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Losing Money to Fraudulent Sellers

Posted: Fri Feb 07, 2020 3:00 pm
by Mongoose
Greetings,
Over the past few years, I've "backed" (bought) over a dozen
projects. Presently, the majority of transactions have gone
to fraudulent sellers, who defaulted and refused to ship or
answer queries.

I believe that criminal sellers are going to cost reputable sellers
business, given that the Kickstarter staff tolerates seller defaults.

Buyers, as I have discovered the hard way, have no way to
ascertain whether a seller is reputable or criminal. The kickstarter
employee staff certainly isn't screening their sellers.

Criminal sellers' strategy is to require payment long before
the 60 day credit-card charge back suspense date, thus
preventing charge-backs of fraudulent transactions.

So far I've lost over USD $600 to Kickstarter fraud; my only
options are small claims court or to report Kickstarter to
the state attorney general, as was done in Washington State.

The solution is for the Kickstarter staff and management to
provide refunds without restrictions. Kickstarter personnel
should be the ones to collect from their criminal sellers.

Re: Losing Money to Fraudulent Sellers

Posted: Sat Feb 08, 2020 8:28 am
by Heritagecards
That is horrible. KS should have some way of getting you your funds back if the item was never delivered. I know with eBay, if a buyer says something is wrong they almost always refund your money. I have heard of sellers getting screwed from buyers saying it was broken or not received when it was.

Re: Losing Money to Fraudulent Sellers

Posted: Wed Aug 12, 2020 12:30 pm
by alexcool2020
You should, of course, go to court. With a good lawyer you will be able to seek a refund of the entire amount. You can't leave this. They cheat and commit crimes.You can win the case and get your money back, and maybe even more. Maybe I'll put some money in the Bank and hire a financial adviser. This would help me calculate my budget correctly. I'm glad there are people who count your money. Speaking of financial advisors I found out here yourmoneygeek.com

Re: Losing Money to Fraudulent Sellers

Posted: Sat Aug 22, 2020 10:42 am
by Pan-tastique
This is something I hear often about Kickstarter. When a project doesn't deliver, they simply state it's "not their problem" and to "take it up with the creator". I really think they should change those policies, for their own image's sake if not for the backers. It's ridiculous how many projects have run away with thousands of dollars without any repercussions, because the backers didn't sue. I agree with Alex. Maybe try and see if other backers for the fraud projects want to join in, make it class-action.

I find it weird that we as project managers have to confirm our identity and our projects go through reviews, but Kickstarter does nothing with that information to actually check if our information has any weight behind it at all. Makes it seem like a joke, really.

Re: Losing Money to Fraudulent Sellers

Posted: Fri May 03, 2024 6:39 am
by Zeero
Sorry to hear about your ordeal. Dealing with fraudulent sellers is tough. I've faced similar issues. Considering your losses and the lack of response from Kickstarter, it might be wise to consult with an attorney, like at https://federal-lawyer.com/criminal-law/federal-appeals/houston/. They can advise you on legal options like small claims court or reporting to authorities. Stay strong, and I hope you get the justice you deserve.

Re: Losing Money to Fraudulent Sellers

Posted: Sat Aug 17, 2024 3:36 pm
by Marlow
I totally feel your pain. I’ve backed about 8 projects myself, and a couple just never delivered anything. One of them even had a ton of updates at the start, but then just went radio silent after they got the money. I lost around $200 on that one alone. It’s super frustrating because there’s literally no way to tell who’s legit. Now, I only back projects from creators I’ve heard of or ones that have a ton of successful projects under their belt. It sucks because I used to be more excited about Kickstarter, but after getting burned, I’m way more cautious now.

Re: Losing Money to Fraudulent Sellers

Posted: Sat Sep 14, 2024 7:20 pm
by llimjoell
I totally feel your pain. I've had my fair share of bad experiences with Kickstarter too—projects that never delivered and sellers who went silent. It’s really frustrating when you can’t figure out if a seller is reliable. I’ve started paying closer attention to how active the project creators are with updates and interactions, but it’s still a gamble. Kickstarter definitely needs to improve their vetting process and maybe take more responsibility for handling fraud. Your idea about them managing refunds directly sounds like a step in the right direction.