Beware of Shipping Container Scams: How to Protect Yourself
For several years, the shipping container industry in Canada—particularly in Montreal—has been a target for online fraud. Fake sellers post misleading advertisements on platforms such as Facebook, Facebook Marketplace, and Kijiji, or through fraudulent websites designed to imitate legitimate companies like ATS Containers.
How Does the Scam Work?
Fraudsters post advertisements for shipping container scams at abnormally low prices, well below actual market value. Once you express interest, they connect you with a supposed representative—often using the name of a recognized company like ours to gain your trust.
How to Protect Yourself from This Shipping Container Scam
If you are looking to purchase a shipping container, watch for these key indicators to ensure you do not become a victim of fraud:
1. Beware of Prices That Are “Too Good to Be True”
While container prices fluctuate due to market factors (USD exchange rates, steel prices, supply and demand), prices between reputable suppliers should not vary significantly for equipment in comparable condition. A quote that seems too attractive to be real should be treated with extreme caution.
2. Verify the Contact Information of the Company
Scammers frequently modify contact details, such as phone numbers and email addresses, to divert communication. You can verify the legitimacy of a supplier by comparing their phone number to the official, Google-verified listing on Google Maps.
3. Watch for Prepayment Demands
Most reputable companies do not demand full payment upfront without providing alternatives, such as payment upon delivery. Be especially wary of requests for payment exclusively via Interac e-Transfers, as these are generally untraceable by most Canadian financial institutions.
4. Check the Invoice for Sales Taxes
Fraudulent transactions often contain errors regarding sales taxes (GST/HST/QST). Either the taxes are missing entirely, or the percentages are incorrect. Legitimate businesses must also provide their tax registration numbers, which can be verified through the Canada Revenue Agency.
5. Website Domain Registration
Established businesses typically own their domain names for many years. Scammers frequently create new websites to execute a fraud and quickly replace them once they are flagged. We recommend checking how long a domain has existed via Whois.com to determine if a site is legitimate.
6. Official Email Addresses
Authentic companies use their own domain names for official communications. For example, our official website is www.atscontainers.com and our emails only come from @atscontainers.com. Scammers will try to look legitimate by using variations, such as atscontaiiners@gmail.com.
More Information on Shipping Container Scams
If you are looking for more details regarding this industry-wide issue, several media outlets and organizations have reported on these fraudulent activities over the past few years:
- Quebec City Police: Fraud Alert
- Radio-Canada Quebec: Fake Container Sales Report
- Journal de Montréal: Identity Theft by Fraudsters
- CBC Canada: Shipping Container Delivery Scams and Kijiji Fraud Alert
- Better Business Bureau (BBB): Scam Alert for Shipping Containers
- Global News Calgary: Sea Can Scam Investigation
If you wish to discuss your project further or verify the information you have received in a quote, please do not hesitate to contact a member of the ATS sales team at (866) 846-0270. We are happy to help you stay safe.
