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OZtion offers 100-point seller identity check

Business IT - Technology

When bidding in an online auction, how do you know the seller is who they claim to be?

'Reputation' systems are all very well, but you can't tell whether or not a scammer has set up multiple accounts to create a false history as a prelude to a scam.

OZtion, which claims to be the second largest online auction site in Australia, thinks it has the answer. Sellers can have a '100 point' identity check carried out by Australia Post, which requires a similar level of documentation as opening a bank account or establishing an identity for most government purposes such as a Working with Children Check or registration as a health professional.

The optional check costs $A20, and verified sellers are identified on the site with a special icon.

"Online scams and fraud are still a common problem faced by Australians when they are shopping online," said OZtion MD Philip Druce. "Many popular online sites make it easy for scammers to setup fake identities, and rip people off. The Australian Government should be doing more to stop scammers."

Sellers that do not wish to go to as far as a 100-point check can choose to be 'phone verified' instead. This free service automatically calls the seller's nominated Australian fixed line number and provides a one-time password that must be entered into a web form to complete the verification process.

While this process is better than nothing, it doesn't sound hard to get around. With the wide availability of wireless broadband, all a scammer would need is a minute or two alone with a fixed line phone.

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