Online Buyers with PayPal Scam, beware!

A friend of mine, Diane (not her real name) recently posted a sale notice for her car up on www.mudah.my out of curiosity, since she was planning to sell the car anyway.  Not long after that she got a response from someone who claims to be interested to purchase.  She did not pay attention initially because she thought it was just out of curiosity as well.  As the same person came knocking a few times so she thought she give it a go.

The buyer told her that he would make payment through PayPal and Diane agreed because she already has a verified account with PayPal.  He asked for her PayPal account e-mail and she gladly furnished it.  The price she put for the car was RM35,000.00 and there was no negotiation or haggling from the buyer. And the best thing was he didn’t mind not being  able to view the car because he claims to be out at sea in Bermuda.  Before she knew it, the buyer had already initiated the transfer to her PayPal account and swiftly got an e-mail from PayPal telling her that RM35,000 plus a shipment cost of RM4,000 was in transit, pending further instruction on completing the transaction. 

Wow. What a generous buyer.  No haggling and still cared to pay for the shipment cost.  He won’t  even view the car!

The next mail from PayPal told her to make use of the RM4,000 and pay it to the designated courier company in order for them to collect the car from her.  The only problem is that the money is still in transit.  This ultimately means that she would have to use her own money first to pay the courier company upfront so they can collect the car and verify that the transaction is genuine and Diane can get her RM35,000.00 for the car sold.

Diane was troubled by this predicament and asked around in facebook if anyone has experience with PayPal transactions. 

I responded “I have a PayPal account but never used.  Care to donate? I’ll give you a link”

Soon I got a call from Diane and she told me her story.  I told her this whole scene smells fishy and asked her to forward me all the e-mails so I could study the matter further.

Here are the e-mails from the buyer and PayPal;
***********************************************************

Date: Sun, 7 Nov 2010 20:58:54 -0800
Subject: Re: GEN2.
From: johnsonmichiel2010 at gmail dot com
To: diane********

Hello

  how i wish to come and view what am buying from you.but am currently out of state....i'm a marine engineer who's on a ship right now at Bermuda......I would want you to know that i will be paying via PayPal and i would pay the paypal transfer charges too...due to the distance as i'm in Bermuda presently...I want you to provide me with the following information for me to proceed with the Payment...

Name

Your PayPal e-Mail Address :

Amount

I would like you to know that after i make the payment i would tell my Private Courier Service to come and pick it up at your address once you receive the payment into your PayPal account.

Have a nice day.

************************************************

Date: Tue, 9 Nov 2010 09:39:32 +0800
Subject: Notification of Instant AUTOMOBILE Payment Received from Mr Johnson Michiel(Transaction ID: 4WR6072127779652U)
From: service@europe-paypal.com
To: diane******

Nov,9  2010 Transaction ID: 4WR6072127779652U

Hello Diane*******,

This email confirms that you have received an Instant payment of 39,000.00 RM from Mr Johnson Michiel(johnsonmichiel2010 at gmail dot com) via PayPal AUTOMOBILE Payment Service.

Reversals : This method of payment can not be reversed.

Status : Pending - Transport Company Awaiting Payment.

View the "NOTE" of this pending transaction below

Payment Details

Amount:		35,000.00           RM
Agent Charges: Taxes and Insurance: Total:		4,000.00           RM         ---  39,000.00            RM
Transaction:		4WR6072127779652U
Quantity:		1
AUTO Title:		Gen 2

  

Transport Company: " GP COURIER EXPRESS " Name:LAW AI LAN. ACCOUNT NUMBER: 326-015278-025 NAME OF BANK: HSBC BANK. Address Status: Confirmed

NOTE:  This is to confirm to you that the said amount has been successfully transferred by the Sender and been deducted from his Bank Account which is ready to be credited into your account, been that this Payment has been subjected to be a Payment for an AUTOMOBILE purchased from you, we reserve the right to make sure this transaction is safe and secured also to verify the legitimacy level on this transaction because of the high sum of funds involved.

The above sum has Included the transport charges and taxes as we and the Transport Company quoted for the buyer (as per PayPal AUTOMOBILE PAYMENT POLICY). You will receive a Message from the PayPal Customer Verification Department Shortly informing you on how to send the Transport fares and taxes to the transport company with the above details as soon as possible.

You may contact PayPal customer service by Clicking Here or reply directly to this email by using the reply button in your Mail Box and Quote the Above Transaction ID for quick recognition of this transaction.

Sincerely,

The PayPal Team. 

PayPal Email ID PP307

************************************************

Date: Tue, 9 Nov 2010 09:45:46 +0800
Subject: Important Information on how to complete your recent transaction (Transaction ID: 4WR6072127779652U)
From: service@europe-paypal.com
To: diane********

 Dear Diane*************

      You have received a PayPal Payment of 39,000.00 RM from Mr Johnson Michiel (johnsonmichiel2010 at gmail dot com).

We've placed a temporary hold on the funds of this transaction

As mentioned in the receipt of Payment and as per New PayPal Payment policy, we have fully debited the total amount (above) from the buyer's account which included the Transport/Delivery Charges (GP Courier Service). 

In order to complete this transaction and get the funds approved in your account. We advice you go to nearest Bank Point, and send the excess sum of  4,000.00 RM to the Transport Agent and send us a Scanned Copy/Photograph of your Bank Receipt (in .JPG Format).

NOTE: This is important as a security measure to ensure safety of this transaction.

Please, find below the name and address of the Transport Agent where the Funds would be sent via HSBC.

Transport Company: " GP COURIER SERVICE "                                          Name on Bank Account:LAW AI LAN.                                          ACCOUNT NUMBER: 326-015278-025                                          NAME OF BANK: HSBC BANK

Your Account will be credited accordingly upon the receipt of payment requested. Should be sent in JPG format.

You may contact PayPal customer service by Clicking Here or reply to this message directly using the reply button in your email to submit the required information and include either transaction ID or reference number (PP307) quick recognition of this transaction.


Sincerely,

The PayPal Team

PayPal Email ID PP307

Date: Tue, 9 Nov 2010 09:50:20 +0800
Subject: Payment Have Been Made
From: johnsonmichiel2010 at gmail dot com
To: diane********

Hello,

I have just completed the Payment of the car and i am sure you have received the confirmation from PayPal regarding the Payment, you can check your e-mail for confirmation of payment.I want you to send me your address so that the pick up can be arranged, the car would be picked up by the shipping Company which I've been using for a while and they're very reliable.I made an extra payment 4,000 RM and i am sure you noticed that,You'll have to send the extra amount to the Shipping Company through bank deposit as soon as possible, so that they can come ahead for the pick up and also you should send the necessary bank deposit Payment Information to PayPal for verification so that they can release the money to your asap. I will need you to send the excess fund to my pick up agent Headquarters where they normally confirm any commission payment to bank. Here is the info needed to send the money through their bank account.

Name on Bank Account: LAW AI LAN

ACCOUNT NUMBER: 326015278025

NAME OF BANK: HSBC BANK

I would like you to send me your full contact for the pick-up, You should send the money soon so that the Pick Up would be scheduled and you would know when the Pick Up would commence. Make sure you're home. So just make sure you send the extra amount to the Shipping Company asap so that you can get your money immediately.

It's Nice Doing Business With You.

Get to mail me back soon with your address. 

***************************************************

Now it doesn’t take a commercial crime investigator to smell the scam.

I asked if she logged in to her PayPal account to monitor any transactions and she said there was nothing shown throughout her account.  No transaction whatsoever.  I told her if there was any suspension of any amount, it will definitely be shown in the account details.  I also told her to monitor her account for the next few days to see if there are any incoming or pending payment and transactions.

After all is said and done, I told her to ignore everything else after this and get on with life. It seems that they are only interested to speed up the shipping process which involves RM4000.  Not the condition of the car, not the value of the sale and not even the RM35,000 that has changed hands despite the fact that it is invisible. 

“If the buyer insists that his money has been deducted and demands for a refund, just tell him that there is nothing shown in your account, therefore there is no proof of any transaction, only e-mail conversations, which are as good as verbal rubbish. Tell him that unless you see RM35,000 floating in your account, you're not doing anything. Period!  Check all e-mail you’ve received from PayPal and pay attention to the address.  I don’t think I’ve ever received any mail from Europe-Paypal. Heck I can also tell you that I have transferred RM4000 to your account and demand that you give me back; if you haven’t seen the transaction it means that the transfer is pending, so use your money first la… boleh?” I told her.

FYI, www.europe-paypal.com is not even a complete website…. Please lah…

There are so many ways for people to cheat these days and RM4000 is a lot of money. Not four, not forty nor four hundred.

“If he keeps harassing you, just report the case to the police.  They would have enough lead based on the valid bank account and name to start an investigation” I told her.

“If you are curious and adventurous enough, and think it’s worth your time, do ask for the Courier agent’s phone number and dig for more information”  I added.

And she did.  She got the agent’s number and called her. She asked for the agent’s address and she asked back “Why?”

Diane told her RM4000 is a lot of money and she wants to hand it to her personally, therefore she wants an office address. Guess what the agent said; their office is in Seremban. And Diane said “Well and good! I know Seremban like the back of my hand!

The agent paused for a long while, then told Diane that she would e-mail the address soon… but till now Diane got nothing.

“I guess they know I know…” Diane updated me.