What Are Purchase Scams?
Purchase scams involve fraudsters tricking individuals into paying for goods or services that are never delivered. This form of scam falls under authorised push payment (APP) scams or bank transfer fraud. Scammers often advertise fake products or services, ranging from vehicles and rental homes to construction work or high-value items like watches and jewellery.
How Do People Encounter Purchase Scams?
There are many ways people can fall victim to these types of scams. Fraudsters frequently post fake listings on trustworthy platforms like eBay, Gumtree, and Facebook Marketplace. In some cases, the scam can happen in person—for instance, a rogue builder offering services they never intend to complete. That’s why it’s important to stay cautious, even if everything seems legitimate at first glance.
What investment scams should I look out for?
Vehicle Purchase Scams
Vehicle purchase scams happen when scammers trick buyers into paying for a car, motorbike, or other vehicle that either doesn’t exist or is misrepresented. Fraudsters often use convincing photos and detailed listings on popular websites to lure in victims, requesting payment upfront—sometimes with a sense of urgency to seal the “deal.” Once the money is sent, the vehicle never arrives and the seller disappears. Always be cautious of unusually low prices, sellers who avoid face-to-face meetings, or pressure to transfer money quickly.
There are several red flags you should watch out for
- Meet them on a legit platform
- Price is too good to be true
- When they ask you to pay before seeing the car
In short, if someone asks you to pay for a car by bank transfer that you haven’t seen in person, you should take the utmost care and be extremely careful. Keep in mind that the scammers will be experts in manipulation and building out extremely convincing stories.
Builder Scams
Builder scams occur when dishonest individuals pose as legitimate tradespeople and offer home improvement or construction services they have no intention of completing—or do so to a poor standard. Victims are often asked to pay large deposits upfront for materials or labour, only for the builder to disappear or abandon the job midway. These scammers may even appear trustworthy at first, sometimes showing fake credentials or reviews. Always verify references, avoid cash payments, and never pay the full amount before work has started.
Things you can do to try and avoid being scammed or spot red flags
- Work specification
- Get recommendations
- Obtain quotes
- Discuss payment
In short, if someone asks you to pay for a car by bank transfer that you haven’t seen in person, you should take the utmost care and be extremely careful. Keep in mind that the scammers will be experts in manipulation and building out extremely convincing stories.