Everyone is looking for ways to save on shipping. Between rising carrier rates, surcharges, and fulfillment costs, it is easy to understand why. Even a small discount on labels can feel like a quick win, especially when you are shipping at volume and watching every dollar. That is where counterfeit postage labels can quietly become part of the equation.
But some of those savings come with a risk most sellers do not realize until it is too late.
What USPS is flagging right now
The USPS Inspector General recently issued an alert about a growing number of counterfeit postage labels being used across the network.
These labels are not always easy to spot. In many cases, they come from:
- third-party tools
- resellers offering discounted postage
- services that appear legitimate at first glance
For many sellers, it does not feel like a red flag. It feels like a better deal.
These labels are not coming from standard carrier systems or trusted shipping platforms that generate postage directly through approved carriers. They are typically tied to unauthorized resellers or tools offering unusually discounted postage.
The issue is not how these labels look. It is what happens when USPS identifies them.
When a label is not valid, the package does not move
If a package is flagged for counterfeit postage, it may never reach your customer.
Instead, it can be:
- removed from the mail stream
- held without delivery
- treated as abandoned
At that point, the order is effectively gone. You still have to refund the customer. You still lose the product. And in many cases, you are left trying to figure out what went wrong after the fact.
This is not always intentional
Most sellers are not trying to take shortcuts in a risky way.
In many cases, they are:
- trying to reduce shipping costs
- testing a new tool or provider
- looking for ways to improve margins
The problem is that counterfeit postage has become harder to recognize. It can be built into services or workflows that look and feel legitimate, especially if the pricing does not seem drastically different. That is what makes it easy to miss.
The savings are not worth the risk
On the surface, saving a few dollars per label can seem like a smart move. Over time, those savings can add up. But so can the risk.
When something goes wrong, the impact is much larger:
- lost inventory
- refunded orders
- delivery failures
- damage to customer trust
Saving a small amount on shipping can quickly turn into losing the entire order, especially if the issue is not caught right away.
If you are buying labels, this is the part to check
You do not need to change everything about your setup, but this is worth taking a closer look at.
Start with a few simple checks:
- Avoid unusually discounted postage offers that seem too good to be true
- Use trusted carriers and established shipping platforms to generate labels rather than unknown or heavily discounted sources
- Understand how your labels are being created, especially if you use third-party tools
- Keep an eye on delivery issues that seem out of the ordinary
These are small steps, but they help reduce the chance of something going wrong behind the scenes.
Shipping label FAQs
What is counterfeit postage?
Counterfeit postage refers to shipping labels that have not been legitimately paid for or generated through approved carrier systems.
How does USPS handle counterfeit labels?
If USPS identifies a counterfeit label, the package may be removed from the mail stream, held, or treated as abandoned.
Can sellers accidentally use counterfeit postage?
Yes. In many cases, sellers are unaware because the labels come from third-party tools or resellers that appear legitimate.
Why are discounted shipping labels risky?
Deeply discounted labels can sometimes indicate that the postage is not valid, which puts the entire shipment at risk.
What happens if a package is flagged?
The package may not be delivered, which means the seller is responsible for refunding the order and replacing the product.
This is part of a bigger shift
As shipping costs continue to rise, more sellers are looking for ways to reduce expenses wherever they can. That is understandable, but it also creates situations where small decisions can have larger consequences. Between rising fees, changing policies, and now issues like counterfeit postage, the details behind how your orders are fulfilled matter more than ever.
Stay in control of how your orders ship
When your shipping process is clear and consistent, it becomes easier to avoid issues like this before they happen. When your shipping labels are generated through reliable systems, you remove a layer of risk and can focus on getting orders out the door with confidence.
Ordoro helps bring your orders, inventory, and shipping into one place so you can manage fulfillment without second-guessing your process or where your labels are coming from. With better visibility and control, you can reduce risk and keep your operations running smoothly.
Learn more about Ordoro and how it helps you manage shipping, inventory, and orders in one place.
