Domain name buying & selling is a lucrative business with a low barrier to entry. This opens the door for a wide variety of public but at the same time makes it easy for people with unethical backgrounds. As Domain name industry is an open market with no real regulators, it becomes all the more easy for scammers. Therefore it is of immense importance for domain name investors to be aware of safety practices that one must take while buying or selling domain names. So here in this post, I have compiled a set of some of the most famous types of scams I have come across, ways to detect it and how to avoid them.
The Appraisal Certificate Scam
I have heard from a lot of domainers about this Appraisal certificate scam. It starts with an unsolicited email from a person posing to be a buyer. You would see an exorbitantly high initial offer and some catchy phrases in the email to show urgency. Then in the same email or next mail the guy requests you to have your domain appraised through their system .
An alert must be triggered here because if the person is interested to buy the domain and has also made an offer then why does he need an appraisal? And that too paid ?.
If you are a type of person who likes to take scammers on troll you can reply to this email and say that you are willing to sell the domain at far less price then what he offered . I guarantee that he still won’t buy it ?.
The Great domain at Cheap price scam.
Another type of scam that I have seen a lot many of domainers falling prey to is when they receive an offer to buy a high quality domain name at cheap price. These domains are most probably stolen ones or the scammer doesn’t even own them.
The scammer might as well send the domain initially to your account to gain your trust but later on you are forced to give up the domain if the original owner comes along.
I can go on and on with the compilation of scams that have been shared with the members of NamePros.com community. But the important thing is that how should one protect themselves.
So here is a list of do’s and don’ts that I have come up with which I think every domainer must follow in order to have safe domain deals.
- Always use reputed escrow services like Escrow.Com , Dn.Com , Payoneer Escrow for deals of above $1000.
- If it sounds too good to be true it ain’t as well. Don’t impulsively buy a domain through a person whom you don’t know .
- If you are sending payment of a domain name deal through “gift to friends or family” in PayPal , remember that it’s completely non-refunadable. PayPal won’t help you in refunds at all.
- Always check the whois of the domain & inquire the whois email or ask the seller to send emails through the id mentioned in the whois of the domain.
That’s it from my side. Hope you have a safe domain name deals and never come across a scammer.
Let me know in the comments below if you have any other safeguard steps that a domainer should take while doing a domain deal.