Prevent from the e-auction fraud

Protecting against e-auction fraud

1. Verification
It is used to confirming the identity and evaluating the condition of an item. With verification, neutral third parties will evaluate and identify an item through a variety of means.

2 .Grading Service
E-auction site like e-bay will provide the grading service. Usually the grading service is done by the third party who is specialized in this field. By using this method, it can protect the buyers from the e-auction fraud. Some sellers will sell the fake antiques or maybe the bad quality antiques but the buyers will never know. So here comes the grading service. They will use the grading service on antiques, collectible stuff, and painting.

3. Feedback Forum
Buyers and sellers from the e-auction site will get benefit from this feedback forum. They can share their buying or selling experience in this forum. For example, when a buyer gets cheated by a seller, he can post his own experience in the feedback forum so that other buyers can beware of that seller. From the feedback forum, buyers can get to know who the trustful sellers are. It can reduce the possibility for e-auction fraud to happen.



4. Escrow Service
An escrow service is a licensed and regulated company that collects, holds, and sends a buyer's money to a seller according to instructions agreed on by both the buyer and seller. Typically, once the buyer receives and approves the item from the seller within an agreed time frame, the escrow service then sends the payment to the seller.



5. Nonpayment Punishment
E-bay has the nonpayment punishment. This is to protect the sellers against the buyers who didn’t pay for the products. For buyer who did not pay for the first time, they will send a warning mail to the certain buyer. Second warning will be given out if the buyer did not pay for the second time. Once the buyer did it again, his or her account will be suspended for 30 days. Lastly, termination of the account will be taken.