Topic: Tips for local transactions - page 23. (Read 822746 times)

Until you trust someone, and even then, your cell phone number can be used as part of social engineering (con) to gain control of your accounts.  For example, a trader I know got his localbitcoins account hacked via social engineering. The scammer had the guy's cell number among other info, like where he went to college, etc.  With some of that info, the scammer took control of the victim's email account and it snowballed into owning the LBC account.  It lasted only a couple of days, but some damage was done.

Honestly, if you are the type of person who doesn't buy too often, say once a week or month, I doubt anyone will do anything harmful with your phone number.  If on the other hand, you are a big trader, you could be a target of a scam.  It also depends on how anonymous you want to be.  I know someone who is constantly selling to many different traders.  I have bought from him a couple of times and still he prefers to message me through LBC.

Great post! Thank you for sharing with us. 

Thank you so much! A very useful and valuable information.

As someone who has done hundreds of local trades across Indiana, Kentuck and Ohio I have a few suggestions.

An alternative to localbitoins and their fees is Mycelium android app. It has a local trader feature that is easy to set up and doesn't charge any fee. The transaction is a lot faster than the blockchain also.

A good place to meet is in front of police stations. Many local police stations offer "safe zones" for meet/transactions. I have never had anyone ask but if I did I would just say I was trading with someone I met on Craigslist since I do get some clients there. Here is an article about it.
http://www.npr.org/2015/03/27/395586863/police-departments-open-up-safe-lots-for-craigslist-transactions

Another good place is Panera. Well lit, open late and the booths are good for being discreet but still in public.

If you are doing a large trade make sure you bring something to put the cash in. I use a small deposit bag from my bank. Before that I used a priority mail envelope from the USPS.

Some people like to pay with USPS money orders which I am fine with. Takes me a little longer (2 days) to turn back into bitcoin but its easier to count and I don't have to worry about carrying all that cash around.

Last thing about trades is make sure you use a counterfiet and UV marker. I haven't had an issue with fake bills from a bitcoin trade but I did get a few when I sold a car on Craigslist.

Those are all very good tips and I'm taking note of them if and when I have a transaction done via meet up. From where I come from, there are banks that don't allow you to use your mobile phone while inside their premises, so the better option for me would be the mall where I'd feel safer and more secured.

Thank you for the very informative thread, you helped us knowing the safest method for transactions.
Almost important things that we should know was included.
I would recommend this every time makes a transaction.
I just doubt the outdoor free wifi such as in mall, stores and etc., because there is the possibilities that it may not have the access to the internet and yet limited. So better don't forget the main use of mobile phones of course with data, and laptop if really needed.

I'm new to this, but if I have phone specifically designated to BTC sales/trade. Why would that be a bad I? Sure you get calls in the middle of the night. But what else would be a risk ? Thanks

Yes, I mean't cell phone number

Good point about the burner phone.  Once you give your cell # to someone, there is no taking it back unless you get a new number.  You may get people texting you in the middle of the night.

Thank you for the awesome guide!

I assume you mean "cell phone number", right? I would never give my phone.
If you're afraid to give your number, get a prepaid burner phone. Here I pick up a prepaid cheap Samsung phone including credit for 10 euro, and the battery lasts for weeks. This way you keep your personal number private.

you must check their feedback before starting transaction

You know I did not know all this precautions were necessary in local transactions, maybe because I live in a third world country.

I thought of a few more, and this goes for buyers as well as sellers:

- Don't give your cell phone to your trading partner, even if he asks, until he has built up trust.  With that info alone, he could pull some social engineering (con) and take over your phone account, your email account, and even your exchange accounts.  I know of at least 2 people who have had that done to them.  Sometimes it takes a trade or 2 to build up the trust, and even then, you may not want to give out any of your personal info.

- Which leads to another point: make sure you have 2fa on (nearly) EVERYTHING!  Yes, it can be a pita but do it at least for your email account that is tied to any banks, exchanges, and obviously, any bank, exchange, wallet and anything else of value.

-If you do give your cell phone, and you get a text, if it includes a link, use extreme caution.  It could have malware in it.

-Don't use whatsapp to talk or even text with your trader.  He could send a phishing link or invitation and hack your phone/computer.  Other apps to avoid: skype, teamviewer, etc.  Where there is an app, behind the scenes is a hacker.  Don't be tempted to make trade easier by using an app like skype to arrange a meeting.

That's all I can think of for now!

plus one for this being a great thread with good advice. I have been able to start small with local people before I build a trusted relationship for bigger transactions.

Those are very good additions to the best practices (especially the bolded ones).  When I started doing local transactions I did not have the ability to tether a laptop from my own phone.  Now I do, and it works great.  It eliminates the need to connect to a "free" wifi and eliminates that possibility of compromise.

Great thread!

I have done a few local transactions using the local bitcoins platform.  I agree with a lot of what's been said.  Just to reinforce or add on to best practices:

1)  If I am doing a big transaction in which I have to bring a few k to the meeting, for the first time:  I get to know the seller as much as I can thru chat.  If the guy (mostly men; met 1 woman) sounds like he is ok, just a bitcoin "enthusiast" (people who want to live under the radar), then I meet. 

2)  First time meets, I always do during the day.


3)  As people have mentioned, I don't recommend wifi.  Use mobile tethering if possible.  If not possible, just use your phone.  If you don't have a phone, which some people don't, localbitcoins has a secret code to ensure that buyers don't get scammed.  Once the bitcoins are released, the secret code is revealed to the seller, who then confirms with the buyer. 

4)  I would suggest to women: bring someone else.  As someone mentioned earlier, strength in numbers.

5)  If you don't use local bitcoins (because of their 1% fee) make sure to use blockchain.info and wait for at least 1 confirmation.  Again, establish a minimum level of trust.

ETC.

thanks for giving this great advise.its really contant all security while local transaction.
its mostly for new users which haven't experience in market.without taking this tips they must can be frauded anytime by someone.

I prefer local transactions

Great tips. Ive learned a lot from reading this thread.