Thursday, August 21, 2008

Bait and Switch Camera Scam

Friends often ask me what digital camera they should buy for themselves, when I offer my advice, some will research prices online. They will often see a few suspicious stores that offer surprisingly low prices (BroadwayPhoto.com for example) and will ask me about it. I decided to do some homework and find out how and why these retailers had such low prices (for example, a Canon 1ds Mk3, which normally sells for around $8k, a suspicious retailer like Broadway Photo will offer the camera for under $6k!!) and if there was a scam involved...

This is how I discovered about the bait and switch online scam. You order a camera from one of these online camera retailers for a suspiciously low price. When you click the buy it now button, you are requested to call the retailer to confirm your order. When you do so, they will try and sell you a bunch of accessories and warranties you didn't want. If and when you refuse their extras, they will often send you a suspicious non-US (product you cannot get a warranty on in the US market) product, or a used product. Of course, the horror stories and scams vary, but this is the general idea.

Just keep this in mind when you see a surprisingly low price on a camera product from a retailer you have never heard of before!


Here are 2 interesting videos discussing the "bait and switch" scam:



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