Auction tips
Here are some tips specifically for those of you participating in online auctions.
- First, make sure you understand exactly how the auction works. There are different types of auctions, and differences in how the various services work.
- Be aware that the auction service probably makes little or no attempt to verify the sincerity of seller's claims.
- Check out the seller as much as possible. If it is a company, try the Better Business Bureau; if it's an individual check into his or her feedback section on the auction site. Feedback sections that encourage previous customers to rate sellers (and buyers) are now incorporated into most online auction services.
- While feedback sections can be very helpful in establishing a good track record for a seller, you must still be careful. Positive reviews can be faked in some cases, and an empty feedback section is certainly no guarantee that there won't be problems.
- Be especially skeptical of claims about collectibles and insist on written appraisals and verifications where appropriate. One of the most common ways that people get ripped-off in online auctions is by believing fraudulent claims about authenticity, history or value of unseen items from unknown sellers.
- Pay by credit card if possible, cheque if necessary, and never by cash. If you have any problems make sure and let the auction service know, as well as take the time to describe your experience in the seller's feedback section.
A good idea for adding some peace of mind to doing business with strangers, especially when dealing with big ticket items, is to use an online escrow service.
Companies like I-Escrow provide this service, where the buyer sends his payment to the escrow company, then the escrow company tells the seller the payment is in hand and they may deliver the purchased item.
The buyer then has a short period of time to approve the purchase and authorise the escrow company to release the money to the seller, or to reject the item and return it to the seller. The escrow service waits until the buyer gives the OK to turn the money over to the seller, or until the seller says he has received the returned item, in which case the payment gets returned to the buyer.
