Whether you're looking for a collectible or thinking about selling an antique, an Internet auction may be just the place for you.
Since they began in 1995, Internet auctions have become perhaps the hottest phenomenon on the Web. They offer buyers a "virtual" flea market from which to choose an endless array of merchandise from around the world, and they provide sellers a worldwide storefront from which to market their goods.
But online auctions can be risky business, according to the Federal Trade Commission (FTC), a federal agency that works to prevent fraud, deception and unfair practices in the marketplace. Among the thousands of consumer fraud complaints the FTC receives yearly, those dealing with online auction fraud consistently rank at or near the top of the list. The complaints generally deal with late shipments, no shipments, or shipments of products that aren't the same quality as advertised; bogus online payment or escrow services; and fraudulent dealers who lure bidders from legitimate auction sites with seemingly better deals. Most complaints involve sellers, but in some cases, the buyers are the focus.
Whether you're a buyer or a seller, understanding how Internet auctions work can help you avoid these problems.
Auction Rules
Payment Options
Types of Fraud
Tips for Buyers
Tips for Sellers
Where to Turn for Help
If you have problems during a transaction, try to work them out directly with the
seller, buyer or site operator. If that doesn't work, file a complaint with:
the attorney general's office in your state.
your county or state consumer protection agency. Check the blue pages of the phone book under county and state government.
the Better Business Bureau.
the FTC. File a complaint online at www.ftc.gov or call toll-free 1-877-FTC-HELP (1-877-382-4357).
