Things to take note to prevent e-auction fraud when a consumer participating in an e-auction

Internet auction fraud is a growing epidemic worldwide, as online shopping has grown significantly every year that online shopping has been available. 51,000 cases of internet fraud cases were reported in 2002. In 2006, that number ballooned to 97,000. The numbers are staggering, but everyone can lower their risk by knowing what auction fraud is, how to detect it, and how to prevent falling for it.

However, e-auctions have several limitations such as limited aprticipation,lack of security, fraud or limited software solutions that can support the dynamis commerce. These may because of the buyers cannot see the items, so they may get a defective product. Most internet auction fraud cases involve straightforward scams where consumers allegedly win merchandise by being the highest bidder. All sounds good until they send the payment and never receive the merchandise.

Below are some tips take note to prevent e-auciton fraud when a consumer participating in an e-auction:

i) Become familiar with the auction website. Look into the websites protection policies. Never assume you are protected from auction fraud.

ii) Before placing a bid, learn as much as you can about the seller. If you can't find anything out about the seller, than avoid doing business with them. Never fall for promises of better deals by moving away from the original auction website.

iii) If the seller wants you to use an escrow service you've never heard of, look into it. Check out the website. Call up customer support. Contact them to digg up data on the business in question. If you can't confirm the legitimacy, don't use it.

iv) Never ever give out your social security number, drivers license number, credit card number, or bank account information until you have thoroughly checked out the seller and the escrow service.

v) Always save 100% of the transaction information. You'll be glad you did in the event your case makes it to court.

vi) If after the sale you feel the item/payment should have been delivered already, try to work it out with the seller/buyer. If at that point you feel that fraud is involved, immediately contact your state attorney general's office.