This article originally appeared in the Winnipeg Free Press Community Review
Online classified platforms have become a mainstream method for people wanting to buy or sell items and every year, hundreds of people fall victim to frauds perpetrated on these platforms. While most transactions facilitated by these sites are completed without issue, buyers and sellers need to be aware that these platforms are also used by fraud actors to victimize unsuspecting users.
Two of the most common frauds involving online classified platforms involve the use of e-transfer. E-transfers, while convenient and mostly secure, do come with some risk and transactions cannot be reversed once the funds have been accepted. To protect yourself, you should only send and receive e-transfers from people you know and trust. Transacting via e-transfer with unknown parties increases your risk of victimization.
One such e-transfer fraud is the posting of fraudulent ads showing items for sale, with requests that buyers e-transfer deposits to hold the items. Once the funds are sent, the buyers are blocked or sent to random addresses, only to discover they have been victimized.
Think of it this way – if you responded to a classified ad in a newspaper and the seller asked you to put $200 in an envelope and mail it to a post office box to hold the item, would you, do it?
The other common online classified fraud involves the fraud actors portraying themselves as potential buyers and responding to online classified postings. Once engaged with the seller, they offer to send an e-transfer deposit. The fraud actor then sends a fraudulent e-transfer notification. The link appears identical to that of an actual e-transfer and prompts recipients to enter their banking credentials to facilitate a deposit. At this point, the application typically freezes while the fraud actor uses the stolen banking credentials to log in to the sellers’ online banking and initiate e-transfers out of their account.
Educate yourself on the red flags involved with online classified platforms and follow the safety and security tips on the platform websites to avoid becoming a victim.
Visit the Canadian Anti-Fraud Centre website for information to educate and protect yourself from fraud www.antifraudcentre.ca.
Fraud Awareness Month
March is Fraud Prevention Month, and the Free Press Community Review is sharing stories from the Winnipeg Police Service on its annual campaign to help you recognize, report and reject fraud.