What Are OfferUp Scams and How to Avoid Them: The Ultimate Guide
Online resale marketplaces have exploded in popularity in recent years as an easy way for people to make money by selling unwanted items and score deals on used goods. One of the leaders in this space is OfferUp – a location-based platform that functions like a virtual garage sale connecting local buyers and sellers.
Launched in 2011, OfferUp now boasts over 90 million downloads and 44 million active annual users. The app facilitates billions of dollars worth of transactions each year in categories ranging from electronics to vehicles to home goods. But with all that cash changing hands, it‘s no surprise that OfferUp has also become a magnet for scammers looking to exploit unsuspecting users.
How big of a problem are scams on OfferUp? The company doesn‘t disclose exact figures, but here are some telling statistics about scams on online marketplaces in general:
- The FBI‘s Internet Crime Complaint Center (IC3) received over 791,790 complaints in 2020 with reported losses exceeding $4.2 billion
- The FTC estimates that 1 in 4 people who report a scam say they lost money, with a median loss of $311
- A 2020 BBB study found that online purchase scams were the most common type of scam reported, representing over 38% of all scam reports
While not all of these incidents occurred on OfferUp specifically, it‘s safe to assume the app sees its fair share of attempted (and successful) scams. The good news is that by understanding how OfferUp scams work and taking some simple precautions, you can shop and sell on the app with confidence. Let‘s break it down.
Common OfferUp Scams to Watch Out For
Scammers are constantly coming up with new schemes, but most OfferUp scams fall into a few main categories. Here are some of the most common to be aware of, with real-world examples.
Fake Listings and Phantom Items
One of the most pervasive OfferUp scams is sellers creating fake listings for high-demand items at low prices. You‘ll see posts for things like the latest iPhone, designer purses, or hard-to-find sneakers listed at 50-70% below retail value. If it seems too good to be true, it almost certainly is.
When a buyer inquires about the item, the "seller" will typically make up a story about needing to sell the item quickly due to financial hardship. They‘ll often refuse to meet up in person (citing COVID or some other excuse) and insist the buyer pay electronically before they ship the item. Of course, once payment is sent the buyer never receives their purchase and the seller ghosts them.
Another variation of this scam is a seller posting pictures of a real item they don‘t actually have in their possession. For example, they might list a used car with pictures and a VIN swiped from a dealership website. Unsuspecting buyers will put down a deposit to "hold" the car, only to discover it was never really for sale.
| 🚩 Red Flag: Prices that are suspiciously low for the type of item
| 🚩 Red Flag: Seller refuses to meet up in person or let you inspect the item before buying
| 🚩 Red Flag: Pressure to pay quickly before someone else can "snatch up" the deal
| ✅ Tip: Reverse image search photos to see if they appear elsewhere online
| ✅ Tip: Insist on meeting up locally to verify the seller and item are legit
Fraudulent Payments and Fake Checks
In this type of scam, a prospective "buyer" will contact a seller and offer to purchase one of their items, often at full asking price to avoid arousing suspicion. However, they‘ll use a fraudulent payment method like a bad check, a cancelled Venmo transaction, or even fake cryptocurrency.
By the time the payment bounces or is reversed, the seller has already shipped the item or handed it off to the scammer in person. The scammer gets the item for free and the seller is left with no money and no merchandise.
An even sneakier variation is when the "buyer" offers to write the seller a check for more than the purchase price. They‘ll spin a story about how it‘s easier for them to write one big check, then ask the seller to wire them back the difference. The original check bounces a few days later, leaving the seller on the hook for the "overpayment" they sent to the scammer.
| 🚩 Red Flag: Buyer offers to pay with a check, especially one written for more than the purchase price
| 🚩 Red Flag: Buyer wants you to ship the item before payment fully clears
| ✅ Tip: Only accept cash or secure electronic payments through the OfferUp app
| ✅ Tip: Wait at least 2 weeks after depositing a check to ensure it won‘t bounce before sending the item
Phishing Messages and Malicious Links
Some OfferUp scammers aren‘t after your money or merchandise directly. Instead, their goal is to trick you into revealing sensitive personal data like your login credentials, credit card number, or social security number. They can then use this info to commit identity theft or hack into your accounts.
The most common approach is sending a legitimate-looking message via OfferUp (or text/email) asking you to verify your account by logging in through a provided link. That link leads to a fake OfferUp landing page designed to capture any info you enter. Alternatively, the link may download malware onto your device to spy on you and steal data in the background.
Another tactic is a "buyer" asking you to send pictures of your ID or a utility bill to verify your identity before they purchase a high-value item from you. In reality, they‘re just collecting your personal details for malicious purposes.
| 🚩 Red Flag: Messages that demand sensitive info or threaten to suspend your account
| 🚩 Red Flag: Emails or texts about transactions you don‘t recognize
| 🚩 Red Flag: Requests for identity documents or financial info beyond what‘s needed to complete a purchase
| ✅ Tip: Only enter your OfferUp login details through the official app or website
| ✅ Tip: Never send personal info to individual buyers/sellers – OfferUp will request it if needed
Bait-and-Switch and Item Not as Described
Sometimes what a buyer receives isn‘t what they thought they were getting based on the listing. A seller may post pictures of a high-quality, name-brand item, but then substitute a cheap knockoff version when shipping it out or handing it off. They bank on the fact that most buyers won‘t scrutinize their purchase until it‘s too late to complain.
Another issue is sellers using outdated, misleading photos in their listings or neglecting to disclose damage and defects. That "gently used" couch might look pristine in the pics, but in real life it‘s covered in rips and mystery stains. Sure, you can request a refund, but it‘s still a hassle most buyers would rather avoid.
| 🚩 Red Flag: Listings with limited or low-quality photos
| 🚩 Red Flag: Inconsistencies between the listing description and what you see in person
| ✅ Tip: Ask the seller for multiple photos taken from different angles in good lighting
| ✅ Tip: Carefully inspect items and test electronics before handing over payment
| ✅ Tip: If the seller won‘t let you examine the item before buying, walk away
How to Avoid Getting Scammed on OfferUp
Now that you know the most common types of OfferUp scams, let‘s review some general best practices and precautions for staying safe when buying and selling on the app. Follow these tips to significantly reduce your chances of losing money to fraudsters and con artists.
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Only use trusted payment methods. Insist on cash for local transactions or stick to secure electronic payments through the official OfferUp app. Be wary of sellers who demand unorthodox payment types like gift cards, wire transfers, or Venmo/PayPal outside of OfferUp‘s system.
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Vet users before transacting. Check potential buyers‘ and sellers‘ profiles for red flags like brand new accounts, limited transaction history, or poor reviews. You can also use a reverse phone lookup service to try to verify their identity matches what‘s on their profile (though be aware these services aren‘t foolproof).
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Schedule meetups through OfferUp. The app allows you to propose meetup times and locations with in-app messaging. Stick to this official process rather than moving to direct texts or calls, which takes your communication off OfferUp‘s radar.
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Meet in person to exchange items and payment simultaneously. Never send money before having the item in your hands. Confirm it matches the listing and is in the expected condition before handing over cash. If the seller balks at an in-person meetup, that‘s a big warning sign.
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Choose a safe, public location for meetups. OfferUp has designated Community MeetUp Spots that are well-lit, surveilled areas like police stations. These are ideal for avoiding both scams and crimes like robbery. Never agree to meet a buyer or seller alone in a private residence or isolated area.
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Don‘t give out more personal info than needed. Sellers should never send sensitive details like bank account numbers to individual buyers (and vice versa). Your OfferUp profile name, general location, and a contact method within the app should suffice until you‘ve verified you‘re dealing with a legit user.
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Keep records of all transactions. Use OfferUp‘s in-app messaging rather than texts or emails that could be deleted. Take screenshots of the original listing, your conversations with the buyer/seller, and any other pertinent details. These records will be crucial evidence if you need to report a scam to OfferUp or the authorities.
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Know how to report suspicious activity. If you believe you‘ve encountered a scam or fraudulent user on OfferUp, use the "Report" button on the listing or user‘s profile. Provide as much detail and evidence as possible so OfferUp‘s safety team can investigate and take appropriate action.
While no preventative measures are 100% foolproof, adopting these habits will make you a much harder target for OfferUp scammers. Stay alert, use common sense, and remember that if a deal seems too good to be true, it probably is.
The Bottom Line on OfferUp Scams
OfferUp is a great platform for turning clutter into cash and finding local deals on secondhand goods. Unfortunately, the same features that make it so convenient – user anonymity, location-based listings, and in-app payments – also make it susceptible to bad actors.
Scammers rely on the eagerness of bargain-hunters and the trusting nature of well-meaning sellers to run their cons. They exploit the informal, peer-to-peer structure of marketplaces like OfferUp, assuming most users won‘t be on high alert for fraud like they would be on a retail site.
But now that you know how OfferUp scammers operate and how to spot red flags, you‘re well-equipped to use the app safely. Scrutinize listings and user profiles, insist on in-person transactions in secure locations, and keep all payment and communication within OfferUp‘s official channels. Trust your instincts and don‘t let the promise of a great deal lure you into a scam.
With these tactics in your arsenal, you can unlock the full potential of OfferUp while leaving scammers in the dust. Happy (and safe) buying and selling!
