Is Carousell Safe? 10 Tips to Avoid Scams & Shop Securely

Is Carousell Safe? 10 Tips to Avoid Scams & Shop Securely

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Carousell is a popular online marketplace, particularly in Singapore, where you can find great deals on a wide range of pre-loved items. However, the platform has also unfortunately become a target for scammers, leaving many buyers and sellers with financial losses and a sense of frustration. In 2022 alone, a staggering two million dollars were lost to Carousell scammers. This blog post aims to equip you with the knowledge and tools to navigate Carousell safely and protect yourself from these scams.

Table of Contents:

The Dark Side of Carousell: A Growing Scam Problem

While Carousell is a fantastic platform for finding bargains, it’s crucial to be aware of the rising trend of scams. Two young sisters in Singapore recently learned this the hard way. Working part-time to buy their mother an iPhone, they ended up losing S$1,250 to a Carousell scammer. This isn’t an isolated incident; countless individuals have lost their hard-earned money to sophisticated con artists operating on the platform. The problem is so pervasive that in December 2022 alone, one million dollars were lost to Carousell scammers.

It’s essential to understand that these scammers target both buyers and sellers, employing a range of tactics to deceive their victims. Let’s delve into the most common scam methods to understand how they work.

Unveiling the Tricks: Common Carousell Scam Methods

2.1 Phishing Scams

Phishing scams are designed to steal your personal and financial information by tricking you into clicking on fake links. On Carousell, scammers often pose as buyers and send messages to sellers with links that appear to be legitimate Carousell payment pages.

These messages may claim that payment has already been made and encourage you to click on the link to confirm your banking details to receive the funds. They may even include screenshots of fake payment confirmations to make the scam appear more convincing.

What to do:

  • Never click on links sent by buyers or sellers requiring you to enter banking information.
  • Verify payments through your official bank app or website only.
  • Be wary of messages that pressure you to click on links or provide sensitive information.

2.2 Straightforward Scams

These scams are less elaborate but equally damaging. The scammer, posing as a seller, simply takes the buyer’s money and never ships the item. The two sisters mentioned earlier fell victim to this scam, paying S$1,250 for a phone that never arrived.

Scammers often try to bypass Carousell’s built-in buyer protection program, Carousell Protection, by convincing buyers to make direct payments via services like PayNow. This leaves buyers with no recourse when the seller disappears without shipping the item.

What to do:

  • Always use Carousell Protection when making payments, especially for high-value items.
  • Be wary of sellers who aggressively pressure you to use direct payment methods that bypass Carousell Protection.
  • If a seller tries to rush you into a decision or makes you uncomfortable, trust your instincts and avoid the transaction.

Don’t Be Fooled by Appearances: Unreliable Verification and Reviews

You might think checking a seller’s verification badge and reviews is enough to determine their legitimacy. However, things aren’t that simple on Carousell.

While Carousell previously used a robust verification system through Singpass, a trusted national digital identity in Singapore, this was discontinued in March 2022. Now, the “verified” badges are largely based on phone numbers or email addresses, which can easily be faked.

Similarly, relying on reviews can be misleading. Scammers can create fake accounts and generate artificial positive reviews to appear more trustworthy. Even sellers with a substantial number of positive reviews could potentially be scammers.

Key takeaway: Don’t rely solely on verification badges or reviews to assess a seller’s trustworthiness.

Your Shield Against Scams: Understanding Carousell Protection

4.1 How Carousell Protection Works

Carousell Protection, formerly known as Caroupay, is your primary line of defense against scams on the platform. It acts as an insurance program, safeguarding your money during transactions. When you pay through Carousell Protection, the payment is held securely until the seller ships the item and you confirm receipt.

If the seller fails to ship the item, Carousell will refund your money in full. This provides peace of mind, especially when buying expensive items.

There is a 4.5% fee associated with using Carousell Protection, calculated on top of the item’s listed price. While some buyers choose to avoid this fee, it’s a small price to pay for the security and peace of mind it offers.

4.2 The Seller’s Perspective: Using Carousell Protection Effectively

As a legitimate seller, you should always guide buyers to make payments through Carousell Protection. This protects both you and the buyer. When a buyer pays through Carousell Protection, you’ll receive a notification and see the order details within your Carousell app. This confirms that the payment has been made securely and eliminates the risk of fraudulent payment claims.

4.3 The Buyer’s Perspective: Safeguarding Your Purchase with Carousell Protection

When buying on Carousell, always look for the “Carousell Protection” option on the listing. If you choose to use it, make the payment exclusively through the Carousell app. Never pay through third-party apps, websites, or external links provided by the seller.

Be cautious if a seller aggressively pressures you to use direct payment methods like PayNow, especially for high-value items. This is a major red flag, and it’s best to walk away from the deal to protect yourself from potential scams.

10 Practical Tips to Stay Safe on Carousell

  1. Be Wary of Deals That Seem Too Good to Be True: Always compare prices with other sellers and reputable online stores to ensure the deal is genuinely a bargain. Remember, if it seems too good to be true, it probably is. Even if the deal isn’t drastically lower, exercise caution and consider if the price is suspiciously low.

  2. Opt for Face-to-Face Transactions: Whenever possible, especially for expensive items, meet the seller in person. This reduces the risk of being scammed and allows you to inspect the item before handing over any money. Always test the product during the meeting to ensure it’s in working order. Keep in mind that scams can still occur even with face-to-face transactions.

  3. Don’t Click on Suspicious Links: Avoid clicking on any links sent by buyers or sellers, especially those requesting banking details. Phishing links can be disguised to look like official Carousell pages, so be extra cautious.

  4. Use the Carousell App for Payments: Always use Carousell Protection and make payments exclusively within the Carousell app. This activates the insurance program and safeguards your money.

  5. Scrutinize Seller Profiles: Don’t rely solely on seller reviews and account age. Look for red flags on their profiles, such as a lack of detailed information, poorly written descriptions, or the use of stock photos.

  6. Communicate Transparently: Ask questions about the product’s condition and clarify payment methods before proceeding with the transaction. As a seller, if you request the buyer’s phone number for legitimate purposes (like providing tracking information), clearly explain your reasons.

  7. Check the URL Carefully: Examine the URL in the address bar for any misspellings or inconsistencies. Make sure it leads to the expected website (e.g., Carousell’s official site).

  8. Test with Fake Credentials: If you’re unsure about a link’s legitimacy, try entering a fake username and password. Legitimate websites will reject incorrect credentials, while phishing sites often accept them.

  9. Trust Your Instincts: If something feels off about a transaction, trust your gut feeling and walk away. It’s better to be overly cautious than to become a victim of a scam.

  10. Report Suspicious Activity: Report any suspected scams to Carousell immediately. You can find links to their help center and safety resources on their website.

QR Code Scams: A New Twist on Carousell Fraud

Scammers are constantly finding new ways to deceive people. A recent tactic involves the use of QR codes. These codes can be used to redirect users to fake Carousell websites that look deceptively real.

Once on the fake website, you’ll be prompted to enter your banking details or credit card information, which the scammer can then use to steal your money.

How to Avoid QR Code Scams:

  • Never scan QR codes sent by unknown buyers or sellers.
  • Double-check the URL after scanning a QR code to ensure it leads to the expected website.
  • Look for secure website indicators (https:// and a padlock icon) in the address bar.

FAQ: Answering Common Questions about Carousell Safety

Q1: Is it safe to share my phone number on Carousell?

While sharing your phone number can be necessary for legitimate reasons, like arranging a face-to-face meeting or providing tracking information, it’s best to be cautious. Use the Carousell messaging system as the primary mode of communication to minimize risks. If you need to share your phone number, do so after establishing trust with the other party.

Q2: What should I do if I think I’ve been scammed?

If you suspect you’ve been scammed, take the following steps:

  1. Contact Carousell support immediately. They can investigate the transaction and potentially assist with recovering your funds.
  2. File a police report. This creates a record of the incident and may help authorities track down the scammer.
  3. Contact your bank. If you’ve shared any financial information, inform your bank about the scam and follow their instructions to protect your accounts.

Q3: Is Carousell Protection worth the extra fee?

Yes, especially for high-value items. The 4.5% fee is a small price to pay for the peace of mind and financial protection that Carousell Protection offers.

Q4: Can I get my money back if I’m scammed on Carousell?

If you’ve used Carousell Protection and the seller fails to deliver, Carousell will refund your money. However, recovering money lost through direct payments or scams that bypass Carousell Protection is much more difficult. Taking proactive steps to prevent scams is always the best approach.

Carousell can be a safe and enjoyable platform for buying and selling if you remain vigilant and follow these essential safety measures. By understanding common scam tactics and implementing the tips provided in this blog post, you can confidently navigate Carousell’s marketplace and avoid falling victim to fraud.