BidBuddy will outbid other bidders, in small increments, as soon as a bid is placed on the item you want. BidBuddy will continue to outbid others until your maximum bid amount is reached, or you win the auction. Maybe the item you've been searching high and low for is not listed for sale. A reverse auction allows you to post the item you'd like to buy, and the price you'd like to pay. If more than one seller has the item you want, it can result in more than one reverse auction.
Bidders usually dislike participating in auctions where the seller has established a reserve price.
Sellers sometimes use this method, coupled with a ridiculously low minimum bid, to stir up interest in an item. This system can be frustrating to bidders. If the minimum bid and the reserve price are wildly out of synch, you may get some initial bidding interest, but lose buyers' attention as the bids climb closer to a fair-market price for the item. If you feel you must set a reserve price, be sure to make it for a reasonable amount. A bid is considered a legal, binding contract.