Shill bidding happens when anyone—including family, friends, roommates, employees, or online connections—bids on an item with the intent to artificially increase its price or desirability.

Why is shill bidding illegal?

Shill bidding is known as a form of auction fraud. eBay defines shill bidding as, "when someone bids on an item to artificially increase its price, desirability, or search standing." Shill bidding creates an unfair advantage and causes other bidders outside of the scam to pay more than they should for an item.

Is shill bidding allowed?

Shill bidding policy overview

To make sure no one gets an unfair advantage, shill bidding is prohibited on eBay. People who know the seller – such as family members, flatmates, or employees – can't bid on that seller's items, but they can use options like Buy It Now that don't involve bidding.