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The Met and its fraud busting initiative, Sterling, have today joined forces with eBay to offer consumer education about how to stay safe when trading online.

eBay is also banning the use of money transfer providers as a means for paying for transactions on eBay.co.uk, a move welcomed by the Met as a means of reducing the risk of online fraud.

Detective Chief Superintendent Nigel Mawer, head of the Met's Economic and Specialist Crime Command, said: 

"As part of the ongoing work undertaken by the Met's Sterling Proactive Prevention Team, we are pleased to lend our support to eBay who, as of today, have announced their intention to ban the use of 'money transfers' as an acceptable method of payment for goods.

"Working together with responsible companies like eBay, we can arm consumers with the necessary advice to ensure that they are in a position to make informed decisions before parting with their hard earned money.  We are now working with eBay and hope to extend this initiative to other Internet auction sites in the future."

In order to stay safe when using online marketplaces such as eBay, consumers should follow these simple steps:

• Get to know the rules and advice given by the site - they are in place to ensure user safety. Never step outside of these or outside of the site no matter how enticing the deal. Fraudsters will try to trick you into doing this. Like any popular activity you must ensure you know 'the rules of the game' because 'A little knowledge is a dangerous thing'.
  

• When looking at an advertised item compare pricing. Remember 'If an offer sounds too good to be true it probably is'. 
  

• Never use money transfers or direct banking transactions to pay for goods - even if this payment method is suggested by the seller after an item for auction has been 'won'. Because of the cash-to-cash nature of these services, there is little recourse to the buyer once the money transfer transaction has been completed. You are effectively sending your hard earned cash to a stranger 'on trust' alone.
  

• Use a reputable ESCROW account to pay for items (This is a payment system where both buyer and seller's financial details are held separately and in isolation by a legitimate third party company acting as 'middleman'. Payment is only made once the goods have arrived and been deemed satisfactory) - by doing so your transactions will be better protected and often insured.
  

• Don't get carried away in the excitement of winning an auction. Fraudsters rely on you being over keen and off your guard. It is never too late to ask questions of a seller to ensure that you are completely happy with what you are about to pay for. Do not follow through if you think it is a fraud - report the seller to the site. 

Garreth Griffith, Head of Trust and Safety at eBay.co.uk, said: 

"Trading on eBay using secure payment services such as PayPal is very safe.  But fraudstersdo sometimes try to tempt people 'off eBay' by promising better deals when really they are just trying to get beyond eBay and PayPal's protection.

"Unfortunately, when this happens, we can no longer provide that protection through our safety checks, security systems and the eBay Purchase Protection or PayPal Buyer Protection services.

"Stopping the use of money transfer systems will go a long way to clamping down on fraudulent activity.  We are pleased to have the Metropolitan Police's help with the ban and for the education campaign that we will mount in the run-up to the ban's enforcement to educate our users."

Paul Goggins, Home Office Minister, said:

"This new public awareness initiative is another excellent example of effective cooperation between the police and businesses in highlighting the dangers of fraud and working together to prevent it. The Met Police have taken a proactive approach to policing fraud and financial crime with Operation Sterling, and this new initiative with eBay demonstrates just what can be achieved.

Further information on the work of Sterling, preventative advice for consumers and details of this partnership can be found at www.met.police.uk/fraudalert

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16 December 2005