Overpayment Scams: How They Work and How to Avoid Getting Ripped Off

June 25, 2025

If someone “accidentally” sends you too much money and asks for a refund—watch out. You might be walking right into a scam.

Overpayment scams are one of the sneakiest ways fraudsters trick people into sending them real money. They often show up in online sales, job offers, or even pet-sitting gigs. But no matter the setup, the goal is always the same: get you to send money before their fake payment gets flagged.

What’s an Overpayment Scam?

An overpayment scam happens when a scammer sends you a payment—usually by fake check or fraudulent digital transfer—for more than the agreed amount. Then they ask you to return the difference. Sounds reasonable, right?

But here’s the catch: the original payment is bogus. By the time your bank or payment platform catches it, the scammer already has your “refund”—and you’re left on the hook for the full amount.

Common Overpayment Scam Scenarios

• Online Sales (like Craigslist or Facebook Marketplace): A “buyer” overpays and asks you to refund the difference.
• Fake Jobs: You’re hired remotely and paid upfront—but they accidentally “overpay” and ask for a partial refund.
• Service Gigs (babysitting, pet care, etc.): They send too much “by mistake” and request the extra funds back quickly.
• Rental Listings: A scammer sends a deposit or first month’s rent, then pulls the same trick.

Why It Works

• Urgency: Scammers often act in a rush to pressure you.
• False Legitimacy: A check looks real. Even your bank may temporarily show it as deposited.
• Trust: Scammers often pose as professionals, families, or friendly buyers to build credibility.

Red Flags to Watch For

• You’re asked to refund money after receiving a payment.
• The buyer or employer overpays without explanation.
• They want you to send the difference via gift cards, wire transfer, or peer-to-peer apps.
• The person is unusually eager or pushy, especially with money.

How to Protect Yourself

1. Don’t send money back for overpayments—ever.
2. Wait until payments fully clear, not just appear in your account.
3. Use trusted platforms that offer buyer/seller protections.
4. Verify identities and job offers before accepting payment.
5. Talk to your bank or payment provider if something feels off.

What to Do If You’ve Been Scammed

• Contact your bank immediately. They may be able to stop a transaction.
• Report the scam to the FTC at ReportFraud.ftc.gov.
• Notify the platform where the scam occurred (e.g., Facebook, Craigslist, Venmo).

The Bottom Line

If it sounds too easy, it probably is. Overpayment scams prey on your trust, your goodwill, and your urgency. By staying cautious—especially when money’s involved—you can stop a scam before it starts.