POLICE are warning online shoppers of a new scam involving fake PayPal emails.

The scheme has been reported more than 3,000 times, with the victims losing over £1.1m between October and December last year, according to national cyber crime centre Action Fraud.

Those targeted include people selling electronics, vehicles, phones and household furniture via online marketplaces.

Fraudsters will send the victim an email purporting to be from PayPal in attempt to trick them into believing they have received payment for an item.

The fraudster will then send a follow-up email requesting a tracking number in the hope that the victim will be rushed into shipping the item before they have had a chance to verify the payment.

“We know that fraudsters will go to great lengths to target people on online marketplaces, which is why we are working hard together with our partners to highlight the threat and prevent people from falling victim," said Pauline Smith, director of Action Fraud.

“It’s really important to follow our advice to help protect yourself and always trust your instincts – criminals will try and make unusual behaviour, like asking for a tracking number before you have sent the item, seem like a legitimate request.

“If you think you have been a victim of fraud, please report it to us.”

PayPal has advised users to log into their accounts directly rather than clicking links through emails, check for misspellings or grammatical errors in any correspondence and limit the number of places you store your private information online.

A spokesman for eBay, added: “Millions of buyers and sellers use our marketplace safely each day around the world. eBay takes privacy and security extremely seriously, which is why we continually invest heavily in measures to protect users around the clock. We also work closely with law enforcement agencies and regulatory bodies.

“Fraudsters use very sophisticated methods to try and circumvent trusted website security and we continuously enhance and update our security infrastructure to tackle new fraud trends.We encourage all members to take precautions that will improve the level of security protection on their accounts."

Anyone concerned about fake emails should always confirm payment before sending an item.

For more information, visit www.ebay.co.uk/help/home or www.paypal.com/us/webapps/mpp/paypal-safety-and-security.