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Related Articles
eBay Turns Five

From TNPC issue #3.21...Jim Lee

eBay Aftermath

by T.J. Lee
October 12, 2000

Back in TNPC #3.18 I asked for anyone with an online auction fraud or horror story to drop me a line and share his or her experience with me. I got quite a few comments and several folks noted that they'd had problems with uBid, or other business-to- public auction sites but not one complaint was about eBay. In fact I got a lot of email praising eBay.

eBay is one of the most recognizable names on the Internet and as September was eBay's fifth birthday I wrote in the last issue of TNPC about that fact and wished eBay a happy birthday. While I didn't get a lot of reader feedback on that article, the feedback I did get was extremely vocal and in some cases sprinkled with words containing no more than four letters. It's not often I evoke such emotions in even a small portion of the TNPC readership.

The calmer and cooler heads simply noted that you can run into shills who bid up a price on behalf of a seller; these readers prefer making their purchases at more traditional brick and mortar establishments. There also was a consensus that "shipping and handling" fees were excessive for some items and that some eBay sellers looked on S&H as the true profit center. Others had more specific complaints.

For example, TNPCer Dr. Steve had a bad experience with an eBay auction and tried to avail himself of eBay's free insurance. He had to fill out insurance claim forms that he says were ultimately "lost in the system." He wound up out of luck and out the cash on the deal. Tim T. says eBay management is unresponsive to account problems. Another reader pointed out that he was prevented from becoming an eBay seller because he does not have a credit card and intimated that eBay is discriminating against the poor.

One fellow was especially put out with my article. He had a bad auction experience on Amazon and his bad luck continued at eBay where he's been a buyer for the last 18 months. Apparently he purchased wall clocks that he never received and a used car that he could not get registered after he paid for it. His complaints to eBay, he said, fell on deaf ears. He wrote, "I KNOW that I have wasted my time writing to you. As far as I am concerned, you are a disgrace to humanity and that goes for eBay also! (including The Naked PC)!" At least he didn't blame me for the Chicago fire or Jar-Jar Binks.

I also heard from more fans of online auctions in general and eBay in particular. TNPCer Reid W. said, "There is no other auction site on the web that comes close to matching eBay's quality, service and security." TNPCer Marnie H. said, "As a devoted eBay-er I am not surprised at the low incidence of fraud [on eBay]." Marnie also pointed out a most interesting Web site that lists links to the most weird and unusual things put up for auction on eBay:
http://www.TheNakedPC.com/t/321/tr.cgi?ebay1

Charlie B., whose son is a frequent buyer on eBay, offered some good advice for auction buyers. "Generally, [my son's] purchases are of expected quality and condition as was advertised on the site. [But always] verify the sellers credentials, if a deal sounds 'Too good to be true' usually, it is!"

So is there fraud on eBay? You bet. There's fraud in all walks of life and in every economic endeavor you can name. I never said eBay was entirely free of fraud or problems, only that when I asked TNPCers for horror stories I didn't get any. Considering the small handful of complaints I received after wishing eBay a happy birthday I'm still of the opinion that eBay must be doing a better than average job of running their shop.

But you certainly should protect yourself to the extent possible. Verify sellers' credentials. Check the feedback on sellers (and yes, it's possible that they've shilled that as well). Do your homework on the items you're bidding on so you have an idea of its real worth. Does this mean you won't ever get stuck? No. As with so many things in life there are few guarantees. But there are things you can do to protect yourself, especially when dealing with expensive items, and you should take advantage of them. Most notably are escrow services like I-Escrow that hold the buyer's money until the buyer has approved the seller's merchandise. For lower-priced items eBay (automatically and for free) insures transactions up to $200, with a $25 deductible, with Lloyd's of London. (I think this process was Dr. Steve's complaint.)

Online auctioning is not for everyone, just as online commerce is not for everyone, just as mail order can be a huge pain in the, oh you get the idea. If you buy used cars over the Internet you had better know what you're doing. Buying a used car is a terrifying experience under the best of circumstances.

Given all that, if you do decide to buy or sell on eBay know that you have to register first. If you click the link here and register with eBay (even if you never bid on, or sell, a single Pez dispenser) know that eBay will give TNPC a small remuneration. Ka-ching! Just scroll to the bottom of the page and click on the Register text link.
http://www.TheNakedPC.com/t/321/tr.cgi?ebay2

You can reach T.J. Lee at:
mailto:tj_lee@TheNakedPC.com

Copyright © 2000, PRIME Consulting Group, Inc. and Dan Butler. All Rights Reserved.
The Naked PC is a trademark of PRIME Consulting Group, Inc.
ISSN: 1522-4422
You may reprint an article from TNPC as long as you show the entire article and include the authors byline, excerpt and subscription information as shown:
eBay Aftermath
by T.J. Lee
(This article originally appeared in The Naked PC newsletter #3.21, subscribe at http://www.TheNakedPC.com)


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