Marketplace Seller Scams on eBay
eBay marketplace fraud spans fake listings, shill bidding, counterfeit goods, and off-platform payment requests, exploiting the platform's auction format and buyer expectations.
Part of: Marketplace Seller Scams
Last reviewed: 1 June 2026
eBay's auction and fixed-price listing formats both attract different fraud patterns. Auction shill bidding inflates final prices; fixed-price listings may use stolen product photos and fabricated reviews. The platform's large transaction volume means fraudulent listings can generate significant victim numbers before being removed.
eBay's buyer protection policy provides meaningful recourse in most cases, but fraudsters design their operations to circumvent it — by soliciting off-platform payment, requesting that buyers use unprotected payment methods, or manipulating return and refund processes.
How this scam works on eBay
Shill bidding fraud occurs when a seller or their associates place fake bids to inflate the auction price, then retract them if a genuine bidder does not exceed the target amount. This inflates final sale prices and also wastes bidders' time and emotional investment.
Off-platform payment fraud: a seller contacts a buyer via eBay messaging with an offer to sell the item outside eBay for a slightly lower price. Payment via bank transfer or cryptocurrency is requested, with no eBay purchase record and therefore no buyer protection.
Feedback manipulation involves sellers who build feedback scores through legitimate low-value transactions before using the reputation to sell high-value counterfeit or non-existent items. After collecting payment, they abandon the account and create a new one.
Common red flags
- Seller who contacts you to purchase the item off eBay for a marginally lower price
- Request for payment via bank transfer, cryptocurrency, or PayPal Friends and Family
- Auction with bidding activity that does not follow normal competitive patterns
- Seller with a high feedback score but a sudden concentration of negative feedback
- Item that arrives significantly different from the listing, accompanied by a returns process that is unresponsive
- Feedback score built from many low-value transactions with a sudden shift to high-value listings
How to protect yourself
- Always pay through eBay's official checkout — never via bank transfer at a seller's request
- Use PayPal Goods and Services or a credit card rather than Friends and Family when paying through eBay
- Report shill bidding suspicions to eBay immediately using the 'Report' function on the listing
- Open an eBay case via Resolution Centre if goods are not as described or do not arrive
- Scrutinise recent negative feedback on a seller's profile before committing to a purchase
How to report it
- Use eBay's 'Report this item' or 'Report this member' link on the listing or seller profile
- Open a case in eBay's Resolution Centre for any transaction that goes wrong
- Report to your national consumer protection authority if eBay's resolution process fails
Frequently asked questions
How does eBay's buyer protection work and when does it not apply?
eBay's Money Back Guarantee covers most transactions paid through eBay checkout — it does not apply to off-platform payments made at a seller's request. Always complete payment through eBay's checkout screen to ensure your purchase is covered.