Next-Gen Consoles: Avoiding The Online Auction Blues

Historically, Sony has used excellent marketing tactics to ensure massive demand for their consoles to great profit and market share for this technology leader. Unfortunately, many unscrupulous people try to cash in on the pre-Christmas demand by buying a console and then reselling it via Ebay or other online auction sites for two to four times it's list price to get consumers to part with their money and line their own pockets.

In 2001, a Father and Son team managed to rack up nearly $144,000 in funds as they offered PS2's online though Ebay auctions and others for between $400 and $700. They never had any consoles to sell, but netted the money. This team got caught and convicted on wire fraud. Also, many groups operating out of the former Soviet Union and other places where crime is rife with corruption will be climbing onto the bandwagon to try and fleece the consumer out of their hard-earned money for a promise that never will come to pass.

Ebay has passed new rules to ensure to the best of their ability fraud will not happen, including only allowing console auctions if the seller's rating is over 98% and requiring sellers to provide a photograph of the console with the seller's screen name visible on the photo, as well as a copy of the sales receipt. This should cut down on the fraud somewhat, but people are still going to hunt up the best deals and demand for the PS3 is going to be very high.

The best and really the only way to protect yourself is to ensure the buyer you are bidding with has the best possible rating and also they can provide you a current datestamped picture of the unit along with the sales receipt. Otherwise, and if they delay in any way - avoid that auction, because it is quite possibly fraud and you will lose your money. Most of the fraud occurs with overseas sellers and once you send the money, it leaves the country and there is NO way to get it back, you are out of luck and out of pocket.

In all cases, caveat emptor - let the buyer beware - be warned, be cautious, and be guarded - there are plenty out there who will steal you blind if you let them, so don't let yourself be taken in by The Next great deal or Cheap Playstation 3 if it's not sold by a reputable reseller, it's not worth it.