Facebook Marketplace scams: red flags for buyers

The red flags at a glance

Red flag	What you might hear	What to do
Money before you see it	“Heaps of interest. Send $200 and I’ll hold it for you.”	Offer to view it today instead
A seller who cannot meet	“I’m deployed overseas. A courier will bring the car.”	Walk away
A payment or courier link	“Pay through the delivery company’s site and they release it.”	Do not click it
An odd way to pay	Gift cards, crypto, a wire transfer, a friends-and-family payment, several PayIDs	Refuse
A code request	“I’ll text you a code. Read it back so I know you’re real.”	Never share it
A price far under the rest	A near-new e-bike at a third of what others ask	Check the fair price and the seller
Pressure	“Someone else is coming at 5. Pay now or it’s gone.”	Slow down
Moving off Facebook	“Text me on WhatsApp, I don’t use Messenger.”	Keep the chat on Facebook

Facebook’s own guide to Marketplace scams lists most of these, including pressure to move quickly, requests to talk outside Facebook or Messenger, and items priced far under their market value.

Deposits for items you have not seen

The pitch varies, but the shape does not: the item is popular, the seller is busy or far away, and a small payment will “hold” it. Once you pay, the seller asks for more (for shipping, insurance or a courier fee) or disappears.

Big-ticket items get the same treatment. Scamwatch warns that scammers also sell expensive products like cars, boats and caravans, and says to always inspect the product in person before making a payment. In April 2021 it reported that in 97 per cent of the vehicle-scam reports it had received that year, the “seller” claimed to be in the military. Kijiji’s vehicle safety advice lists the same excuses: overseas, deployed, or unable to show the car.

A genuine seller who is worried about time-wasters can take your number and call you when you are on the way. If you truly need to hold something, such as a car while your finance comes through, only pay once you have seen it and the seller’s ID, pay a small amount, and get a written receipt with their full name.

Fake payment, courier and escrow links

In this version the seller agrees to post the item and sends you a link to a courier or “escrow” site that will hold your money until delivery. The site looks real, but it belongs to the scammer. Facebook warns about link manipulation, where fake websites imitate real businesses to collect financial details. Kijiji says it does not partner with any shipping, inspection or escrow company, and AutoTrader Australia says it offers no delivery service at all.

Two rules cover it:

• Never pay through a link a seller sends you. If you want to check a parcel, type the courier’s web address yourself.
• Know what Facebook covers. Facebook’s Purchase Protection applies to eligible purchases made with checkout on Facebook. Items exchanged in person with cash or other person-to-person payments are not eligible.

PayID scams in Australia

PayID lets you pay someone using their phone number or email address instead of their bank details. It is quick, which also makes a mistake hard to undo.

When you are paying: Scamwatch lists being told to pay “several different PayIDs or accounts” as a warning sign. When you enter a PayID, your banking app shows the name it is registered to. If that name does not match the person you think you are paying, do not pay. PayID’s operator says payments to the correct PayID should arrive in under a minute, and Scamwatch warns that with fast payments it is unlikely you will get your money back. So only pay once the item is in front of you.

When you are selling: PayID’s operator says it never contacts you directly, and that any message from “PayID” asking you to send money, receive money or upgrade to a business account is a scam. Check your banking app to see whether money has arrived, never an email.

The same trick turns up with other fast payments: fake e-transfer emails in Canada, which the Canadian Anti-Fraud Centre warns about, and fake payment-app notifications in the US, which the FTC describes.

Cloned listings and too-good prices

Scammers copy the photos, and sometimes the whole text, from a genuine ad and repost it at a lower price. Kijiji’s vehicle advice lists stolen photos from real listings as a common tactic, and suggests searching the VIN or photos online to find duplicates. Scamwatch’s first warning sign is a product offered at an unbelievably low price.

Before you message about a bargain:

• Search the photos. Run a reverse image search. Finding the same photos in an older ad, on a dealer’s website or in another city is a bad sign.
• Look at the seller’s profile. Facebook suggests reviewing it for ratings and activity. A profile made last month with one listing deserves care.
• Ask for something only the owner can give. A photo with today’s date written on paper beside the item, or a live video call.
• For cars, get the VIN. In Australia, run a PPSR check, which can show whether money is owed on the car and whether it is recorded as stolen or written off. Our used car buying guide and write-off guide cover the checks.
• Compare prices. Our guide to checking whether a Marketplace price is fair shows how to find the normal range.

Verification-code requests

“I’ll send you a code to check you’re a real person” sounds harmless. It is not. Facebook lists requests for verification codes sent to your phone or email as phishing. The FTC describes one version where the scammer uses your code to set up a Google Voice number linked to your phone number, and the Canadian Anti-Fraud Centre says to never share your security code with anyone. No genuine buyer or seller ever needs one.

If you sell too

If you sell on Marketplace as well, watch for the mirror image:

• Overpayment. A buyer “accidentally” pays too much and asks you to refund the difference. The original payment is fake or later reversed. Facebook, Scamwatch and the FTC all describe it.
• Payment screenshots. Facebook warns about buyers sending screenshots of payments. AutoTrader Australia adds that a scheduled payment receipt only shows a payment planned for the future. Check your own banking app before you hand anything over.
• Fake PayID emails. See above.

How to pay and meet safely

Way to pay	When it is sensible	What to watch
Cash	At pickup, once you have checked the item	Carrying large sums; count it together
Bank transfer or PayID	At pickup, with the item in front of you and the name matching	Fast payments are hard to reverse
Checkout on Facebook, where offered	For eligible purchases covered by Purchase Protection	It only applies inside Facebook’s checkout
PayPal goods and services	When you cannot meet and the seller agrees	PayPal says personal (friends and family) payments are not covered by its Purchase Protection
Gift cards, crypto, wire transfers	Never for a Marketplace purchase	The FTC says paying this way is like sending cash

When you meet:

• Pick a busy public place in daylight and take someone with you. AutoTrader and Kijiji both advise meeting in public, and Kijiji suggests a police-designated safe exchange zone where one exists.
• For a car, view it at the seller’s home and check that their ID matches the ownership papers.
• Test it before you pay: power it on, plug it in, drive it.
• Keep the conversation on Facebook so there is a record.

What to do if you have been scammed

1. Call your bank or payment provider now. Ask them to stop or reverse the payment. Speed matters more than anything else on this list.
2. Stop talking to the scammer. Do not pay any “fee” to get your money back. The Canadian Anti-Fraud Centre’s advice is never to send recovery money.
3. Keep the evidence. Screenshot the listing, the seller’s profile, the chat and your payment.
4. Report it to Facebook (steps below).
5. Report it in your country (table below).
6. If you shared ID or passwords, change your passwords. In Australia, IDCARE (1800 595 160) can help you make a plan.

Where you live	Report to	Also
Australia	Scamwatch, and a police report through ReportCyber	IDCARE on 1800 595 160 if your identity details were taken
United States	ReportFraud.ftc.gov	The FBI’s IC3 for online fraud, and your state attorney general
England, Wales, Northern Ireland	Report Fraud or 0300 123 2040. It replaced Action Fraud	Call 159 to reach your bank safely
Scotland	Police Scotland on 101	Call 159 to reach your bank safely
Canada	Your local police, then the Canadian Anti-Fraud Centre or 1-888-495-8501	Tell the bank or service you sent the money through

How to report a scam to Facebook

These are Facebook’s steps on a computer; the phone apps may use different labels.

• A listing: open it, click Options under the title, choose Report listing, then Scam.
• A seller: open one of their listings, click their name under Seller information, click Options, then Report, and follow the prompts.

Sources

1. About scams on Facebook Marketplace (Facebook Help Centre)
2. About scams on Facebook Marketplace: Purchase Protection (Facebook Help Centre)
3. Report a Facebook Marketplace scam (Facebook Help Centre)
4. Report a Facebook Marketplace seller (Facebook Help Centre)
5. Buying and selling scams (Scamwatch, National Anti-Scam Centre)
6. Losses to car ad scams climbing, 27 April 2021 (Scamwatch)
7. Report a scam (Scamwatch)
8. PayID FAQs (Australian Payments Plus)
9. Report (ReportCyber, Australian Cyber Security Centre)
10. Buying from an online marketplace (FTC)
11. Selling stuff online? Here’s how to avoid a scam (FTC)
12. What to do if you were scammed (FTC)
13. Internet Crime Complaint Center (FBI)
14. Report Fraud and Contact us (City of London Police)
15. Stop, hang up, call 159 (Stop Scams UK)
16. APP fraud reimbursement protections (Payment Systems Regulator)
17. Report fraud and cybercrime and What to do if you’re a victim of fraud (Canadian Anti-Fraud Centre)
18. Merchandise fraud (Canadian Anti-Fraud Centre)
19. Avoiding Vehicle Scams (Kijiji Help)
20. Scams to avoid and Tips for buying a vehicle on Autotrader (AutoTrader Australia Help Centre)
21. Friends and family or goods and services payments (PayPal)
22. New and second-hand cars (ACCC)