Sales Scam Targets Penny-wise, Pound Foolish

The Better Business Bureau and the special crimes division of the Muskego Police Department have been presenting the Top Ten Scams of 2011, and here is the top sales scam.

The internet has introduced a whole new way to rip people off. Penny auctions are very popular because it seems like you can get something useful - cameras, computers, etc. – for way below retail. Some of the top sites include Quibids.com and DealDash.com. However you generally pay a small fee for each bid (usually 50 cents to one dollar) and if you aren’t the winner, you lose that money. Winners often are not even the top bidder, just the last bidder when time runs out.

Lt. Dave Constantineau with Muskego Police Department advised, "although not all penny auction sites are scams, some are being investigated as online gambling."

The BBB recommends you treat them the same way you would treat legal gambling in a casino – know exactly how the bidding works, set a limit for yourself, and be prepared to walk away before you go over that limit. If you're not sure, check them out on the BBB's website first before bidding.