There are all types of scams being perpetrated on online buying and selling platforms like Facebook Marketplace. While Facebook Marketplace and similar platforms are a convenient place to sell items that you no longer need or want, they can also be a convenient place for scammers to find victims.
One of the most successful ways that scammers have used to steal large sums of money from people is through conducting what’s known as an over-payment scam. The con is actually pretty simple, but it can and often does result in a significant amount of money being lost by the victim.
How the Overpayment Scam Works
Let’s say you list a couch for sale on Facebook Marketplace and price it at $500. You wait patiently for the messages of interest to come in, feeling excited that you might actually be able to offload it to someone and get $500 to go towards your family vacation to the Caribbean. Then, just like magic, you get a message from an interested buyer who wants to transfer you the money for the full purchase amount. You are so excited and ready to go shopping for everything you’ll need to look great on the beach. You agree to the deal, and the scammer sends you a phony screenshot showing that the transaction was successfully made.
However instead of sending you the $500 as agreed to, the scammer sent over $5,000 and lets you know that they accidentally added an extra ‘0’ and politely asks if you could refund the $4,500 difference using PayPal, Venmo, or a similar app. Not realizing that you are about to be scammed, and being an honest individual, you agree to deposit the money. No harm done. Time to start planning your vacation. Until you realize that the person who bought your couch never showed up to pick up your couch. Being the curious person that you are, you check your bank account balance and notice something is off. It appears that the $5,000 deposit never made it into your bank account because the buyer disputed the charge and filed a chargeback for the total amount. Your account is only showing the $4,500 you sent to the supposed buyer, who by now is unreachable, untraceable, and now getting ready for their own vacation paid for with your $4,500.
How to Protect Yourself From Online Marketplace Scams
- Never send money back without verifying the transaction details if someone has claimed to have overpaid.
- Check the buyer’s profile and see if you notice any red flags.
- Offer to only meet in person in a public place or with friends or family and accept only cash. If the buyer is trying to work an overpayment scam on you, it won’t work.
- Use Secure Payment Methods: Avoid wire transfers or paying through untraceable methods like gift cards. Opt for secure traceable payment methods which offer buyer protection.
- Trust Your Instincts: If something feels off, it’s okay to walk away. Trust your gut and never rush into a deal.
- Report Suspicious Activity: If you encounter a suspicious listing or individual, report it to Facebook Marketplace immediately to help protect others from scams.
To learn more about scams associated with Facebook and how to avoid them, visit the Facebook help center.
