Return Scam - so simple but super effective. What should I do?

[kz236]

SHORT version:

The scammer returns packages using their "own shipping label" to the same zip code as the seller's return address. eBay's "AI system" thinks the return is complete and immediately processes a full refund, despite my efforts to contact eBay beforehand to report this scam.

LONG version:

The scammer used two eBay accounts and bought 6 laptops in 4 orders(3+1+1+1) from. Total around $2400.00. After delivery, he immediately requested returns claiming the items were "not as described". I accepted returns (no choice, right?) and provided return shipping labels through eBay. Subsequently, the scammer provided his own UPS tracking numbers to the first 3 orders claiming that he returned them.(he hasn't done it yet for the 4th one) Of course those UPS packages were not delivered to me. I went to UPS and obtained their internal shipping records, which clearly showed that these packages were actually addressed and sent to random different residences in my local area (same zip code). I even visited one of these addresses and retrieved the package box with UPS label. It turned out that those are legitimate packages from different retailers or their friends. I suspect the scammer may have access to UPS internal system to illegally acquire these tracking numbers.

Following this discovery, I promptly filed reports with FBI IC3 and US postal inspection services, and also reported the scammer on eBay’s website. Then I contacted eBay customer service to submit those reports and the scanned UPS shipping records, , initiating a case with their "higher team" with the assurance of a thorough investigation. Guess what happens next? Within 20 minutes of my interaction of eBay CS, I received an email "Case #xxxxxxxxxx has been closed with a refund to the buyer. We received tracking information from the buyer that shows successful delivery. A refund of US $399.94 was issued on Mar 15, 2024 to the buyer. The refund includes the purchase price plus original shipping. " Great, isn't it? I guess there are two more refunds incoming soon for me. What a great weekend!

I have been selling online for more than 15 years (mainly on THE OTHER platform) and find it ridiculous that such basic scams are still around and so effectively working on eBay! How challenging is it for eBay to obtain detailed delivery information from shipping carriers?

Veteran eBayers, any suggestions for the next steps? Can any eBay staff offer assistance with my case?

[pereirahawk · Accepted solution]

There is a way to appeal.  I keep this information on hand, which was orginally posted by user mudshark61369.  FolIow the steps below.

You have been the victim of a fake tracking scam, the seller sends something, an envelope or small box with tracking to a different address, and uses the Delivered scan to win an Item Not Received (INR) dispute.  eBay's automated INR system is not allowed access to anything but the scan information, due to shipping company's privacy policies.  When you file a dispute and lose in the message there should  be an appeal button.  You have 30 days from losing the dispute to appeal, but in order to win you have to do some leg work.

You will have to go to your P.O. or  a local UPS-FedEx store.  You need to bring a copy of your order details page which shows your address and the tracking number with you. If you bought using a phone or tablet, you can bring that to show the clerk the order details.

You want to ask the clerk to check the label address against yours, and also to check the Package type/size weight info to see if was is appropriate for what you should have received.  If the info does not match up, you ask the clerk to write a note on Company stationary saying in general that the shipping label's address was not yours, and if applicable that the package type/size/weight was not right for what you should have received.  In your case have them also say the name on the address wasn't yours either.  Do not ask for specific address or package info, they cannot give it out.  Have the clerk sign and date the note.

Once you have the note, you can appeal the dispute ruling, or contact ebay through their Facebook or Twitter social media pages. (links below) You can write out what happened and what you found out, and add a CLEAR photo or a scan of the note to an appeal or message.  If you go the social media route which is recommended, because the reps know about the fake tracking scams you will need to have the seller's username and the ebay item number. At the end of your message give them your real and ebay username.

https://www.facebook.com/eBayForBusiness

https://twitter.com/askebay

https://www.ebay.com/help/buying/returns-refunds/appeal-ebays-decision-return-missing-item-buyers?id...

[pereirahawk]

It appears the initial round of challenging the return is completely automated, according to mudshark.  This subsequent appeal that you submit is the important step. 

I personally know of at least 5 sellers that have used the above method to win the appeals process. 

If you could please come back and post your outcome it would be appreciated. 

[simba6]

That is the fake tracking number scam. It works for both buyers and sellers.  eBay has got to address that, it's getting out of hand.

[kz236]

Thank you very much for your thorough guidance. Earlier today, I managed to obtain UPS's internal shipping records. I just submitted it along with the appeal following your instructions. Fortunately, eBay did reverse the decision and grant my appeal for the 1st order return's refund.

However, it appears that eBay covered the loss using their own funds. The scammer still got away with both the item and the refund. Since I have two more order refunds pending and another one return request incoming. I doubt eBay would extend the same resolution for the subsequent orders. Let's wait and see.

I'll also try the social media route and provide update if it is effective in shutting down these scammers.

[slippinjimmy]

Shutting down these scammers is near impossible, don't think for a minute that eBay doesn't try. Sure they can close the accounts but they just come back again with a fresh identity.

[broto_64]

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@kz236 wrote:

Thank you very much for your thorough guidance. Earlier today, I managed to obtain UPS's internal shipping records. I just submitted it along with the appeal following your instructions. Fortunately, eBay did reverse the decision and grant my appeal for the 1st order return's refund.

However, it appears that eBay covered the loss using their own funds. The scammer still got away with both the item and the refund. Since I have two more order refunds pending and another one return request incoming. I doubt eBay would extend the same resolution for the subsequent orders. Let's wait and see.

I'll also try the social media route and provide update if it is effective in shutting down these scammers.

---

I think the reason ebay had to cover from their own funds is because the money, once refunded, is gone.
That's not to say that I agree with it anymore than you do.
I also agree that more needs to be done, because any time there's a scam where enforcement has no teeth you can believe it's going to get worse.

[kz236]

Shutting down all of them might be impossible. However, since eBay granted my appeal, they should have learned that this specific customer is definitely a scammer. The fact that he still have 2 return refunds pending is really hilarious to me. I highly suspect that eBay would continue to decide in the scammer's favor for the rest of his orders. I, on the other hand, probably still have to go through all the same ordeal to fight for my money back. eBay's system and customer service are a real mess to me. 

[kz236]

The most unfair thing is that:

The scammer only needs to input a few tracking numbers on their eBay account, whereas I've had to travel to multiple locations, engage with various individuals, and dedicate numerous hours to gather all the evidence. It is incredibly frustrating and tedious for me to go through the process and fight back against the scammers. Despite all my efforts, the scammer still managed to get away with the item and the money, and I am still on the brink of losing everything. Even if I eventually win this (not to mention a possible credit card chargeback), I can smell that the scammer is sitting in front of a computer laughing at my foolness.

eBay really needs to figure out something to actually protect its customers.

[ittybitnot]

@kz236 

To what city/state did you ship these products?   Is it to a freight forwarder (typically Delaware, Florida, Oregon)?  

Some reading for you: 

https://community.ebay.com/t5/Selling/Buyer-using-USPS-return-scam-Ebay-decided-case-in-buyers-favor...
https://community.ebay.com/t5/Selling/Help-Miami-Freight-Forwarder-says-wrong-item-sent-and-returnin...
https://community.ebay.com/t5/Selling/Getting-screwed-over-for-months-as-a-seller-on-on-an-blatant/m...
https://community.ebay.com/t5/Selling/Ebay-refunded-a-buyer-without-me-getting-my-item-back-from/m-p...
https://community.ebay.com/t5/Selling/Return-scam-nothing-new/m-p/34302635#M2358896
https://community.ebay.com/t5/Selling/The-new-buyer-scam-and-eBay-s-ignoring-Policy/m-p/34301810#M23...

[pereirahawk]

Glad I could help. 

You should win all the appeals because Ebay is incorrectly refunding a buyer/scammer fraudulently circumventing the return process.

I believe you stated there were three or four separate orders; for each order, report the buyer for fraud.

Please come back to post on the the rest of the return outcomes.  

[kwhisenand]

File with his and your police , then get a report , then take the theft off off your taxes, not deduction , remove from your total, get a trip in mind to visit maybe