Selling something online can be complicated— even more so when a supposed buyer turns out to be a fraudster. Known commonly as Craigslist scams, Overpayment Scams can occur on any sales platform and target sellers by sending more than the agreed price of the item for sale and then requesting the victim either return the extra funds or send it elsewhere. When the original payment is returned as fraudulent, the victim is left with less money than they started.
The red flags of an overpayment scam are apparent if you know where to look. Being paid more than the agreed price is the biggest warning sign. A scammer may claim the extra funds are to pay for movers or were sent in error, but either way they will request the victim send the extra funds via cash, wire, money order, gift card or cryptocurrency.
Here are some ways to protect yourself from an overpayment scam:
- Do not accept a payment for more than the asking price
- Review the payment for suspicious elements (such as checks written from out of state or by someone unrelated to the purchase)
- Never agree to send funds to another entity on the buyer’s behalf
- Resist pressure to send funds immediately
