The 7 most common Marketplace scams in Canada

I've bought and sold a lot of stuff on Marketplace and Kijiji. Most of it goes fine. But the same handful of scams keep going around, and they work because they're aimed at the one moment every deal comes down to: somebody has to trust somebody first. Here are the seven I see most, and what actually stops them.

Keep one thing in mind as you read. Almost every one of these is the scammer trying to make you go first with real money, or trying to fake the part where they went first. Once that clicks, you'll spot most of them yourself.

1The fake e-transfer

This is the big one for sellers. You meet up, agree on the price, and they flash their phone at you. A screenshot of an e-transfer "already sent." Or an email that looks like it's from Interac, money on the way, just hand over the item. So you do. And it never shows up, because the screenshot was fake and the email was spoofed.

Here's the thing: a real e-transfer shows up in your bank app, not on their phone. Either it's in your account or it's a pending notice you can see yourself. Their screen doesn't count for anything. Neither does a "pending" email from some gmail address. If you can't see the money in your own account, you haven't been paid, full stop.

2The overpayment

They send too much "by accident" and ask you to send the difference back. Sounds harmless. It isn't. The original payment is fake or comes from a hacked account that gets reversed later, so it vanishes. But the refund you send is your real money, and that part is gone for good.

There's usually a story attached, a typo, a mixed-up order, an assistant who fat-fingered the amount. Doesn't matter. A real buyer who genuinely overpaid can reverse their own transfer through their own bank. Nobody legitimate needs you to refund them. If you're being asked to send money back, it's a scam. Every single time.

3The courier "they'll handle it"

They can't meet, but no worries, they'll send a courier and pay through the company. Then comes an email from the "shipping company" or "Interac" saying your money is being held safe and will release the second you send a tracking number. Ship it and you'll get paid.

You won't. There's no money being held, that email is part of the act. For a local deal, just meet in person. Anyone who can't meet but is weirdly eager for you to ship first, especially when some third company starts emailing you about held funds, is running this one.

4The deposit on something that isn't real

A listing that's a little too good. The "seller" says tons of people are interested, send a deposit to hold it. You e-transfer the deposit and then they're gone, because the item never existed. Sometimes there are a dozen other people who paid a deposit on the exact same fake listing.

5Bait and switch

Photos show one thing, you turn up and it's another. Different model, a knockoff, scratched to bits, doesn't even turn on. By the time you've clocked it you've already paid and they've already left. This one lives entirely on you not checking properly before the money moves.

So check properly. Look at the actual model and serial, make sure it powers on, look it over for damage. Boring, takes two minutes, saves you the whole problem. Don't pay a cent until it's the thing in the photos.

6The "what's your code" one

This one's sneaky because it doesn't even look like it's about money. They say they want to check you're a real person, then text you a verification code and ask you to read it back. What's actually happening: they're setting up a Google Voice account on your number, and that code you just read out hands it to them. You don't get paid. Your number gets hijacked.

Simple rule, no exceptions: never read a code out to anyone. A code texted to your phone is yours. No real buyer has ever needed it.

7The switch at handover

You're buying, you hand over the cash, and somewhere in the shuffle the box you walk away with is empty, or swapped, or it's a different bag than the one you looked at. It's fast and it counts on you being rushed in a parking lot with nobody around.

Don't get rushed. Keep your eyes on the actual item from the moment you inspect it to the moment it's in your hands. And meet somewhere public with cameras, like a police safe-exchange zone. Nobody tries the switch with a camera pointed at them.

What they've all got in common

Go back through them. Two things show up every time: somebody has to go first with real money, and there's nobody watching. The fake e-transfer needs you to hand over the item before the money's actually real. The deposit scam needs you to pay before you've seen anything. The handover switch needs an empty parking lot.

Which is why the two best habits are dead simple. Meet somewhere public and monitored. And don't let either side go first with real money. That second one is the whole reason I ended up building Settle.

This is general info to help you trade safer, not legal or financial advice. If you've been hit by a scam, you can report it to the Canadian Anti-Fraud Centre.