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This is in the FAQ as follows:

What if I place one bid using eBay by hand, and another one using Auction Sniper? Will Auction Sniper place a bid so that I outbid myself?

Our sniping system needs to be as efficient as possible when placing snipes. If we had to check to see if you are already the high bidder before we snipe it would add an extra step to the process. We like to be able to snipe no matter what to make sure we don't miss any snipes.

If you placed a bid on eBay for $10.00, then you sniped with us for $10.00, the user would get a "HIGH BIDDER" status message. But if you place a bid on eBay for $10.00, then snipe for $15.00, then you will be charged a snipe credit and the status will be "YOU WON!"
If you bid directly on eBay, you should cancel the snipe with us. There‘s not enough time to check to see if the customer is already high bidder and then snipe or not accordingly. We‘re down to seconds, and eBay can easily chew them up on the check, much less the snipe.

Some people have tried to use us just as a safety backup to an existing bid without paying. But our margins are slim and losing snipes aren‘t charged as it is, although the cost to us is the same whether you win or lose.
The only time I ever do both e bay and AS is if it is something I really want, and so far no one had done a minium bid. I would not like the seller to withdraw the item, soo I put in the minium bid on e-bay. Then I put my max price on AS. That then kind of deters the seller from canceling the sale from lack of bids. Yet I cam covered in case of another bidder sniping. I still have the chance of wining at my AS snipe price. Wink
Is this true ?

I believe that it is not (but may be corrected).

If I find an item which has for example an existing price of $10 which is a result of another bidder having placed an Ebay bid of $15 (doesn't matter how it got to $10, could be opening price or increment above another bidder).

Then I manually bid 15.01 (because I like odd numbers). The auction price goes to 15.01 - I am the higher bidder and I was an increment above the $10 previous price, but am less than an increment above the actual bid made by the previous bidder. From the 15.01 price I can probably guess that, but I can't actually determine (yet) whether they bid 14.95 or 15.00 etc.

Now I have another think about it and decide that I should snipe it at 23.51 because I want it quite badly.

This all works and nobody else bids at all.

But when my snipe hits ebay what actually happens is Ebay recovers its bid increment from me and the winning price jumps to $15.50 (or is it $15.25 ?) i.e an increment above the other bidders maximum.

So in this case a second bid for a higher amount will increase the winning price.

Importantly this has nothing to do with sniping - it happens with any two bids from any source, manually or snipped.

However the underlying guideline for sniping is not to do it this way. Trust the sniping tool and just use it to bid once for your best price. All you do by manually bidding is alert the other bidders to your interest and in the scenario described above the most likely consequence is the the previous bidder will get an alert and will up his/her bid (say to $17.50) for example) and you end up paying more again because you notified him/her that they were loosing and gave them a chance to reconsider.

Irrespective of the minor issue of increments described above the key issue underlying the question is that Ebay does not distinguish between the sourtces of bids in terms of pitting them against each other - Ebay only considers the bidder's ID - so no matter how many sources you bid from ( yourself, your brother using your ID, several sniping tools or your son using your id from his web enabled phone in Antartica) it all the same to Ebay - they are all your bids and don't compete against each other (increments excepted).

There is another case where reserves are involved and any bid from you which exceeds a reserve effectively outbids any other sub-reserve bids you have placed - but this is not quite the same, as even though you might have been the high bidder you would not have won with the sub-reserve bids.

Now what have I missed ?

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