Online Auctions - Are They Credible Businesses?

Are these businesses scams?sellers who have not lived up to their end of the
While there is always the potential for an online formagreement.
of commerce to be a scam, the dangers that are- Look for clearly outlined fees and commissions. Most
inherent in these auction transactions are ever present.sites don't charge the bidders to participate outside of
Issues like privacy, security and a lack of direct contacttheir bid amounts; however, for sellers there is
with the seller / buyer are ever present and, when thefrequently a minimal fee for listing items. There could
transaction becomes an international one, the dangerseven be commissions to pay when an item sells.
increase significantly. The best way to find a reputable,Collect this information from different sites and
credible and viable auction platform is to evaluate eachcompare them to get a picture of the fees and rates
of the below listed areas carefully. The less thaninvolved.
reliable platforms will be weeded out fairly easily if you- The site should have some support services for
will just do your homeworkescrow monies and services; PayPal for example.
How do you test their credibility?These are important services that protect both the
Here are some things you might like to look for whenbidder and the seller. They act as an intermediary,
evaluating some of the online auction sites on theproviding a more secure method for the buyer to pay
internet:for the product. The buyer pays the escrow service, a
- Traffic volume and localitysmall service fee is deducted, it is held in escrow and
- The prominent posting of their privacy policy thatthen it is sent along to the seller to complete the
guarantees that the site will not sell any of your details,transaction after the buyer has received the goods in
will not spam you, and will provide a secure linkacceptable condition.
whenever you must enter credit card details.- There needs to be an international payment and
- The site should have clearly defined policies andshipping option as well. Online auction marketplaces are
procedures in case disputes occur.world-wide platforms. This can become a concern for
- The site should provide some sort of rating systemboth buyer and seller if one or the other prefers not to
for both buyers and sellers so that one can identifyparticipate in international sales.