More and more Americans are turning to round-the-clock, online auction sites as they search for bargains on the Internet.
The number of auction sites has jumped from just a handful two years ago to more than 150 today, which offer auction items from antiques and collectibles to computers and stereo equipment or other electronic gizmos. These Web sites piled up sales of more than a billion dollars in 1997.
But some consumers are still not at ease in this brave new shopping market, say industry experts.
Rightly so.
There's good reason to be cautious, according to the Federal Trade Commission Office of Consumer and Business Education, the National Consumers League, and the Better Business Bureau.
Reports of Internet auction fraud have more than tripled during the past year. The most common complaint is from buyers who don't to receive any goods for their money.
World Wide Web auctions topped the 1997 "Top Ten" list of Internet scams compiled by the National Consumer League.
"The trouble with the Web auctions is not the auction sites, but some of the people who use them to sell their goods and services," said Susan Grant of the group's Internet Fraud Watch program. "Some of the sellers are not honest. They take the money and never deliver the merchandise."
"Unfortunately, many consumers are just not aware than an online auction is different than a traditional auction until they have lost money," said Randy Satterfield of the Federal Trade Commission, which has issued a consumer alert concerning online auctions.
The commission hosts a Web site at www.Ftc.Gov.
Still, Internet shopping can fun, and an increasingly safe bet if you take some simple precautions.
"I pay only by bank money orders," said Rich Hewitt of Cape Girardeau. "This way I don't have to reveal private information, like Social Security number or my personal check account number."
Hewitt, a part-time antiquer, has purchased more than 100 items since he discovered Internet auctions a year ago.
"I did get ripped-off once," he said. "But, it was for less than $10."
Like most auction buyers, Hewitt always checks the "feedback" of a prospective seller.
The feedbacks represent sales and/or positive and negative remarks concerning previous sales. Hewitt also adds his own remarks to the feedback list.
"I've been fortunate with my purchases," said Hewitt, who adds that he also always views the picture of an item before buying it.
Most sellers use photographs on the Web sites.
"This is a big advantage," said Hewitt. "In one photograph, a certain item showed a metal lid on a Standard Oil bottle, but when the item was delivered, it contained a plastic lid."
Jerry and Elaine Heuring of Scott City, uses the Internet for both buying and selling.
"It's a great way to reach a wide audience for your products," said Elaine Heuring. "The pictures are important. They helps us in selling and buying."
The Heurings like the Internet auctions. They use Ebay, an auction site that sells everything from vintage jewelry and pottery to Civil War items.
It is one of the largest national Internet auction sites, and collects a fee of up to $2, plus 5 percent of the final price for its middleman chores. The rest of the money goes to owners of the goods.
"We've had good success with sales, and have been fortunate in buying," said Elaine Heuring. "We have had only one bad experience."
When the Heurings purchased a churn, the photograph showed the churn with a screen, which is an important item in the price. "We didn't get the screen," said Heuring.
Bidding on an item is simple in an Internet auction. By clicking on the item's icon, a product description and list of high bidders usually appears. A further check often reveals a picture of the item.
Then, bidders enter their price and billing information on a form. They can also choose to be contacted by e-mail if their bid is topped, or they can simply check back from time to time. Internet auctions usually last from one to three days.
Like the traditional "live" auction, the highest bidder wins. But, that's where the similarity ends, because the auction house does not have the merchandise.
The high bidder then deals directly with the seller to complete the sale. If you are the high bidder, the seller will make contact by e-mail to arrange for payment and delivery.
Most sellers accept credit cards, or use a third-party escrow agent to collect the payment.
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