NameSilo

Is SEDO a scam?

Located in Domain Marketplace Reviews started by magnate, Sep 14, 2011.

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  1. magnate

    magnate Established Member

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    Well, I purchased a domain name via SEDO and I'm now in the payment process.

    They wanted a wire transfer and said PayPal wasn't allowed. I sent in a wire transfer on Sept 6th (just over a week ago) to SEDO.COM LLC, and they claimed they still haven't received it yet. Wire transfers usually don't take that long.

    Am I being scammed?
     
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  2. tomcarl

    tomcarl Top Member VIP

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    Have you even bothered to try contacting them before you started throwing the 'scam' word around?
     
  3. m-i-k-e

    m-i-k-e Top Member PRO VIP

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    No, Sedo isn't a scam. I don't have any experience with wire transfers, so I can't give you any advise on timelines there, but, you don't need to panic. Sedo handles a lot of transactions, they are a legitimate company.
     
  4. silentg

    silentg Top Member VIP

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    Wire transfers usually take 3-5 business days. They should be getting it today. If they don't then call your bank and try to find out the status.
     
  5. mis_chiff

    mis_chiff Top Member VIP ★★★★★★★★★★

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    Not sure where you are located but wire transfers to / from Canada seem to take a little longer
    I've waited up to 7 business days for completion. Doesn't seem to matter whether it's US or overseas.

    As far as SEDO being a scam - a quick google search would have given you the info,
    or even on the SEDO site itself without publicly accusing them without first knowing the facts.
     
  6. allan3139

    allan3139 Established Member ★★★★★★★★★★

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    yes,Wire transfers usually take 3-15 business days.
     
  7. scithe

    scithe Established Member

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    @OP: no.
     
  8. mosilager

    mosilager Established Member

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    Sorry, I have to agree with the majority here... I've used Sedo for over 5 years now, both buying and selling domains, and have never been scammed.

    I agree, contact Sedo before accusing them, I doubt your wire is large enough for them to scam you when they deal with $xxx,xxx sales on a weekly basis.
     
  9. Domagon

    Domagon Member VIP

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    Unless there's some slowpoke intermediate bank(s) involved and/or Sedo's bank is slow as molasses posting wires, most likely Sedo did get it, but is taking its time processing it / having difficulty matching incoming wires to sales transactions.

    At this point, contact your bank to verify the bank wire actually went out ok ... if it did, then contact Sedo and press the matter to get things moving; the squeaky wheel often gets the grease.

    My hunch is Sedo is understaffed and having difficulty processing incoming wires (matching them to transactions) in a timely manner.

    On a related note, such complaints are very common with Sedo - they're not known for speed - it's an aspect of their service that needs much improvement.

    Ron
     
  10. liquidcherry

    liquidcherry Top Member VIP

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    Well, i like to look at it from a different angle.....Sedo is moving millions(billions?) a year, we all agree right?...well, could it be like they act like all banks, making tons of money in delaying transfers/wires...??...i always was bugged by the statement"it takes 3-5 business days"(not specifically to Sedo, all are doing it)

    ...heck, it is a push of a button to transfer money these days?....this is how money is generated, put it for 3-5 business days in a special account, let it work on wall street or other places(buying/selling) and you generate a nice additional "cake topper" on the money you delay for a couple days....

    just my 2 cents.....

    Cheers

    Liquid :)
     
  11. Domagon

    Domagon Member VIP

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    I doubt Sedo is purposely holding money for that reason. I say that because the extra cost of customer support dealing with complaints / loss of goodwill / less listings / more chances of deals falling-through likely exceeds any interest Sedo would earn on the float.

    Furthermore, the bank accounts wires are being directed to might not even be interest bearing accounts...

    But even if they are, how much would Sedo realistically earn by holding funds an extra few days... probably very little; not worth the hassles / upsetting customers.

    Ie. $10,000,000 cumulative annual float x 1% apy = $100,000

    That sounds pretty good, but even 1% annual percentage yield (apy) interest accounts are rare these days, and hence the above scenario is overly optimistic ... likely off by an order of magnitude for both that reason and that the cumulative annual float (which would be far less than total annual sales), even if Sedo does play that, is likely way less than $10,000,000...

    The reality is the amount of earnings from playing such a float would likely be a lowish 5-figure number at best... imho, unless Sedo is moving billions per year, like financial institutions routinely do, playing the float doesn't seem worth the bother.

    If Sedo is purposely holding funds to earn say an extra $10K or so per year, Sedo is penny wise and pound foolish, since the extra cost of customer support dealing with complaints, combined with loss of goodwill / less sales transactions likely far exceeds that.

    Ron
     
  12. cache

    cache Top Member VIP

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    Wire transfer should not take that long. If at the day you started the transfer after your bank's "wire department" closes for that day then the wire will go out the following day. As soon as the wire goes out, it should arrive the receiving end the same day.

    I have mortgage refinance very often. Imagine that if your wire must wait 5 days, then you will have to pay double interests for both your old mortgage as well as the new mortgage for 5 days. For a $800k loan that interests amount is a lot of money. My experience is that the mortgage refinance interest overlap payment is either one day or max of two days. A lot of people would cry if the wire take three days.
     
  13. alien51

    alien51 Take Me To Your Leader VIP ★★★★★★★★★★

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    Based on what i've seen in the movies, when the bad guy asks for 1 million dollars ransom to be "wired" to his Cayman Islands account, he checks his computer and there's even an odometer-type counter which rolls all the way to 1 million.... instantaneously. Ransom paid.

    So i think wire transfers should be instant? I don't think it takes 3 days.
     
  14. Tim Schoon

    Tim Schoon Top Member VIP ★★★★★★★★★★

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    Yea that must be true. :alien:
     
  15. NPer

    NPer Very Allergic to CURRY PRO VIP

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    I am convinced now! :D They should have received payment.

    :wave:
     
  16. blossomdomains

    blossomdomains Established Member

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    No, they are not.
    Just contact them and ask about it!
     
  17. Domainate.com

    Domainate.com Top Member VIP ★★★★★★★★★★

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    That certainly seems like quite a while for a wire to them...it's been a while since I've had to send one for a purchase, but it certainly didn't take that long for them to receive it.

    I'd suggest if you have a confirmation of it on your end from your bank to scan that and attach to the transaction if possible, then keep following up with them daily and CALL if possible. The squeaky wheel gets the grease generally at these places.
     
  18. DU

    DU Secret Santa VIP ★★★★★★★★★★

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    You watch old movies. Inflation.. inflation....

    [​IMG]


    =======furthermore========

    When the OP posts "scam" and then goes away .....

    My assumption is that he got his money and moved along leaving a trail of crap in his wake. As they didn't take the time to respond in any way to any of the comments it's probably safe to assume that we don't need to keep posting advice.
     
  19. -Matthew-

    -Matthew- Established Member

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    Regarding Sedo, does using an HSBC (international) account minimise the so called 'wire transfer' cost? Pay Pal is a Monkey Shine. Do international banks alleviate the $75 Wire Transfer fee?

    Regards.matt
     
  20. Cuba Hotels Havana

    Cuba Hotels Havana Account Closed

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    Ever try to call these people or go from no account to creating one? I've trued for about ten "Cuba Hotels" "Havana Cuba Hotels" actually 15 years to sign up with them every time there is a glitch. I lose interest then retry a year or so later. Most recent attempt was less than 36 hours ago.
     

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