Thursday, April 5, 2012

The QuiBids Racket

"QuiBids.com is the largest penny auction website operating in the US. Penny auction websites attract people by promising big ticket items at unbelievably low prices - for example, QuiBids shows a new iPad, which retails at $499 for the most basic model, selling for $22.54. But this winning bid of $22.54 is misleading. You are only able to bid a single penny at any time during the auction. However, at QuiBids.com, you must purchase each 1 cent bid for 60 cents. So an iPad that retails for $499 but was won for 2,254 one cent bids (or $22.54) means that the iPad just sold for $1352.40. Though the person who wins the item usually has paid less than retail, citing $22.54 as the winning bid is extremely misleading. So is QuiBids a Scam? First of all, they require people to pay for the option to bid, but don’t allow them to bid in increments of their choosing. This means that QuiBids is forcing the price up. Second, on eBay the seller and buyer have the auction monitored by the website, which is the trusted third party. On QuiBids.com, there is no trusted third party. QuiBids is the seller and the auctioneer. It works in their favor - and their favor only - to drive the price up. Third, QuiBids attempts to redeem themselves by offering you the “By It Now” option, which is when you can take the total amount of your failed bids and apply that toward the retail price of the item you were bidding on. Say you bid $80 total on an iPod Nano that cost $150. For the remaining $70, Quibids will sell you a Nano. Well, $70 plus tax, fees, and shipping and handling. With the added “fees,” tax, and S&H, that Nano will cost you more than it would at Apple, and usually much more than it would at a Amazon.com or Target. Fourth, QuiBids is not an approved retailer of any major brand name products.  This means that if you get the item from them, the manufacturer warranty is void – if it breaks within the first 60 days, you will not be able to get it repaired or exchanged. If you have a problem within the first 30 days, QuiBids will refund the final auction price you paid, but not a single dime of the bids it took to win the auction. Stick to legitimate auction sites like eBay." (Reviewipedia)