Medium riskMarketplace

Damaged Item Refund Scam

In this scam, a buyer falsely claims an item arrived damaged, broken, or not as described, demanding a partial or full refund while keeping the item, sometimes using photos of a different product.

Quick verdict

Risk level
Medium risk
Scam type
False dispute (seller-targeted)
Main red flag
A buyer demands a refund for 'damage' but resists returning the item.
What to do first
Ask for clear photos and require a return through the platform before refunding.

What to know first

In this scam, a buyer falsely claims an item arrived damaged, broken, or not as described, demanding a partial or full refund while keeping the item, sometimes using photos of a different product.

Marketplace scams target both buyers and sellers on platforms like Facebook Marketplace and classified listings. Fraudsters fake payments, send bogus "buyer protection" emails, push deals off-platform, or use overpayment tricks to make you ship goods or send money for nothing.

The core pattern to watch for is clear: A buyer demands a refund for 'damage' but resists returning the item. Ask for clear photos and require a return through the platform before refunding.

Related tricks worth knowing: the Item Not Received Chargeback Scam and the Overpayment Scam. For the wider picture, browse the Marketplace Scams guides or run the message through our scam checker.

Scam statistics

$1.4B
reported lost to fraud that started on social media in the US in 2023
Source: US Federal Trade Commission
Top category
online shopping is consistently among the most-reported fraud types to the FTC
Source: US Federal Trade Commission

Tell-tale red flags

  • A damage claim with vague or mismatched photos
  • Refusal to return the item for a refund
  • Pressure through threats of bad reviews or disputes
  • A demand for a partial refund to 'keep the hassle down'
  • A buyer with a history of similar claims

Staying safe

  • Document item condition and packaging with photos before shipping
  • Require a return through the platform before issuing refunds
  • Handle all communication and refunds through the platform
  • Report buyers who repeatedly abuse claims

How it usually reads

Example pattern, not a real report
Example pattern: 'It arrived smashed. I want a partial refund of 60% but I'm not going to bother shipping it back. Refund me or I'll leave bad reviews.'

This is a fictional, anonymised example used to illustrate the pattern. It is not a verified real message, and any names are used only to show how the scam typically reads.

What to notice: A buyer demands a refund for 'damage' but resists returning the item.

Steps if you already acted

  • Respond to any dispute with your pre-shipping photos and evidence
  • Do not refund off-platform or before a return where required
  • Keep records of packaging, postage, and messages
  • Report a clearly abusive buyer to the platform

Common mistakes

  • Do not issue partial refunds without a return when in doubt
  • Do not give in to review threats without evidence
  • Do not communicate or refund off-platform

Scams like this one

Medium risk Marketplace

Item Not Received Chargeback Scam

In this scam, a buyer receives an item but falsely claims it never arrived or was empty, then files a dispute or chargeback to get their money back while keeping the goods.

Created by Scam or Safe Editorial Team
High risk Bank & Payment

Overpayment Scam

A buyer, employer, or 'client' sends you a payment or cheque for more than they owe, then asks you to send the extra back. The original payment is fake or is later reversed, leaving you out of pocket for the refund you sent.

Created by Scam or Safe Editorial Team
Medium risk Marketplace

Bait and Switch Listing Scam

This scam uses an attractive, underpriced listing as bait. Once you enquire, the seller says the item is gone and pressures you toward a different, inferior or overpriced item, or to pay a deposit on a 'similar' one.

Created by Scam or Safe Editorial Team

Your questions answered

How do I protect against false damage claims?
Photograph the item and packaging before shipping, ship with tracking, and require returns through the platform before refunding so decisions rest on evidence.
The buyer threatens bad reviews. What should I do?
Respond calmly through the platform with your evidence. Platforms weigh records over threats, and abusive reviews can often be reported.
Can I tell a genuine claim from a scam?
Not always at first. Treat each fairly, ask for clear photos, and require a return; genuine buyers usually cooperate.
Should I just refund to avoid trouble?
Not without evidence or a return where appropriate. Let the platform's process decide using your documentation.

Last reviewed June 2026 · Written & reviewed by the

Disclaimer: This page provides educational information only to help you recognise common scam patterns. It is not legal, financial, cybersecurity, or law enforcement advice, and it does not confirm whether any specific message, company, or person is genuine or fraudulent. When in doubt, contact the official organisation directly and report concerns to your local authorities.