Keep in mind that not all auction venues are equal and that results can vary, sometimes within a single venue. Take eBay for example. Ebay is marketplace that allows sellers and buyers to transact via auctions and direct sales. They’ve done a great job of providing a wonderful platform for these auctions to take place, including an easy to use user interface and a rating system that lets you check out sellers. But keep in mind that ebay does not sell the products directly and does not guarantee that you will be satisfied with the results. Since no two sellers are alike, a wide range of experiences, from absolutely awful, with late shipment or no delivery of the won item, to simply great, can occur. As we mentioned, eBay has a feedback rating system that we suggest you review carefully before sending payment to any of its sellers.

We have all heard stories about auction fraud online and it is fairly common, so be wary of bidding on any sellers that have zero feedback. You are taking a risk when you do so. If it’s a $10 item, it might not be the end of the world if you don’t get it, but absolutely avoid high dollar items if the seller has no feedback.

If you plan to sell on eBay, this is a tip for you too. You won’t get much response to your postings with no feedback. One way to solve this is to buy a few items first, building your feedback rating off of purchases.

Offline auctions, where there is a live auctioneer, can vary greatly in quality as well, with each one having different terms and conditions that you need to review carefully before placing a bid. Certain Treasury auctions require items to be exported only after the winning bidder receives them. If you are bidding on a car you want at one of these auctions, make sure it is not an export only item.