In a “Penny Auction” or “Bidding Fee Auction” you pay for each bid you make and your bid extends the date of the auction by a few seconds.
If no-one else makes a bid in those final seconds, you win the auction.
But the catch is that you might spend $100 bidding for a $1000 TV and not win it!
Can you imagine 2 or 3 people sitting in dark rooms in the middle of the night who have sunk $100 each into a $200 item. All 3 of them are fiercely determined to win and walk away with the item.
I see Penny Auctions as pure gambling and I urge you to stay away from them.
For this reason, you wont see them on NZAuctionSites.co.nz.