Considering Buying an Expensive Phone off a Private Seller Due to Cheaper price, How Can I Protect Myself from Fraud?

LLoveMySmile on 11/04/2019 - 14:59
Last edited 11/04/2019 - 16:40

It is a s10+ 128G AU stock, the seller agrees to sell for $1100 without much haggling. The advertisement was posted on Facebook Marketplace, i have clicked into the seller's profile, the device was priced to sell at $1350 on the 7th. The seller has no problem doing meet up and did not request cash only payment.

I have got two questions:

1) How can i ensure the device is genuine right on the spot? IMEI?

2) If it is a genuine device, how can i protect myself? The seller could potentially report lost/stolen after the transaction and the phone would be locked right?

Thanks for any inputs in advance.

**Update

After considering the golden advice from the OzBargain community. I am inclined to not proceed any further with this purchase. However, if i do, i would go like this..

1) Authenticity- Meet up in shopping centre with surveillance, check with the Samsung store in the shopping centre.

2) Ownership- Seller mentioned name was labelled on the invoice of Samsung AU store, double check with driver's license.

3) Transfer of ownership - An agreement is created with names, date, product item, product's primary key (IMEI), reason and agreement for both parties to proceed. Signed and compare the signature to the one on license.

Mobile

Comments

  • [Deactivated] on 11/04/2019 - 15:03
    +43

    how can i protect myself?

    Spend the dollars and buy from a reputable bricks-and-mortar outlet.

    /thread.

    • LoveMySmile on 11/04/2019 - 15:07
      -5

      What would be the purpose of this site then? Get everything from a reputable brick and mortar store. Kogan wouldn't have existed.

      • [Deactivated] on 11/04/2019 - 15:09
        +4

        Kogan wouldn't have existed.

        They exist because of the gullible and those interested in false economies.

      • Ronthecrypto on 11/04/2019 - 15:31
        +13

        this site is to present deals that are risk free or fraud free from reputable stores!

    • Austin 316 on 11/04/2019 - 15:09

      1st thing I would do is NOT BUY the phone to avoid any problems.

      If you still want to buy, may be ask, where the seller got it from and why they want to sell it so cheap? I know some people (Telstra staff) got it for 50% off during the last promo, so may be the phone is genuine if that's the case.

      • LoveMySmile on 11/04/2019 - 15:13

        Thank you for your input. I am considering and evaluating. The seller bought it off Samsung AU website with proof of purchase in the seller's name.

        • PVA on 14/04/2019 - 18:05

          The cheap deals for Telstra staff (and other companies too) are through Samsung online as well. Does their invoice say the price they paid?

  • Bid Sniper on 11/04/2019 - 15:07
    +1

    https://www.ozbargain.com.au/node/450088

    pay $99 more and not get ripped off?

    • LoveMySmile on 11/04/2019 - 15:09

      s10 vs s10+. Evaluating risk vs reward, hence this post.

      • rover100 on 13/04/2019 - 07:25

        Way too much risk

  • altomic on 11/04/2019 - 15:10
    +1

    How can i ensure the device is genuine right on the spot? IMEI?

    yeah - goophone make a nice looking S10 clone

  • spackbace on 11/04/2019 - 15:12

    https://www.ozbargain.com.au/node/450099

    You in Melb?

    I'm guessing these cheap phones are due to Employee Pricing. Employee buys cheap, makes profit, new owner gets cheaper phone.

    How hard will the warranty be to claim though without the original invoice?

    • LoveMySmile on 11/04/2019 - 15:14

      Nope, similar situation. Though the seller did not request cash payment only.

  • maybeamacy on 11/04/2019 - 15:13
    +5

    That's the risk you run when buying phones by cash. If they're dodgy they can just make an insurance claim saying that their phone was stolen a few months down the track. They get a new phone, you're left with an MP3 player.

    If you paid with eBay with cc - you could charge back but not for irl purchases!

    • LoveMySmile on 11/04/2019 - 15:19

      So you are implying there will be no protection in my circumstance. Thank you for your input. I will take it into consideration.

      • Waffles on 12/04/2019 - 08:22

        How do you expect companies protecting you from situations like this to make money given you're essentially giving them the risk and keeping the reward?

        I hope it goes well for you but it's unlikely you'll get some random company to take on the hassle for nothing in return. Hence everyone's comments to just save a bit more and buy legit. The fear and potential hassle is really unlikely to be worth it

        • LoveMySmile on 12/04/2019 - 23:21

          I expect nothing from any companies. I am looking for self protections.

  • Bargain80 on 11/04/2019 - 15:22
    +2

    How Can I Protect Myself from Fraud?

    Don't buy from Facebook Marketplace?

  • 6000SUX on 11/04/2019 - 15:27

    Its not worth the risk. An expensive lesson if it ends in tears

    • LoveMySmile on 11/04/2019 - 15:28

      I cannot agree more, if there are no appropriate hedging methods.

    • apple2016 on 11/04/2019 - 15:37
      -1

      Not always…

  • dcep on 11/04/2019 - 15:29
    +1

    1) cod at samsung store - ask them check

    2) get proof of purchase + signed statement / contract of sale / stat dec

    • LoveMySmile on 11/04/2019 - 15:40

      If the above elements are present, would you recommend to proceed with this transaction and agree it's a deal?

      • dcep on 11/04/2019 - 15:55
        +1

        in what context ?
        personally, i won't because ..

        1) i will never spend 1k on whatever phone, let alone 500 even.

        2) i don't like a used phone. A used car / house, yes but not used phone.

        3) it has to be real bargain like 50% off to entice me getting a used gadget else a mere 300 savings from something over 1k+ that depreciates like crazy in months after, just doesn't cut it for me.

        • LoveMySmile on 11/04/2019 - 16:20

          Thank you for sharing your opinion. It is important to me.

          • niish150887 on 12/04/2019 - 14:44

            @LoveMySmile: I agree with the above comment.. I have bought all my phones of gumtree / FB Market place at a discount of atleast 30% of market price.. last one i bought was S9+ for $700 when it was released.. and was willing to risk it if it was reported stolen.

            Never had this issue for someone reporting this as lost / stolen.. Most of them get these on 12/24 month contract via optus/ telstra and sell them for cash.

            I would not but for a smaller discount

  • apple2016 on 11/04/2019 - 15:37

    2) If it is a genuine device, how can i protect myself? The seller could potentially report lost/stolen after the transaction and the phone would be locked right?

    Well second hand market is always buyer beware.
    Having said that I have bought a lot of stuff over the years from gumtree / facebook / ebay / classifieds without any issues.
    Usually I meet the seller, inspect the stuff and then decide if I would want to go ahead. It has always been cash transactions as well.
    Its a risk, but there are benefits.

    • LoveMySmile on 11/04/2019 - 15:42

      Thank you for your input. I am here with the intention to find out ways of minimising and hedging the associated risks that i might have missed.

  • websterp on 11/04/2019 - 15:44

    One advice I can give you is to complete exchange during day time at a public place where there are plenty of people around(for your own safety) and CCTV cameras(might be helpful in case the seller later files a report with the police or insurance i.e lost phone) such as a servo or inside a shopping centre and never goto his/her own house with the cash. I was in a similar situation with a Gumtree buyer(he sounded dodogy from the start, said he was sitting in a car in front of his own house as he was all set to go to a party right after, yeah right!) and the moment I asked him to meet me at the service station few blocks down the road, he backed out.

    The suggestion above to do it at a Samsung shop and obtain proof of purchase and sale is a great idea.

    • LoveMySmile on 11/04/2019 - 15:50

      What if the entire transaction/payment process/meet up is recorded with our mobile device? The parties explain the intention and purpose of the meet up. The footage is shared between all parties involved. If you are the seller, Would you be fine with this?

      • dcep on 11/04/2019 - 15:59
        +1

        will you ?

        would you be fine for some random guy videoing your face ?

      • kolorijo on 11/04/2019 - 16:02
        +2

        As a seller, I would just cancel the transaction as it is too much of a hassle for me. Plenty other buyers around.

        • LoveMySmile on 11/04/2019 - 16:11

          Sample size increased. It is important for me to know what others feel and take that into consideration.

      • bargainhunter87 on 11/04/2019 - 16:08

        And what purpose would this solve?

        Lets say hypothetically that the Seller agrees - and 3 days later the phone turns out to be a dud. What would you do with the footage? Call the police (they don't care - caveat emptor). Sue them (legal fees would be more than the cost of the phone). Call the bikies (They don't care)

        • LoveMySmile on 11/04/2019 - 16:15

          I get and agree where you are coming from. However, that does not discourage one from taking precautions. e.g Some laws are not enforced, doesn't mean they shouldn't be there.

  • CyberMurning on 11/04/2019 - 15:48
    +3

    Doesn't matter OP already made up his mind to buy.
    Just wait in few weeks there will a post crying for help.

    • LoveMySmile on 11/04/2019 - 15:52
      +9

      Hopefully you will be more helpful in that post.

  • garetz on 11/04/2019 - 15:55
    +2

    For the amount you are saving, its not worth the risk.

    • LoveMySmile on 11/04/2019 - 15:56

      I cannot agree more, if there are no appropriate hedging methods

  • sraymond on 11/04/2019 - 16:01
    +3

    You should have made a poll. Then when you saw 90% saying not to buy you might have paid attention. Chillmot is right. You have already made up your mind. Just trying to get a few to confirm it’s ok for you. Better off just buying a grey import. Less chance of having your heart broken.

    • LoveMySmile on 11/04/2019 - 16:09

      "i have made up my mind, i need more people to agree with me to justify my decision". Unfortunately, i do not follow this pattern of behaviour/thought. In fact, i am likely not going to proceed any further with this issue. You have a made a point. ChiMot? Not so sure. I do not know how to create a poll.

  • EFC94 on 11/04/2019 - 16:10

    Sounds like a great deal, especially with proof of purchase from Samsung.

    • LoveMySmile on 11/04/2019 - 16:16
      +1

      This part of me is getting smaller and smaller.

    • belongsinforums on 12/04/2019 - 15:31

      Isn't that easy to fake?

      • EFC94 on 12/04/2019 - 16:13

        Id assume it’s fair easy to fake.

      • LoveMySmile on 12/04/2019 - 23:24

        This deserves a new thread.

  • LoveMySmile on 11/04/2019 - 16:37
    +1

    I am inclined to not proceed any further with this purchase. However, if i do, i would go like this..

    1) Authenticity- Meet up in shopping centre with surveillance, check with the Samsung store in the shopping centre.

    2) Ownership- Seller mentioned name was labelled on the invoice of Samsung AU store, double check with driver's license.

    3) Transfer of ownership - An agreement is created with names, date, product item, product's primary key (IMEI), reason and agreement for both parties to proceed. Signed and compare the signature to the one on license.

    Any thoughts?

    • unwashed00 on 12/04/2019 - 15:04

      If I were a seller I couldn't be bothered with 3. Mainly cause it may as well backfire in one way or another if the buyer is dodgy. Also, with so much hassle if there certainly would be someone happy to by without any of the extra steps. I am even not too comfortable with showing my license to strangers.

      • LoveMySmile on 12/04/2019 - 18:16

        The seller has no problem with number 3, or 2, or 1.

      • Dienk on 12/04/2019 - 22:26

        I agreed. I sold my 2500 bucks pc. I did not show anything. Guy came, tested, paid and done.

  • vinni9284 on 11/04/2019 - 17:06
    +1

    I would wait a few months and purchase it for the same price @ JB.
    Aussie warranty and legit.
    I did this for the Note 9.
    Cheers

  • brandnew on 11/04/2019 - 17:41

    Supposed you go through with the purchase all right, there is no stopping from seller to report the phone as stolen to claim insurance. So yes, better pay a little extra to get he phone from reputable retailer.

    • LoveMySmile on 12/04/2019 - 18:18

      3) Transfer of ownership - An agreement is created with names, date, product item, product's primary key (IMEI), reason and agreement for both parties to proceed. Signed and compare the signature to the one on license.

  • Changskies on 11/04/2019 - 19:56

    well I would definitely ask them to at least show you an ID to match names, take exchange at samsung store and get them to note he or she is selling the phone. but, still a risk though.

  • Andre222 on 12/04/2019 - 09:33
    -5

    Ask yourself, why do you need 1100$ phone… Curious about it, please respond.

    • LoveMySmile on 12/04/2019 - 18:19

      Technically, you do not need anything else besides air, food, water and shelter.

  • wlg on 12/04/2019 - 09:58

    Went through a very similar thing a few days ago…

    Was looking for an iPhone as a birthday present for my Wife. Tossing up between XR from a store or X from ebay/gumtree (X is no longer available in stores but is better than an XR, XS too expensive). Difference for me is that I was only considering brand new in sealed packaging. Found one near me on gumtree. First question was why are you selling a brand new iPhone? Said she is a Telstra employee and that's all she could get through staff discount, wants an S10 instead. Went to her house with cash, asked for the original receipt/invoice. She said it's there but has all her personal details on it, offered to log onto Telstra website and email me a copy of the proof of warranty instead. Seemed legit to me so I went ahead with it. After reading this thread now I'm not so sure that was a good idea! Meh, it's only a thousand bucks ;-)

    • LoveMySmile on 12/04/2019 - 18:22

      Feel free to post for help if scammed.

  • voiletmay on 12/04/2019 - 12:00

    Why do people do this just to save a small amount of money. I just don't understand.

    • niish150887 on 12/04/2019 - 14:51

      To Save Money :)

    • LoveMySmile on 12/04/2019 - 18:21

      A question that is also the answer to the question.

  • UNO on 12/04/2019 - 13:53

    If it sounds to good to be true …

  • rave75 on 12/04/2019 - 14:12

    I bought 3 brand new phones from gumtree. I always ask for the IMEI# first, in case if it was stolen. Also, I was only looking for brand new sealed. I know people can reseal it, but I always open the phone in front of the seller to check the content, put my sim card, turn it on, cross check the IMEI. If all good then I will pay the seller and ask them to sign on a paper I've prepared.

    • belongsinforums on 12/04/2019 - 15:30

      Ha sign paper. Lol

      • rave75 on 12/04/2019 - 15:32

        Ha for insurance scam. Lol

  • 13 on 12/04/2019 - 15:21

    Sounds like a great deal. Probably best to buy it before someone else just cross your fingers and hope for the best. Good luck

    • LoveMySmile on 12/04/2019 - 18:23

      I sense sarcasm in this one, correct me.

  • tcme on 12/04/2019 - 15:27

    It wouldn't even matter, really. What's not to say he got the phone on contract, didn't pay it or was opened in someone's name and even if it was new, a month or two later the IMEI is blocked? You could do everything by the book and never avoid this. Samsung, footage etc won't matter.

    • LoveMySmile on 12/04/2019 - 18:28

      The invoice, if legit shows it is not on a contract, and has the buyer's name on it, i cross check with the seller's license to confirm ownership. Have a look on the update above, i have addressed all these issues. Though, i could have done everything by the book and still get scammed.

  • Zondor on 12/04/2019 - 15:59

    Sounds like it's basically a private sale.

    Caveat Emptor

    Ask if you can do it via paypal and offer to pay the fee. Dont do friends and family transfer.
    I got scammed via a fb group purchase with this and got my 1k back.

    If anyone wants a read of our covo:
    https://docs.google.com/document/d/1C8hlEQAjlmsJlsF1DPCVpoB_…

    • LoveMySmile on 12/04/2019 - 18:26

      Seller has no problem with whatever type of payments.

  • usmanyousaf on 12/04/2019 - 16:10

    i think the OP is buying this one offered….https://www.ozbargain.com.au/node/450099

    • LoveMySmile on 12/04/2019 - 18:24

      Refer to spaceback's comment above.

  • cille745 on 12/04/2019 - 18:00

    Firstly, that's really not even a good price for second hand. I'd also be going to their house and bringing someone else with you, people would probably be less inclined to scam when they know you'll be knocking on their front door

    • LoveMySmile on 12/04/2019 - 18:25
      +1

      I should've mentioned "brand new sealed".

  • Godric on 12/04/2019 - 18:18

    I almost feel like I've seen the same offer, I passed

  • kaleidoscope on 12/04/2019 - 18:37

    i’ve used marketplace many times and has been pleased so far. Phones however are one category that I would not bother on a place like that. (ebay/ gumtree as well).
    If the seller has proof of purchase and information that you can verify to back his claims I would consider. Otherwise I would walk other way.

    I’m telling the above because I personally know few of my friends that bought phones through telco deals just so they can keep the plan and sell the devices. In such scenarios the phones were sold at very reasonable prices. (unopened with proof of purchase).

  • jlogic on 12/04/2019 - 22:34

    I would be wary of IMEI block later down the track.

    Too many scammers these days. Not sure what a piece of paper is going to do, when they already upped and left the country or disappeared into the ether.

    • cwongtech on 13/04/2019 - 12:05

      "I would be wary of IMEI block later down the track."

      IMEI block can happen with legitimate stores as well.
      Some stores will decouple a phone plan, and sell the phone separately to the plan.
      However, the owner of the phone plan may report their SIM as lost and request a new one, but the phone may be assumed lost as well, and thus.. IMEI block.

      If the source of this phone is Samsung EPP then this is no issue at all, but need the seller to confirm.

  • Sestrooper on 13/04/2019 - 06:47

    I purchased a note 9 512gb last year for about $900. Used twice. I only purchased it because the seller met me at his work place (he was a pharmacist) and showed all receipts which matched drivers license. Plus I knew where he was literally working every day. Worked fine for me but as a whole I think it's better to buy from a store in most cases.

  • solidussnake on 13/04/2019 - 07:03

    If he can provide a valid invoice which states where it was sold and has a the imei I would buy it if I had the cash, that would be proof enough if it gets reported stolen you have his details from Facebook and a receipt.

  • luffyex2010 on 13/04/2019 - 09:32

    Good luck with no. 3

    • [Deactivated] on 13/04/2019 - 14:40

      yeah no one would bother unless you're paying a really good price, plenty of other buyers out there

  • Cave Fire on 13/04/2019 - 14:52

    found a $1343 deal from Becextech in 2mins of googling. Has free insurance and 1 year warranty. Says it's new and has band 28…

    • R-Man on 14/04/2019 - 13:57

      Bad idea- imported stock so the store provides that 1 year warranty and that's usually a pain to deal with.

      (e.g. they take the phone back do random shit to it and send it back to ya saying it's fixed)

      Samsung phones have 2 year warranty

      • Cave Fire on 14/04/2019 - 17:59

        ok yeah, didn't do much research, more posting as a comparison to buying second hand privately for a difference of $200.

  • MementoMori on 14/04/2019 - 13:43

    Agreed - better to buy from a shop for piece of mind for such an expensive and fragile item

  • R-Man on 14/04/2019 - 13:55

    I have done this but the phone was $500

    I checked IMEI on the spot when I met seller by going to http://www.lost.amta.org.au/IMEI

    Seller provided me with invoice with his name and address on it (still in warranty) so I was happy to proceed.

    You need to somehow make sure the phone is Australian stock so that you can claim warranty from Samsung Australia if needed.

    Your transfer of ownership letter is a good idea as well

  • trapper on 17/04/2019 - 12:25

    Get original invoice and matching ID (take copy of id)

    Now if he later reports it lost/stolen you have evidence of the fraud which should be a deterrent.

    I would be very wary of this deal though.

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