The VPP Scam Explained: How It Works and How to Stay Safe

In today’s fast-paced digital world, scams are becoming more sophisticated and harder to detect. One such scam that has resurfaced and is affecting many unsuspecting people is the VPP scam. Whether you’re a regular online shopper or someone who occasionally receives packages, understanding how the VPP scam works is essential to protect yourself and your loved ones.

What is the VPP Scam?

VPP stands for Value Payable Post, a legitimate service once offered by postal departments (especially in countries like India) where the recipient pays for a parcel upon delivery. However, scammers have recently started misusing the term “VPP” to trick people into accepting and paying for fake or unwanted packages.

In a typical VPP scam, a person receives a package from an unknown source. The delivery person insists that it’s a “cash on delivery” parcel and demands payment — often ranging from ₹500 to ₹5,000 (or similar amounts in other currencies). Believing it might be something ordered by a family member or a gift, many people pay the amount without checking the sender details or the content.

Once the package is opened, they discover that it contains cheap, counterfeit, or completely useless items like plastic trinkets, stones, or even garbage.

How the VPP Scam Works – Step-by-Step

1. Scammers collect Data Collection: Scammers collect contact and address details from publicly available databases—like MCA (Ministry of Corporate Affairs), domain registries, online directories, or startup listing platforms.
   
2. They create fake eCommerce orders
   Using fake seller accounts on eCommerce platforms or courier networks, they generate a COD (Cash on Delivery) shipment labeled as a “VPP” parcel.
   
3. Courier companies unknowingly deliver it
   Courier services often don’t verify the sender or the legitimacy of the items inside. They simply deliver the package and collect payment.
   
4. You pay without knowing what’s inside
   In many cases, people pay because:
   
   • They think a family member ordered something.
     
   • The parcel looks official.
     
   • The courier insists it’s urgent or prepaid.
     
5. Scammer collects the money
   Once the courier collects the cash, the money is sent back to the scammer after deducting fees — completing the fraud cycle.
   

Real-life Examples of VPP Scam

• Case 1: Delhi, India
  A 45-year-old woman received a VPP package labeled “jewelry accessories.” She assumed it was something her daughter ordered. She paid ₹1,200, only to find two plastic rings and a keychain inside.
  
• Case 2:
  Let’s say you register a Pvt. Ltd. company, through the MCA portal. Within 7–10 days, you receive a call or SMS claiming you’re eligible for a “Business Starter Kit” or a “Company Branding Package.” Days later, a package arrives with a label like: “Your Company” Pvt. Ltd. – Certificates, Articles, Legal Docs (Pay ₹XXXX on delivery).”
  
  You assume it’s an official communication from the GST department or MCA and pay the amount. Once opened, the parcel contains nothing but printed pamphlets, a cheap keychain, and maybe a plastic folder—none of which were ordered or required.
  
  By the time you realize you’ve been scammed, the sender is unreachable, and the money is gone.
  
• Case 3: Bangalore, India
  A college student received a package from an unknown number and thought it was a gift from a friend. After paying ₹850, he opened the box to find stones wrapped in tissue paper.
  
• Case 4: Hyderabad, India
  A working professional received repeated VPP parcels, which he refused. He later found that scammers were trying different amounts and different senders to trap him
  

Why is the VPP Scam So Effective?

The VPP scam plays on trust, confusion, and lack of verification. Here’s why people fall for it:

• Data Accuracy: The scammer often uses your full name, address, and phone number, making it seem legitimate.
  
• Busy Lifestyle: People don’t always remember every online purchase or who might send them something.
  
• Fear of Missing Out: Some people think the parcel could be a prepaid gift or reward.
  
• Polite Pressure from Delivery Personnel: Most courier agents are unaware of the scam, and they insist on collecting payment.
  

How to Spot and Avoid the VPP Scam

1. Always verify the sender
   If you receive a package from an unknown sender, don’t accept it. Ask the delivery person for sender details or tracking information.
   
2. Cross-check with family members
   Before paying, ask your family or roommates if they ordered something. Scammers rely on confusion between households.
   
3. Don’t fall for urgency tactics
   Fraudsters may label packages as “urgent” or “last attempt.” Take your time to verify.
   
4. Refuse unknown COD/VPP parcels
   If you didn’t order anything recently or recognize the sender, it’s safest to decline the package.
   
5. Check for company name and legitimacy
   If the parcel claims to be from an eCommerce site (like Amazon or Flipkart), call customer support and verify the order.
   
6. Report to authorities
   If you receive a scam parcel or accidentally fall victim, report it to:
   
   • The courier company
     
   • Local police or cybercrime unit
     
   • Consumer protection helplines (like 1930 in India)
     

What Can Courier Companies Do?

Courier companies unintentionally play a role in enabling the scam. Here’s what they can do to stop it:

• Better KYC for senders
  Ensure that sellers or senders are verified and legitimate before allowing COD/VPP deliveries.
  
• Tracking return-to-origin scams
  Monitor frequent return requests and fake parcel trends from the same sender address.
  
• Educate delivery agents
  Train agents to inform customers about potential scams and how to verify packages.
  

What Should the Government or Postal Services Do?

• Stricter regulation of VPP services
  
• Data privacy enforcement to prevent personal info leaks
  
• Public awareness campaigns on such scams
  
• Simplified reporting mechanisms for scam parcels
  

Final Thoughts

The VPP scam is a growing menace that exploits trust, technology gaps, and poor verification systems. As consumers, staying informed and cautious is our first line of defense. With a few simple checks, we can avoid falling prey to these deceptive tactics.

If you’ve ever received a suspicious parcel or suspect you’ve been scammed, don’t hesitate to report it. Sharing your story could prevent someone else from being the next victim.

Stay alert. Stay safe. Always verify before you pay.