Penny auction: An online penny auction is like a regular auction you would place a bid in the amount of one penny per time. In order to be a winner the clock need to stop and you need to be the highest bitter. Now most of these sites required you to buy out front a certain amount of bids you would pay a fix amount for lest say twenty bids. Then you would start the process of bidding online now this process in some cases would take a lot time. If you win the auction you would pay the highest amount plus the shipping of the product. Now to get the best prices you would have to be persistence. penny auction