I'm glad you got your money back, mate. Many people try to abuse long established forums' typical sense of fellowship and pull scams like this, based on trust. Unfortunately, most disputes end up in horrible, horrible fashion for the guy that got scammed, mainly because a seller claims not to have a paypal account and asks for a transfer, or due to immediate retrieval of the deposited funds.
As far as I'm concerned, it isn't hard to reassure people regarding your intentions, and a trivial phone call seems to be quite useful on these matters. I mostly buy online, but when selling, I always make sure to send appropriate photos, especially those that may easily link the product to myself, as someone already stated (such as taking the pics near guitars you may have seen me with, or holding the thing myself). Let's hope this sort of douch doesn' come around here to often (especially since I'm trying to get a RG7 I saw here from the UK!
Mods need to work on new rules for selling items here. I believe that if someone wants to sell items, they should at least fork out a yearly membership for said privilege or have a minimum of 1000 posts. It's a d1ck rule but, that would fend off any a$$h0les trying to rip people off in here.
And how would a post count relate to one being trustworthy? Back in the really old days, when dragons roamed the earth and we were on our quest to release Middle Earth from the evil grasp of Sauron, there was someone at Guitar.com that claimed to be a music teacher in Texas, and an acquaintance of Mr. Eric Johnson. Said person was there for months on end, posting tracks, encouraging and counseling younger players - all in a day's work for a good community member, right? Turns out the songs actually weren't his, and this guy wasn't even from Texas, let alone a college teacher.
As far as the contributor part is concerned, I'm absolutely fine with that, but I really think it's a double edged sword, and paying $20 to rip off $1000 still seems to be quite a nice profit in the end.
Bottom line, IMO, is that there is NO way whatsoever to prevent frauds other than proper communication between seller and buyer. I don't mind taking risks, for as long as I have good control as to what is the chance of things going seriously wrong, and the base for that very same "risk margin" is determined by communication.