Consumer Alert Roundup: Penny Auction Sites, Advance Fee Loans and Automotive Service Scams

The Better Business Bureau has issued a slew of consumer warnings recently, so to make it easier for you to keep on top of them all, Consumer Ally decided to condense and combine a few below for your convenience.

Dicey Penny Auction Sites

Penny auction sites may be popular, but many are decidedly below board, and the BBB cautions consumers to research these sites carefully before making any bids.

Penny auction users typically set up an account and purchase bids with debit or credit cards. Bids may cost less than a dollar and are often sold in bundles of 100 or more. Every item auctioned is subject to a countdown clock, and as more people bid, the cost of the item rises while more time is added to the clock. But unlike regular auctions, even losing bidders are forced to pay up.