Facebook Marketplace is useful for buying or selling used or unwanted items. But like any online marketplace, the service is rife with scammers who are looking to take advantage of both parties. Let’s learn how they work and how to recognize them.
The Shipping Insurance Scam
Facebook Marketplace is primarily a platform for local sales. Think of it as the classifieds section in a local newspaper, particularly when it comes to peer-to-peer sales. When selling a high-value item, it’s best to only entertain offers from local buyers who are willing to meet in person.
One reason for this is the increasing prevalence of the shipping insurance scam. Scammers will pose as legitimate buyers who will pay a lot of money (often quoting $100 or more) for shipping via a service like UPS. They will even go as far as sending you an invoice for the shipping, whether it’s a forged attachment or from a fake email address.
This scam revolves around an “insurance fee” that the buyer wants you to cover. This is often around $50, which may be an attractive price for you (the buyer) to swallow to sell a valuable item for your asking price. Once you’ve sent the money to cover the insurance fee, the scammer takes your money and moves on to the next mark.
While some legitimate buyers may indeed be happy to pay for an item to be shipped, the prevalence of this scam makes this a risky route to go down. At the very least you should know to cut all contact if…
