Don't Get Scammed: Facebook Marketplace

Jake had been trying to sell his old iPhone for weeks with little success. When he posted it on Facebook Marketplace, he was excited to receive a message almost immediately from a buyer named Mark. Mark seemed eager, asking if the phone was still available and expressing his urgency. "I need a phone ASAP, and your price is perfect!" Mark’s enthusiasm reassured Jake, making him believe he had finally found a serious buyer.

Mark explained that he needed the phone shipped as he wasn't local, claiming it was for his son who lived out of state. Although Jake had originally planned to sell the phone in person, the offer was tempting. To sweeten the deal, Mark promised to send the payment via Venmo immediately and even offered an extra $20 to cover shipping costs. Soon after, Jake received a Venmo screenshot showing that the payment had been sent. Relieved, he rushed to the post office to send off the phone, confident the deal was done.

A few days later, Jake checked his Venmo account, but the payment wasn’t there. He went back through his messages and realized that the Venmo notification was just a screenshot, not a real payment. Panicked, Jake tried to contact Mark, but his messages went unanswered, and Mark's profile had disappeared. He had been scammed. Jake reported the incident to Facebook, but it was too late—the phone was gone, along with any chance of recovering his money.

Our family buys and sells a bunch through Facebook Marketplace. We are also very careful. Facebook Marketplace scams are growing, particularly as criminals exploit technology to fool unwary buyers and sellers out of their cash and property. Below, I highlight three common scams to watch out for and how to protect yourself from falling victim to these schemes.

1. Wire Transfer Scams

Wire transfer scams typically involve scammers posing as buyers or sellers who claim to be in another country. They often insist on quick payments through wire transfers, such as through services like Western Union or MoneyGram. The scammer may send a fake wire transfer confirmation to make it appear as though the payment has been sent, or they may request your bank details under the pretense of needing them to complete the transaction. Unfortunately, once the funds have been transferred, they are usually non-recoverable.

How to Spot the Scam:

• The buyer or seller is located in another country and insists on a quick wire transfer.
• You receive a suspicious or fake wire transfer confirmation email.
• The person requests personal bank information.

How to Avoid It: Avoid wire transfers altogether when buying or selling items on Facebook Marketplace. Opt for secure and traceable payment methods like Facebook Checkout or PayPal, which offer buyer and seller protection.

2. Venmo Payment Scams

In a Venmo payment scam, the scammer asks the buyer to pay for an item upfront via Venmo and never delivers the promised product. Alternatively, the scammer might provide fake tracking information or screenshots that make it appear as though the item was shipped. Since Venmo payments are treated like cash, they cannot be easily recovered once sent.

How to Spot the Scam:

• The seller insists on payment via Venmo before shipping the item.
• You receive fake or non-existent shipping information.
• The seller avoids meeting in person to verify the item.

How to Avoid It:

Never send payment for an item before inspecting it or receiving it. If you must pay digitally, pay through Facebook or use secure payment options like PayPal, which offer protections for buyers. If paying in person, exchange the item and payment simultaneously. Cash is still king!

3. Bait-and-Switch Scams

This scam involves a buyer paying for one item but receiving something entirely different. For example, you may purchase what appears to be a new cell phone, only to receive an empty box or a broken one because you missed a description that says “parts only.” This scam often occurs when buyers don't meet sellers in person and trust photos or descriptions that may be misleading.

How to Spot the Scam:

• The price of the item is unusually low, raising red flags.
• The seller refuses to meet in person for a product inspection.
• The item you receive is not what was described in the listing.

How to Avoid It: Always try to meet the seller in person to inspect the item before finalizing the transaction. If buying remotely, request clear, recent photos or videos of the item and ensure the seller is using a traceable shipping method.

Tips to Avoid Scams on Facebook Marketplace

Here are some key methods to protect yourself from falling victim to scams:

1. Investigate the Seller: Before engaging in a transaction, put your private investigator hat on and grab your magnifying glass. Check the seller’s profile for negative reviews or signs of a fake account, such as a recently created profile with no activity.
2. Protect Personal Information: Never share sensitive personal or financial information like your social security number, bank account, or credit card details.
3. Meet in a Public Place: Buy locally wherever possible so you can inspect the item. Always meet the seller in a public, well-lit location. Consider bringing that CrossFit junkie or former football player friend for added safety.
4. Use Facebook-Approved Payment Methods. When possible, make payments through Facebook Checkout, which offers buyer protection if something goes wrong. Alternatively use a company like PayPal that has fraud protection.
5. Request a Tracking Number: If buying something to be shipped, ask for a shipping tracking number to verify the item is on its way. Verify that the tracking number is real by typing the tracking number directly into the shipping carrier’s website. Do not click in links the seller sends you. These may be phishing attacks that will infect your computer with malware.
6. Avoid Advance Payments: Do not pay for an item until you have inspected it or received it. Scammers often request advance payments to "secure" an item. Don’t fall for pressure tactics claiming that the “item is going fast” or that “there are tons of people who want to buy this.”

By staying vigilant and following these steps, you can reduce your chances of falling victim to scams and safely enjoy the benefits of buying and selling on Facebook Marketplace.