will all be fine. In fact, they’ll even offer to help. They’ll warn you that PayPal is wise to people adding to their own funds. However, if you send them 100€, they’ll add it to your account for you, so you can reach the limit. The moral of this scam is simple. Check your PayPal account and not your email. When you do, you’ll find the original message wasn’t from PayPal. It’ll be a photoshopped jpeg sent via a dodgy email account. If you’re crazy enough to send them 100€ in hopes of reaching this supposed limit, you’ll never see your money again.

• The deposit scam

This scam is obvious. It starts with something that should raise red flags on anyone’s browser and it’s one of The Golden Rules. That’s right, a price that’s ‘too good to be true’. Remember, if you ever see something too cheap, there’s always a reason and it’s never a good one. Sure, we’ll tell ourselves it’s because the seller doesn’t know what they have, or they’re super busy and need a quick sale. So, if something looks like the deal of the century trust us, it’s just this week’s con. In the deposit scam, the story may be a little different and the seller might admit they know the price is amazing. In fact, this is the core driver of the scam. Whatever it is they are selling, and it will be a high-ticket price item, they’ll tell you they’ve been inundated with others to buy it. Then they’ll ask you to pay a holding deposit to make sure you get it and there’s the scam. There is no item with a too-good-to-be-true price and there’s no deposit. The moral here is don’t be greedy. Be sure to leverage Riloop to determine an accurate estimate of the current value of any second-hand item throughout all online marketplaces. This helps differentiate a possible bargain from a potential scam.

Keep it secret, keep it safe

So, now that you know some of the popular scams, how do you protect yourself online? Well, it’s easy, just follow these simple steps. Look at their profiles. Most scammers will either use a hacked account, or they’ll have a paper-thin fake profile. If it’s the former, look for big changes in their posting habits. Did they used to post a lot before suddenly stopping and locking all their comments? If in doubt, search their name to see if another identical profile exists. Most people give up and start again rather than trying to get back into hacked accounts. You can even try messaging the other account or some of their friends, who’ll likely be very happy to let you know their friend’s account was hacked. Also, look at their seller profile too. Have they mysteriously changed location or seemingly moved around a lot? If a person had a good seller rating before a hacker gets into their account, the hacker can do a lot of damage before raising any red flags. If it’s the latter and they’re using a fake account, they won’t have many friends, their pictures will look generic, and their profiles won’t have much in the way of interaction.

Get Googling

Another trick, for Android or Google users is using Google Lens to find the source of any images the scammer has used. If your search returns links to random pics on the web, you know you’re on to them.

PayPal Friends and Families

This service underpins a lot of the scams out there as it’s hard to get any come back if the deal goes wrong. There aren’t many legitimate reasons for anyone insisting on using PayPal F&F as it’s colloquially known. Some self-employed people may ask to use it for bigger sales as otherwise they’ll have to account for it in their taxes. Also, some people don’t like the idea of a big corporation charging fees for basically car boot sales. Besides those, there’s no real reason not to opt to pay via PayPal Goods and Services. If you do have to go down this road then there is one last ace you can play. So, if you’re feeling particularly trusting and don’t want to line PayPal’s one-way pockets, then there is an answer. The secret to securing your cash is choosing how to finance your purchase. During all transactions, you’ll be presented with a choice. At this stage, three little buttons will pop up. These are PayPal balance, PayPal credit, or a bank account linked to your account. If you choose your bank account as the source of your funds, then your bank may cover you regardless of PayPal’s terms. Thus, it’s worth it to call your bank and confirm their policy in that regard.

In conclusion

They say forewarned is forearmed and now that you’re packing you can get out there and enjoy the fun of online marketplaces. At Riloop, we understand the importance of staying safe online. This is why we always try to keep ahead of the scammers by uncovering their routines and letting the world know. Truth is, scams aren’t a big deal once people understand how they work, so please help us spread this information by sharing it on your social media channels. Sure, the con artists will try to come up with new ways to part us from our cash, but then we’ll expose them too. Thanks for listening!