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Woman says online auction site is a scam

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Thu, 10 Dec 2009 6:30p.m.

A Whitianga woman has lifted the lid on what may be an international online auction scam.

The site, bidfun.co.nz, promises bidders the chance to win electronic goods and other items at heavily discounted prices.

But Lee Austen says it's a hoax.

She spent hundreds of dollars, wasted hours of her time, and ended up with nothing - and she's warning others not to fall into the same trap.

Ms Austen was looking for a bargain on an iPod Touch, and came across the site. Using her trusty Mastercard, she snapped up $200 worth of credits.

A new iPod touch has a retail price of $450.

Ms Austen got amongst the bidding - that's when lee realised something wasn't right.

For every dollar spent, the price of the online auction increased by just two cents, and the timer bounced up again.

Annoyed with herself, she stayed at work and played all day, into the evening and late into the night.

At 12:45am in the morning she finally gave up and went home. By the next morning she'd wasted $200 dollars and had nothing to show for it.

We asked Consumer to have a look into the bidfun site - they had a number of concerns.

There is no New Zealand email address, physical address or contact phone number.

The same site is being operated in the UK and Australia.

For the site to be shut down, a complaint would need to be taken to the Commerce Commission.

Ms Austen is convinced it's a scam, and says whoever runs the site is making a small fortune.

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Comments [33]

cat
27 Nov 2011 10:11a.m.

I find this repeated comment below from Tim above and one similar comment prior an obvious employee or person related to the site. Somehow this person knows exactly what can happen at the end of an auction???? How does he know you can win? no one here has mentioned ever winning. If you want to win, you'd either have to be very lucky or very patient. If you put in one bid and that bid happens to be the last one, and no one else is willing to up the bid, you could win something valuable to $1 (1 bid). The company still earns a fortune. It is not a scam, just a clever business model.

leica gouda
22 Oct 2010 8:11p.m.

I have been had, by this website, i am so angry at myself, i am a mum to 5, and was looking to make christmas cheaper. It is falsely named, be ware, it should be bet to win, not bid to win.... once you buy credits, use the or not, they are all theirs, can not take unused credit and refund, yesterday i lost 400.00, i am so not happy it is also paypal to where the funds go, i have used paypal for 8 years, with no problem, they are not on my side in this instance, but i do not want any one else to be roped in like i was...i have exchanged over 60 emails, they are rude, cheeky and not nice to deal with, i explained i have freedom of speech to speak of my experience, to be hit back with, don't blackmail us, and we will take legal action, it is a nasty nasty living nightmare, PLEASE PEOPLE, DO NOT USE

daniel
28 Sep 2010 6:54p.m.

I just checked three bid fun sites, Australia, uk and New Zealand. Gess what? all the bidders,$$$$ amounts,items and 148 bidders are exsactly the same. definatly a scam. they should be stooped.

cathy
29 Jul 2010 2:18p.m.

yes, I would like to know has anyone won an auction? This is really not to be true...

soren
19 Jun 2010 1:02a.m.

for god sakes. if you guys dont understand how these auctions work. dont bid on them! yes some penny auction sites can scam you if they have bots increasing the bids automatically. then you dont go to them, but go to a legit site. DO YOUR RESEARCH FIRST! ps. Ms Austen must be bloody stupid!

chuck arnold
10 Jun 2010 9:32a.m.

These people are making allot of money from what I see. Lets see I just saw abid on $20.00 worth of bidfun credits. It is at $7.68 and climbing, that would mean there would have to be 334 bids on that item seeing it goes up $.02 on each bid. At a $1.00 a credit that would equal $334.00 in bids plus the $7.48 for the item bid on. For $20.00 dollars of credit. So who are the dummies bidding. If the bid is higher than $.20 then the bid is too high. These people don't have to drive up the price they just have to sit back and watch the money pour in as it looks like the people bidding don't have a clue. It's not that had to figure out. If you wait until it close to the end of the time and start bidding and watch how many bids there are you can decide on which ones you want to win. If you realy think they are cheating that is easy to figure out also. If the same person is bidding more than 10 times on a $20.00 item then its rigged. From what I see there are allot of stupid people out there. This company is making a shit load of money. If you want to beat them you got to be smarter. For those having fun bidding a getting what you need have fun. It's just money after all.

Rita
28 May 2010 3:43p.m.

This Outfit is a Fraud Took my money $50 and will not
answer my email Bidding is a Scam

Idcrisis
22 Mar 2010 3:02p.m.

Its a scam. Their statement "Recently sold for $xx.xx" at least should contain the total amount paid by the winner, including the amount spent on bidding. The winner can theoretically pay $130.00 for a product which the sites says "sold for $5.00". Potentially the winner can pay 26 times the winning bid on the item. No complete bid history for the product. No bidding history for yourself. Cannot get unused bid credits back once you realise they are a scam.

Joe
19 Feb 2010 10:33a.m.

Richard you have to be the bumbest person in the world to believe what you commented on

Brendan Barber
09 Feb 2010 12:58a.m.

Is is a scam when they use phantom automated bidders. I am reporting them to ASIC.

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