Tips to Avoid Getting Scammed When Buying Used Cars at Auction House

The development of social media and mobile technology has made it easier for their users to carry out various activities. These activities include car auctions. Unfortunately, the condition also provides a breeding ground for car auction scams.

They are conducted through various methods. An example of the method is advertising used car auctions that offer low prices dan require down payments.

However, the most common method used is trying to convince buyers that the entity holding the auctions is reputable.

To avoid falling victim to car auction scams, read the following tips.

Find Out About the Auction House

You can check the authenticity of the organizers or auction houses on the Internet, from social media and websites to testimonies posted on forums.

Further, you can also check the Instagram account of those organizing the auction. An official account usually uses consistent colors, patterns, and designs. Besides, an auction house normally posts information consistently on its account.

In addition to the profile, you should also check the bio of the Instagram account. An official account is usually linked to other official social media accounts and websites of an auction house.

Cross-check their validity by visiting the website. If the website address uses the same name as indicated on the social media accounts, the auction house is credible. For instance, the official account of Balai Lelang Serasi - IBID on Instagram is @ibid_balailelangserasi, and its website address is

Additionally, you can look for information about the auction house's office address or auction pool and visit the address. If there is a mismatch, you need to be careful and beware!

Don't Be Swayed by Low Prices

Check the cars auctioned by the organizers or auction houses. A common method of car auction scams is offering used cars in good condition at unrealistically low prices.

One of the easy ways to check the market price is by visiting the Market Auction Place (MAP) by IBID. There, you can check the price range based on car types, conditions, and market prices.

To avoid buying a pig in a poke, you can visit IBID's pool to check the condition of the auctioned cars. This way, you can freely check the used car that you want to own.

Read the Auction Information

An authorized and trusted auction house must adhere to the established procedures and schedules. Check its procedures and schedules by reaching out to the contact person.

Ask the said person about the schedules, lots, registration, auction procedures, and cash deposits.

If the procedures follow the standardized procedures established by the Directorate General of State Assets Management (DJKN), the organizers or auction houses can be trusted.

As a subsidiary of Astra Group, IBID follows the procedures developed by the Directorate General of State Assets Management (DJKN). This means its auction process is accountable.

Make Sure the Payment Method is Safe

Another way to avoid fraudulent auctions is to check the payment method.

First, official organizers or auction houses never require a large Down Payment (DP). An official auction house only requires a cash deposit to obtain an Auction Participant Number (NPL).

Second, official car auction organizers or houses use Virtual Accounts (VA) instead of private accounts. VA is safer as Banks require a deed of establishment, a current corporate account, and a company's Tax Identification (NPWP).

In other words, it shows the legality of an auction house, at least from the banks' perspective.

 IBID has opened some virtual accounts with several reputable banks to make it easier for potential bidders. These banks include Bank Mandiri, Bank BCA, Bank BNI, Bank BRI, Bank Syariah Indonesia, Bank Sahabat Sampoerna (BSS), and Permata Bank.

Follow the abovementioned tips on avoiding fraudulent used car auctions to ensure you can buy a quality used car from reputable auction houses.

The best way to avoid being scammed is to choose a credible auction house, such as IBID.

IBID is the official auction house owned by PT Serasi Autoraya (SERA) that was founded in 2007. In addition to being trustworthy, IBID also offers the convenience of participating in live auctions through the IBID application available on the Google Play Store.

Thus, participants can submit bids from anywhere without coming to the location. You can access it via the IBID application on your smartphone.

For more information, you can visit its official website at