debate Flippa new verification process?

[James Rodman]

a friend of mine just told me flippa has a new verification process for bids over $5,000. I havent seen it yet as i havent bid that much on a domain and i think this is a new thing. I was also told you have to pay $500 by credit card and they hold the money for 1 week. What are your guys' opinion on this?I know its for security purposes but to me $500 is maybe a little too much. thats $500 i can't reinvest during the week.

Do you think this will turn off some people?

Hope to hear what other people have to say. thank you.

 

[domainerfella]

This should turn off those people who are:
Shill bidding

Determined network of shill bidders will still continue to do the same. You think $500 will deter them?

 

[eyedomainous]

High end art auction houses simply require Proof of Assets or Proof of Funds (like a letter from a respected bank -with two verified bank official contacts -that can be called).

"We confirm, that _____________________ has available the sum of _________________ USD in our bank as of this date. We confirm that these funds are fully free of any liens, debts and/or encumbrances and are clean, clear and non-criminal origin and are available in the form of ____________________."
​

Once verified, the buyer, or their agent:D, can bid on any, or all, lots. If they had to put-up $500 dollars per bid, per item, some would 'throw their nose in the air and' walk; the rest would likely make fewer bids... especially since many art auction bids come over the phone.

Also, if they do put-up $500, per lot bid, and lose the auction... you better give them their money back at the close of the auction, as sending them home without a win / the art... or their (bid) money will make that 'agony of defeat' taste all the more bitter.

 

[Ali]

Do you think this will turn off some people?

Yes. Shill bidders and people who don't pay up.

 

[James Rodman]

Yes. Shill bidders and people who don't pay up.

never had unpaid listing so far but im sure it has happened to you lol

 

[Archangel]

I've had winners get suspended the day they win. In fact, I'm dealing with such a bidder now. I've contacted Flippa and told them I won't honor the sale, as the buyer did something bad before my auction ended. Flippa does cancel out auctions at times.

never had unpaid listing so far but im sure it has happened to you lol

 

[kawalsukhi]

Its great thing to protect seller but $500 is little more to apply this kind of verification!

 

[James Rodman]

I've had winners get suspended the day they win. In fact, I'm dealing with such a bidder now. I've contacted Flippa and told them I won't honor the sale, as the buyer did something bad before my auction ended. Flippa does cancel out auctions at times.

Yea im sure its not a fun experience.

 

[Enfant]

"Certain" changes - $500 being held for one week?
A "little" bit too much - $500 paid to someone to profit on it even without selling your asset yet?
When I say Filippa, I am not being personal. And my questions to you are rythorical already... Because 20 clients multiplied by $500 = $10000 means at least $300 for you at Forex in one week

 

[Archangel]

Quick question: how many of you had ever made a $5k bid there?

 

[osamson]

Well verification is important to avoid wasting everybody's time. Since it is for 5k upwards, I see no big deal!

 

[alexlunnon]

It's great to see the discussion taking place here about our recent change to buyer certification at Flippa to maintain a safe and trusted marketplace. - here’s the communication that was sent out.

I thought it would be good opportunity to clarify how buyer certification works on Flippa and why we've added this additional layer in the marketplace.

How it works

• This additional level of premium certification is now required on a buyer’s next bid over $5,000. We’ve always had this process in place for any bid over $200 albeit with a lower preauthorization amount of $5.

• This new level requires a $500 preauthorization to be granted on your card
  
  
• Once you have accepted the preauthorization you are immediately redirected to finalize your bid or offer

• This is a one time requirement (we only ask you to do this once)

• While funds are held, they remain with your financial institution, not Flippa, and don't leave your account (see Authorization Hold)

• A premium certification authorization typically lasts 7 days with funds being marked as available at the end

• Flippa reserves the right to capture funds in the event a buyer violates the buyer certification terms by abandoning a purchase.

Why

We want to provide all buyers and sellers with a safe platform to transact on. These steps are important in realising this goal and ensuring we provide protection across all price ranges.

We will continue to monitor buyer certification and amend it where necessary to ensure it meets our goals and allows buyers and sellers to be even more successful on Flippa!

 

[Enfant]

Wow "it's great to see the discussion taking place here" how aloof and pathetic, Flippa is trying to use this forum for free advertising.

Open your eyes, please. Go to other forums and you will see how Flippa is known for mysterious bidders. On dark market people are selling Filippa's bids for few bucks. Out of all domain market places Filippa is known to be the shady one.

Any serious domainer knows that there is no guarantee, only solely verbal reputation, who is bidding on other end. Is it a real bidder or company's "representative".

Who are you, after all, to CAPTURE my funds? By "abandoning purchase" term you can mean anything you like.

 

[silentg]

@alexlunnon will the seller get share of the captured funds if buyer backs out of a sale?


@Enfant can you post proofs of this so called practices.

 

[Archangel]

1.) What's pathetic about being polite? Not everyone is a tool like you.

2.) EVERY DOMAINER ON THIS FORUM is trying to use it for free advertising. And your point is?

3.) eBay is known for mysterious bidders. And BIDO and Afternic etc. You are obviously wrong in your "Out of all domain market places Filippa is known to be the shady one." claim. I've just proven it.

4.) READ:

• While funds are held, they remain with your financial institution, not Flippa, and don't leave your account

Man, you are wrong on so many embarrassing levels.

Wow "it's great to see the discussion taking place here" how aloof and pathetic, Flippa is trying to use this forum for free advertising.

Open your eyes, please. Go to other forums and you will see how Flippa is known for mysterious bidders. On dark market people are selling Filippa's bids for few bucks. Out of all domain market places Filippa is known to be the shady one.

Any serious domainer knows that there is no guarantee, only solely verbal reputation, who is bidding on other end. Is it a real bidder or company's "representative".

Who are you, after all, to CAPTURE my funds? By "abandoning purchase" term you can mean anything you like.

 

[aditya11117]

It's great to see the discussion taking place here about our recent change to buyer certification at Flippa to maintain a safe and trusted marketplace. - here’s the communication that was sent out.

I thought it would be good opportunity to clarify how buyer certification works on Flippa and why we've added this additional layer in the marketplace.

How it works

• This additional level of premium certification is now required on a buyer’s next bid over $5,000. We’ve always had this process in place for any bid over $200 albeit with a lower preauthorization amount of $5.

• This new level requires a $500 preauthorization to be granted on your card
  
  
• Once you have accepted the preauthorization you are immediately redirected to finalize your bid or offer

• This is a one time requirement (we only ask you to do this once)

• While funds are held, they remain with your financial institution, not Flippa, and don't leave your account (see Authorization Hold)

• A premium certification authorization typically lasts 7 days with funds being marked as available at the end

• Flippa reserves the right to capture funds in the event a buyer violates the buyer certification terms by abandoning a purchase.

Why

We want to provide all buyers and sellers with a safe platform to transact on. These steps are important in realising this goal and ensuring we provide protection across all price ranges.

We will continue to monitor buyer certification and amend it where necessary to ensure it meets our goals and allows buyers and sellers to be even more successful on Flippa!

Hello ! Thanks for replying here May i know what if someone doesn't have a Credit Card ?
Are u guys planning to Add Paypal as Option too ?

 

[alexlunnon]

May i know what if someone doesn't have a Credit Card ?

We are working on a process where we will verify users identity and funds manually - its best to contact our support team if you are looking to place a bid over $5,000 and don't have a credit card

 

[Enfant]

Archangel, you can't say to anyone he is Wrong in handling HIS OWN MONEY.

Whether it's nicely or politely, I do not like Flippa to capture my funds ($500), whether they will remain with my financial institution or not. I find it.... (I will avoid the words you like to say) not suitable for me for reasons stated above.

My money = Only ME who decides.
Period.

 

[Archangel]

You have a good point. But the same works the other way, too: their business = only they decide on who to conduct it with. If you refuse to allow them to do this, they can refuse to do business with you. And unless you have a monster domain portfolio (or if you biid thousands daily), then I'm pretty sure your business isn't needed.

Period.

Archangel, you can't say to anyone he is Wrong in handling HIS OWN MONEY.

Whether it's nicely or politely, I do not like Flippa to capture my funds ($500), whether they will remain with my financial institution or not. I find it.... (I will avoid the words you like to say) not suitable for me for reasons stated above.

My money = Only ME who decides.
Period.

 

[The New Guy]

I wonder how much Flippa will make in interest on these $500 they have in their bank account for weeks at a time...

They'll make less than their credit card transaction fees.

Interest rates are at or near their record lows - how much money do you make by having $500 in a savings account for a week?

 

[D Haynes]

They'll make less than their credit card transaction fees.

Interest rates are at or near their record lows - how much money do you make by having $500 in a savings account for a week?

Fair point mate, fair point.

 

[Nick]

If you have $5000 to bid on a domain, you have $500 to temporarily part with for 1 week.

 

[JyotiG]

I think Alex has made the process clear. Moreover IMO anyone who is bidding over $5000 shouldn't be deterred by this if they are genuinely interested in buying the domain.

 

[Shams]

Also I don't really understand why they need the money for a week. Surely just having it for 5 mins is enough to make sure they have some money in their account ( although it doesn't prove they have over $5000 to spend). I think this is just a deterrent, but I worry it will act as such to genuine buyers too.

Its Credit Card Verification Process. To make sure bidder using authenticated Card. Because if there's any problem credit card companies can claim the money or put hold on that from 24-72 hours. That's why 1 Week is fair enough to make sure everything is Good and this step made the Flippa Safer place to Buy and Sell Domains,

 

[Shams]

I've had winners get suspended the day they win. In fact, I'm dealing with such a bidder now. I've contacted Flippa and told them I won't honor the sale, as the buyer did something bad before my auction ended. Flippa does cancel out auctions at times.

I also had the same problem. But i completed the sale. As far Free Flippa Escrow is involved you have no need to worry and the later on. I asked the bidder why your account showing Suspended. he said, His account is new and bidding on many listings. that's y Flippa has suspended his account and they required verification. He also send me the screenshot which i'm sharing after removal of his name...!

.

 

[james haw]

Whenever security is required there are usually inconveniences and/or hoops to jump through, whether online or physical (door locks, key-less entry, web passwords, captchas, etc). It's very annoying, but we need these things.
You could (in some sense) argue that it's a choice of having either decent security or maximum simplicity, and while the latter is nice it can have drawbacks which make things unpleasant.


I would say that "most" end users who are deterred by this are not much loss. People who are serious about bidding should welcome a system which aids in their bidding being only with other serious bidders and not foul play or time wasters.

It's only for over $5k bids, which seems prudent to me, and the fact the money isn't actually "taken" and the fact if you are going to bid $5k+ you must have $500 (or you wouldn't be able to bid $5k) makes it acceptable IMO.

It's a necessity and small inconvenience which returns some security and protection from time wasters.

If they didn't have such security, and some problems happened, people wouldn't hesitate to pounce and claim something should be done - so pre-emptive protection should be welcomed (trouble is some people need to see a problem to be able to justify a fix and cannot see the value of a pre-emptive move).