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Friday, January 2, 2009

Digital camera 'bargains' come at a price

Want to save money on your next camera? Watch out. Dishonest merchants are cashing in on bait-and-switch scams and gray-market goods. And gadget lovers — photographers in particular — are prime targets.

For example, I recently received e-mail from Kenneth, a beginning photographer. He found a great deal on a Canon lens. It was $400, about $150 less than on other sites.

Customer service soon called to verify his order. He was offered an upgrade to a "better" lens. He ended up spending $600 on a lens worth $140.

Kenneth got off relatively lightly. Others have lost larger amounts of money. And, Kenneth wasn't subjected to threats and verbal abuse like others I have heard from.

Gray-market electronics

A hallmark of unscrupulous sites is gray-market electronics. These electronics are intended for sale in other countries and generally make their way to the country.

Gray-market products are usually similar or identical to authorized versions intended for the U.S. market. Names and units of measurement may differ, though, and menus and instructions may be in a different language.

The biggest problem is with the warranty. Many companies won't honor warranties on gray-market electronics.

Some legitimate sites offer imported goods that cost slightly less than U.S. versions and are clearly labeled as imported. Unscrupulous merchants aren't clear about gray-market electronics.

The reel-in

Unethical merchants lure you in with incredible deals. For example, one site advertised a $1,800 Nikon D300 for about $1,000.

The ordering process goes smoothly. Then, a high-pressure salesperson calls to "verify" your online order. You may be offered a supposedly better deal. Or, you may be offered the U.S. version of the product. The U.S. warranty is a big selling point and you'll pay exorbitantly for it. And be careful: The warranty may come from the merchant, not the manufacturer.

Want a battery, cables and an instruction manual? They've been stripped from the box. You'll need to pay up. You're also pressured to buy a variety of accessories. Resist these tactics, and your camera may suddenly become unavailable.

Hidden dangers

The troubles don't end there. Shipping promises may not be kept. Buyers have also reported extra credit card charges.

Don't expect returns to be easy, either. Return authorization may be refused.

Customer service representatives may curse at you. At the least, you'll be met with hostility. Refunds can take weeks.

Fortunately, spotting deceitful merchants can be easy. Look for electronics priced hundreds of dollars less than competitors. Accessories like memory cards and batteries will be overpriced. You may see dirt-cheap lenses from big names like Nikon and Canon. Third-party lenses will be extremely overpriced.

Check reputation online

Before buying, do a Google search on the merchant to learn about other buyers' experiences on message boards and in blogs. Ask about the merchant in forums.

Check reviews on shopping sites. Good reviews can be faked, so just read negative reviews for warning signs.

Be wary of merchants that call to verify orders. This is usually a thinly veiled sales opportunity.

Unscrupulous merchants are trying to stay a step ahead. They may operate numerous sites. Periodic name changes are common.

That makes it more difficult to know if a site is legitimate. Also, it helps the merchant evade authorities. These merchants are frequently sued for false advertising and other illegal tactics.

Camera buyers are most at risk, but any shopper can fall victim to these sites.

-cyber speaks Kim Komando