Scams

Here’s how to spot and dodge scams when searching for stuff on the classified ads website that offers almost everything under the sun

12 Aug 2024
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5 min. read

People have been buying and selling items on Craigslist for nearly three decades. As a platform for digital classified ads, its utility is still second to none for many people. But its simplicity (and anonymity) can also create risks that are, in many respects, equal to, if not more acute than with, those on online marketplaces such as Facebook Marketplace.

Indeed, there’s little in the way of protection from scammers, who might sell you items that don’t exist or try to harvest your personal information for use in follow-on fraud. Alternatively, they may try to buy items you’re putting up for sale using fraudulent payment methods.

It pays to stay aware of both old and relatively new tricks they’re using to do so. Look out for the following warning signs.

Common Craigslist scams to avoid

1) Non-existent items

There’s a whole category of Craigslist scams that revolve around a fraudster claiming to sell something they don’t have in their possession. It could be a ticket to a show, a car, a pet, an apartment or holiday rental, or even a job listing. They’ll usually draw victims in by either creating a sense of urgency (i.e., a ‘last chance to buy’ a sold-out gig ticket) or by advertising an item for much lower than its face value.

They want either full payment, or a downpayment on an expensive item, via a payment method that is hard to trace, and even harder for you to get reimbursed (i.e., wire transfer, crypto, Zelle, Venmo, Cash App, etc). In the case of job listings, they may ask you to pay for training or equipment up front, and could also request you hand over sensitive personal/financial information. They may also use fake third-party sites to add legitimacy to a fake item scam.

Be alert to these warning signs, only pay for items via secure payment methods, and never pay for a high-value item before seeing it in person first (including property rentals).

2) Overpayment

A buyer sends you a check for an item, but it’s for more than the purchase amount. They urgently request you pay them the difference via wire transfer or a similar method. However, in the meantime, the check bounces, leaving you out of pocket.

In reality, it’s not authenticating you, but instead allowing the scammer to set up and authenticate a Google Voice account associated with your phone number. They can then use your phone number to scam others.

• Requesting to see a high-value item for sale in person (ensuring you are in a public space and are accompanied)
• Using secure payment methods like credit cards, even disposable ones, instead of paying via gift cards or cryptocurrency, two methods that are popular among fraudsters but difficult to trace and recover
• Being skeptical of third-party sites
• Refusing to share any personal or financial information in your communications with sellers and buyers
• Using disposable phone numbers and email addresses so that you further protect your main contact information. (Craigslist uses two-way email relay to hide your email address when communicating with buyers or sellers).

If you got scammed on Craigslist

In the event of a worst-case scenario, keep calm. Consider the following:

• Report the scam to the FTC (if you’re based in the US) and/or the FBI’s Internet Crime Complaint Center
• Keep a close eye on your bank and credit accounts and flag if there’s any suspicious activity
• Tell Craigslist that the listing was a scam, by clicking on the red flag icon and submitting a report
• File a report with the police

Craigslist can be a great resource. But the price we pay for convenience is having to navigate the darker side of the digital world. Stay safe.