Penny auctions were listed under Free Trial Offer scams in a BBB release, earlier this year, Scammers Were Alive and Well in 2010.
“Not So “Free” Trial Offers – Misleading free trial offers online for diet supplements, penny auctions and money making schemes blanket the internet resulting in thousands of complaints every year. The free trial offers seem no-risk but complainants state they were repeatedly billed every month and found it extremely difficult to cancel.”
With all the new penny auctions coming on the scene offering “free” bids and instead charging unaware consumers’ credit cards, as well as marketing by way of fake news sites (though not all penny auctions are scams), it was only a matter of time they be put under the same category.
Where Were They?
Penny auctions have been in the US since the many Swoopo clones that appeared in late 2008, yet here we are in 2011 and the mainstream media & regulators are seemingly just now finding out about them.
In the meantime, thousands of consumers are still being cheated by less-than-honest scammers, who are making much more than pennies.
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