Is Qui Bids a Scam?
Wikipedia points to a number of criticisms of Qui Bids which suggest it is a scam or very close to being a scam:
According to Reviewopedia, penny auctions are a bad deal for the consumer and should always be avoided:
Penny auction websites attract people to them by promising expensive, big ticket items at unbelievably low prices – for example, QuiBids shows a newiPad, which retails at $499 for the most basic model, selling for $22.54. But this winning bid of $22.54 is misleading. This isn’t the truth of how much it costs to win that iPad.The way penny auctions work is that you are only able to bid a single penny at any time during the auction. However, at Qui Bids, you must purchase each 1-cent bid for 60 cents. So an iPad that retails for $499 but was won for the grand total of 2,254 one-cent bids (or $22.54), which actually cost 60 cents each, just sold for $1352.40. Though the person who wins the item usually has paid less than retail for what they have received, citing $22.54 as the winning bid is extremely misleading.
The Better Business Bureau has closed over 1000 consumer complaints about Qui Bids during the last three years. Nearly 25% of these complaints were not resolved to the customer’s satisfaction. The BBB does not report the number of open complaints.
I would suggest 4 key problems with the Qui Bids Penny Auction site which suggests it is a scam:
1. Hidden sign up cost of $60 that auto deducts from your credit card. Certainly not described in the commercials. (cited on Sitejabber)
2. Also bidding paying .60 for .01 bid is massively massively manipulative in terms of the actual price of purchasing a given item.
3. Wikipedia reports a high list of complaints.
4. On Sitejabber it got a 1.7 out of 5 based on 777 reviews. That number of negative reviews seems like a huge red flag of a bad website.