Common Questions

Common Penny Auction Questions

Update: This page will be revised soon. Posted: 12/1/2011

Question: How do penny auctions work?

  • Answer: There are different types of auctions, but the image below illustrates how most penny auctions work.


Question: What is shill bidding?

  • Answer: Shill bidding is bidding that increases the price of an item deceptively.  The goal of shill bidding is to drive up the price of an item and force the winner to pay considerably more than they should have to pay. A shill bidder could be:
    • someone that the auction owner knows
    • the auction owner himself
    • fake or automated bidders
  • Here at the Penny Auction List, we do not list sites that employ shill bidding. Our strict penny auction standards are designed to filter out scam penny auctions that use deceptive bidding practices.