First flip - buyer won't pay
  • Hi All. Just completed my first flip for $1500. Chose escrow as payment method. But then I got a series of messages from the buyer why he can't pay right away. He only has a +2 feedback. I hope he's not trying to scam me. What do you guys think?

    1st message:

    "For some reason escrow.com isn't allowing me to select a credit card option for payment. It might be because I initially had a Canadian address as my home address. I switched that to my USA address but it still won't let me pay be CC. So I will call them tomorrow morning. If that fails I will go the wire transfer route."

    2nd message:

    "Escrow doesn't allow CC because of the transaction type isn't one where they can automatically verify the transfer - website contents. If it was just a domain name they could but then I wouldn't be protected in the case I only received the domain without the site contents.

    I cannot do a wire transfer because my bank requires I show up at a branch location thousands of miles away. I won't be in the USA until early October.

    That leaves the check option. I can get a check to escrow by wednesday the 15th I think. Escrow takes 10 banking days to process checks. So then we are looking at the Oct 1st (if my counting is right) for them to approve payment!

    I don't like it but I am ok with this. How about you?"
    Post edited by Unknown User at 2010-09-13 01:43:29
  • I'm not sure what country you are based in, but I've had this happen before with US/Canada based buyers as they need to go into their bank which could be miles away to verify a wire.

    You could suggest something a bit quicker like Western Union, but not all buyers will be comfortable with this.

    Otherwise, I would just wait it out :) Doesn't sound like a scam to be honest.
  • Thanks for easing my mind Thomas!
  • Hey, Hartbreak ---

    Any chance of you sharing the details of your success for community learning????
  • [quote="empowerment"]
    Hey, Hartbreak ---

    Any chance of you sharing the details of your success for community learning????


    Check out this section for some success stories: http://flippingnetwork.com/forum/forumd ... php?fid=46
  • Kinda bummed it only got to $1500. Glad to get the 1st flip under my belt though.
    It was a wordpress site I built back in 2009 and monetized it with cpa offers.

    http://flippa.com/auctions/105288/Avera ... -of-google

    Started bidding at $1
    7 day auction
    Featured it with 3 days to go

    I had one interesting email though. Someone asked me:
    "My other concern is figuring out how to verify that the traffic the site
    is getting is the source of the conversions in your CPA reports. Those
    conversions could have come from anywhere. Any ideas?"

    He brought up a good point. The affiliate network I used did not track where the conversions were coming from. Oh well.

    I'd love to hear anyone's critiques of my sales copy, strategy,etc. Be Gentle!
  • Well my suspicions were correct. The buyer is BACKING OUT.

    "I'm trying to figure out how the traffic you have received since March can explain the clicks and conversion data you posted in the sales. The offer cvr is believable enough, 3% but you appear to be doing really well getting visitors to the offer page. (Or maybe the real cvr is higher to help explain why many visitors clicked to the offer page more than once) I don't know.

    Based on the data I have it would be unlikely to not see at least 1 conversion (and more likely 2) in a given weeks time. I am working on gaining access to the exact offers you are running. If I don't get a MonetizeIt conversion during the inspection period I am not going to approve the transaction. Can you confirm you want me to go ahead? If there is any concern there I would be ok with a longer inspection period and a defined objective for the period we agree on."

    Lesson learned: Never approve someone with only a +2 rating! Especially, when they email you with a bunch of concerns before he placed a bid.
  • Sorry to hear about your situation. Unfortunately what you are experiencing is not that uncommon of Flippa with more expensive sites ($1,000+). That is why very often you will see the same site being sold again and again.

    This is also why I hate having to use Escrow.com as well as we are forced to turn over so much information during the inspection period that then if the buyer backs out we have given them a lot of important information to them which they can potentially use.

    Use this as a learning experience and take steps in future auctions (as best you can) to make sure once the site sells you will ensure getting paid.




    [quote="hartbreak"]
    Well my suspicions were correct. The buyer is BACKING OUT.

    "I'm trying to figure out how the traffic you have received since March can explain the clicks and conversion data you posted in the sales. The offer cvr is believable enough, 3% but you appear to be doing really well getting visitors to the offer page. (Or maybe the real cvr is higher to help explain why many visitors clicked to the offer page more than once) I don't know.

    Based on the data I have it would be unlikely to not see at least 1 conversion (and more likely 2) in a given weeks time. I am working on gaining access to the exact offers you are running. If I don't get a MonetizeIt conversion during the inspection period I am not going to approve the transaction. Can you confirm you want me to go ahead? If there is any concern there I would be ok with a longer inspection period and a defined objective for the period we agree on."

    Lesson learned: Never approve someone with only a +2 rating! Especially, when they email you with a bunch of concerns before he placed a bid.