Warning: Chinese Bidders Sometimes Refuse to Pay
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June 2012

Many auction houses have had trouble the past few years with Chinese bidders. They will bid for an item, offer the highest bid, then ask for a discount or just don’t pay. Millions of dollars in bids have been involved. This means the auction house has to try to collect or decide whether or not to take legal steps. The seller does not get paid, and an item that is resold often gets a much lower price because buyers fear that some unrevealed problem exists. Several auction houses now require a deposit of $50,000 or more before they take bids on very expensive items. Elite Decorative Arts of Boynton Beach, Florida, had a new solution in its June 24 catalog. They included this line in the description of a carved rhinoceros horn that was bought in a March sale for about $250,000: "This lot is being relisted due to non-paying Auctionzip bidder Xiangtai Zhao (King779) from Shanghai, China. Beware of this bidder." We hope other auction houses will face up to this problem of bidders that don't pay. It is damaging the auctions, collectors, and sellers.

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  ralphfinch  - Chinese bidders ...   |06-20-2012 17:54:42  
You said:

"We hope others will face this problem of bidders that don't
pay."
Maybe, "We hope others WON'T face this problem ..."

I had a
small stroke last week, but even to me this is either an error on your part or a
mean spirit on the part of the Kovels.
  Monkeegirl  - ooops!   |06-20-2012 18:40:14  
I'm hoping you don't really hope others will face this problem, and that
somebody just left out the word "not" while typing this article. In any
case, I'm happy to see someone hold these deadbeats accountable.
  Vie  - Chinese Bidders   |06-21-2012 10:58:26  
Good I would do the same. Maybe even at least 3/4 of the price.
  editor  - Kovels.com Editor   |06-21-2012 13:01:54  
The second-to-last sentence in our article about nonpaying Chinese bidders has
confused a few of our readers. To clarify, we hope that other auction houses
face up to the problem of bidders that don't pay. We certainly hope the problem
doesn't happen. BUT we want auction houses to responsibly handle the problem
when it does occur.
  decadesstore  - Chinese Bidders   |06-21-2012 17:19:17  
This does not surprise me at all. I have had chronic problems with Asian bidders
not wanting to pay the price they bid or pay at all on e-Bay. The only exception
to this is Japan. I blocked bidders from these countries. If they can’t pay
on e-bay why would they pay for items worth thousands of dollars?
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