Exposed! Craigslist Secret Code Scams and How to Avoid Them

Ever fallen for deceptive techniques used by marketplaces? If yes, don’t be a prey next time. If you are shopping savvy and always on Craigslist for the best deals or jobs, or if you sell to make quick pennies: You are not safe my friend!

The scheme players can empty your bank accounts and shatter your trust in the platform with just an intelligent deceiving trick, if you are not wary. So, learn with us the technique, strategy, and prevention methods, you can work on to keep yourself safe.

Raise a step to learning Craigslist’s most common, yet wrecking scams both buyers and sellers become food for.

What is Craigslist secret code scams: For your understanding

The secret code scam is a technique that targets both buyers and sellers, tricking them into providing sensitive information by using a fake “secret code.” Here’s how it typically works:

• A buyer contacts a seller to purchase an item. 
• The scammer pretends to be interested in buying the item and asks the seller to provide them with a “secret code” that was sent to their phone via a text message. 
• The scammer claims that they need this code to verify the seller’s identity and proceed with the transaction.

Result: The unsuspecting seller thinks that this is a legitimate request. He provides the code to the scammer. The scammer then uses this code to hack into the seller’s account and gain access to their personal and financial information, such as bank account details and credit card numbers. 

The scammer may also use the code to carry out a fake payment transaction, leaving the seller with nothing in hand.

The secret code scam can work the other way around as well. A seller may receive a message from a potential buyer asking them to provide a secret code to verify their identity. The seller, thinking this is a legitimate request, provides the code to become a victim of the scam.

Recently reported scams, people are exhausted of

Scams have become prevalent in recent years. People are being insensitive and careless about their personal information and ways to secure it. This is the lesson to learn if you are trading on Craigslist. Let’s discover some of the recent scams reported. 

Kauai police warn of online housing scam on Craigslist

The scammers claim to be legitimate and ask the buyers to provide with secret code malevolently shared. They take away the funds and never appear. 

“Renters or prospective home buyers are strongly encouraged to meet homeowners and rental or real estate companies in person when verifying property,” said Investigative Services Bureau Acting Capt. Kennison Nagahisa. “Sight Unseen property transactions are highly discouraged, as verifying the property owner’s identity can be impossible.”

Google Voice verification codes

A seller posted a high-end camera for sale on Craigslist. A  buyer contacted the seller, expressing interest in purchasing the camera, then asked the seller to provide a secret code sent to their phone to verify their identity. The seller provided the code, and the scammer used it to access the seller’s PayPal account and transfer the money out of the account. The seller was left with no camera and no payment.

Technology items scam

Seller posted a laptop for sale on Craigslist. A potential buyer contacted the seller, claiming to be interested in purchasing the laptop. The buyer asked the seller to provide a secret code sent to their phone to verify their identity. The seller provided the code, and the scammer used it to access the seller’s bank account and make fraudulent transactions, leaving the seller with a drained bank account.

Car scams

In a different case, a buyer contacted a seller expressing interest in purchasing a car listed for sale on Craigslist. The buyer claimed that the seller needed to provide a secret code to verify their identity before proceeding with the transaction. The seller provided the code, and the scammer used it to access the seller’s email account, where they found personal and financial information that they used to carry out identity theft and other fraudulent activities.

A Corpus Christi family looking to surprise their daughter with her first vehicle ended up getting a surprise of their own when they fell victim to a Craigslist ad for an SUV. https://t.co/1O1CLlZtpH

— WFAA (@wfaa) April 6, 2023

Spot-on: How to know if the secret code scam is going to happen

You can always listen to your nerves when something bad has to happen and look for certain clues too. Read here:

Stronghold to providing secret code: Be wary of anyone who asks you to provide a secret code sent to your phone or email address. This could be a sign that they are attempting to gain unauthorized access to your accounts or personal information.

If someone asks you to provide a secret code, do not share it with them. Instead, ask for 

• more information about why they need it and try to verify their identity through other means.
• checking their Craigslist profile or asking for their phone number and verifying it independently.

Too good to be true, it’s impossible: If you have encountered a person who is selling for the terms which can not be true in real terms then don’t fall for it.

Language non-proficiency can be a hit too! Look out for red flags such as poor grammar and spelling in messages from potential buyers or sellers, as this could indicate that they are not legitimate.

Again! Trust your instincts. If you think something seems off or suspicious, it’s always better to move on the side of caution and avoid further negotiations.

Help yourself: Tips to avoid falling victim to scam

Only You are the person who can protect yourself in the first step. So follow these methods as a first line of defense against such insidious schemes.

Craigslist has given you anonymous systems: Use Craigslist’s anonymous email system to communicate with buyers or sellers. Avoid sharing personal information such as 

• your email address, 
• phone number, or 
• home address, until you have verified the legitimacy of the other party

Secret code is to be kept secret: Never provide a secret code that has been sent to your phone or email address. Scammers use secret codes to gain access to your accounts or personal information, and providing this information can leave you vulnerable to fraud.

Public space is best: Always meet in a public place to complete the transaction. This can help ensure your safety and deter scammers from attempting to carry out fraudulent activities.

Ensure the trader’s credibility: Verify the identity of the buyer or seller before completing the transaction. You can do this by checking their Craigslist profile, verifying their phone number or email address, or even asking for a photo of their driver’s license or other identification.

Pay through secure ways: Use secure payment methods such as PayPal or Venmo, which offer protection against fraudulent transactions. Avoid using wire transfer services or sending cash or checks through the mail, as these methods offer little to no protection against scams.

Befriend with a reliable VPN: Having a reliable VPN will keep your information intact and avoid leakages. Also, the tactics you will come across will go through an encryption tunnel. PureVPN can help you best in the process.

Got scammed! This is the next step

Craigslist scams are difficult to deal with and can’t be caught easily. The only way is to shield oneself after the scam. Here’s how:

Protecting your data is the main goal now!

Reporting to Craigslist is the first step after which you should

• Change your password.
• Contact your bank and ask to take precautionary measures

Report the scam to the authorities

• Use the reg flag icon to alert others and contact Craigslist about the incident.
• The Internet Fraud Complaint Center is there to resolve your issues.
• File a complaint on the FTC complaint form and hotline (877-382-4357).
• The local police department must be involved too.

Understand the criticality of identity theft after this

• Reporting Federal Trade Commission (FTC) and Better Business Bureau (BBB) is a must-to-do. To protect yourself against further identity theft and data leakages opt for PureVPN.

Can Craigslist help you in dealing with scams? 

Craigslist has been wary of these rising scams and is taking measures to keep a check on them. The platform works best to provide you with the service, but due diligence is always needed while you are open for transactions.

Community moderation: Craigslist relies on its community of users to report any suspicious activity or scams they encounter on the platform. The site offers a flagging system to allow users to report suspicious ads or emails, which are then reviewed by the site’s moderators.

Terms of use: The market uses strict terms of use that prohibit illegal activities, fraudulent or deceptive ads, and spam. It secures the right to delete any ad or block users.

Safety tips: Craigslist provides users with safety tips and guidelines on how to avoid scams and fraudulent activities on the platform. These tips include 

• avoiding deals that seem too good to be true, 
• not wiring money, and 
• meeting in a public place when conducting transactions.

Verification system: Craigslist has implemented a phone verification system for some categories, which requires sellers to provide a valid phone number to post an ad. This helps to prevent fake or fraudulent ads from being posted on the platform.

How can you report scams on Craigslist?

If you come across a scam on Craigslist, you can report it to Craigslist:

1. On the Craigslist website, you can flag a suspicious post by clicking on the “prohibited” link at the top of the post. 
2. This will bring up a menu where you can select the reason for flagging the post, such as “spam” or “fraud.”
3. You can contact Craigslist directly by email at abuse@craigslist.org or by phone at 415-566-6394. Make sure to include as much information as possible about the scam, including the title and URL of the post, the email address or phone number of the scammer, and any other relevant details.

After that you can proceed to reporting to law enforcement agencies or local police.

Conclusion

It sounds strange! Why would you put your information in strangers hands? These scams have been here for years now! So, it is now the right time to take a pledge that we will secure our personal information, never provide it to anyone, be extra careful while on the marketplaces and will contact the legal authorities, in case of any mishap.

The blog has covered the red flags which you must consider while trading on Craigslist or any other marketplace. Many of us have been fooled by these not so decent people, who work only to scam. Keep yourself updated! Keep yourself secure!

Frequently Asked Questions