The holiday season is quickly approaching which means festive music, family gatherings, and a shopping frenzy are about to commence. Another common trend during this season is the surge in holiday scams.
Scams are often on the rise this time of year as fraudsters take advantage of heightened spending, holiday stress, and consumers’ generosity. Here are some common holiday scams, red flags to be aware of, and tips to avoid them:
-
Online Shopping Scams
- How It Works:
- Scammers create fake online stores or impersonate reputable retailers with amazing deals.
- Victims purchase items but never receive them, or they receive counterfeit products.
- Red Flags:
- Deals that are too good to be true.
- Retailers you’ve never heard of with no verifiable online presence.
- Poor website design, spelling errors, or unprofessional language.
- Requests for payment via wire transfers, cryptocurrency, or gift cards.
- Lack of secure payment options (e.g., no credit card or PayPal).
- No physical address is listed on the website.
- Missing or fake customer service contact details (e.g., invalid email, no phone number).
- Products or websites with little to no customer reviews.
- Offers arriving via unsolicited messages, especially from unknown senders.
- Missing “https://” in the URL or a padlock icon next to the web address.
- Redirects to multiple different websites before completing a purchase.
- Prevention Tips:
-
- Shop only on trusted websites or with reputable brands.
- Verify websites using tools like WHOIS lookup or scam reporting platforms.
- Don’t click on random ads, pop-ups, or links in emails or social media messages.
- Always pay with a credit card that offers fraud protection.
- Check for reviews and seller ratings and avoid those with complaints about non-delivery or poor quality.
- Avoid deals that seem too good to be true, such as luxury goods at suspiciously low prices.
-
Fake Delivery Notifications
- How It Works:
- Scammers send fake emails or texts claiming a package delivery issue, prompting you to click on a link or provide personal information.
- Red Flags:
- Unsolicited messages from delivery services you didn’t use.
- Receiving a delivery notice for a package you didn’t order or didn’t expect.
- The message includes links that don’t match the official domain of a legitimate courier service or looks like a typo.
- Phishing messages may use vague greetings like “Dear Customer” instead of your name.
- Fake notifications often create a sense of urgency, saying you need to take immediate action (e.g., “Your package is waiting! Click here to confirm delivery”).
- The notification may lack a tracking number, or the number could be invalid when you try to check it on the carrier’s official website.
- Prevention Tips:
- Don’t click on any links or open attachments. Instead, go directly to the official website of the delivery service and check your delivery status by entering your tracking number.
- Check your tracking information directly on the courier’s official website.
- Ensure the website you’re directed to is the legitimate website of the delivery service.
- Only provide your information to verified, reputable delivery companies when making purchases.
- If you encounter a fake delivery notification, report it to the actual delivery company so they can investigate and prevent further scams.
- Ensure your device’s security software is up to date to help detect and block potential phishing attempts.
-
Gift Card Scams
- How It Works:
- Scammers pretend to be a friend, family member, or even a company executive (e.g., pretending to be your boss), asking you to buy gift cards for an urgent reason, like helping with an emergency or paying for a service. They often claim the cards are needed to pay for something quickly.
- Scammers post fake items or deals online, often claiming to sell high-demand products at deeply discounted prices. Once you try to buy, they request payment in gift cards instead of regular payment methods.
- Red Flags:
-
- Urgent requests for gift cards as a payment method.
- Asking for card numbers and PINs over the phone or online.
- Scammers often create a false sense of urgency (e.g., “You must act now” or “This is an emergency”) to pressure victims into making quick decisions without thinking.
- If you receive a sudden request for gift cards from a friend, family member, or colleague, especially if they are not in a financial emergency, this could be a scam.
- Legitimate businesses, government agencies, and individuals will never ask for payment in gift cards. Be especially wary if someone asks you to buy gift cards as a form of payment.
- Prevention Tips:
- Treat gift cards like cash—only use them as intended.
- Never share gift card details with anyone asking for payment.
- Contact the company or individual directly through official channels to verify whether the request is legitimate, especially if it’s urgent or unexpected.
- Many victims fall for scams because they don’t know how common they are. Share information about gift card scams with friends and family to help them avoid falling victim.
- If someone asks you for gift cards, take a step back. Scammers thrive on emotional manipulation. Don’t act impulsively, and verify before proceeding.
-
Charity Scams
- How It Works:
- Scammers pose as charities to exploit holiday generosity, requesting donations that go directly to them.
- Fraudsters mimic well-known charities by using similar names, logos, and websites to appear legitimate.
- They contact victims via phone, email, text, social media, or door-to-door campaigns.
- Scammers invent entirely fake charities with compelling names or causes (e.g., disaster relief, helping veterans, or assisting children).
- Fraudsters create fake fundraising campaigns on legitimate platforms, such as GoFundMe, making it harder for donors to verify authenticity.
- Red Flags:
- High-pressure donation requests.
- Urgency to donate immediately or warnings that the need is dire.
- Unsolicited calls, emails, texts, or social media messages asking for donations..
- Vague details about how donations will be used or overly emotional stories without specifics.
- Demands for gift cards, wire transfers, or cryptocurrency instead of traditional methods like credit cards or checks.
- Lack of information about how donations are used.
- Prevention Tips:
- Verify charities through sites like Charity Navigator or GuideStar or the IRS’s Tax-Exempt Organization Search to verify legitimacy.
- Visit the charity’s official website instead of clicking on links in emails or messages.
- Take your time to verify the organization before donating.
- Only contribute to campaigns from people or organizations you know.
- Use secure payment methods like credit cards.
- Reputable charities often provide detailed reports on how donations are spent.
- If You Suspect a Charity Scam
- File a complaint with the Federal Trade Commission (FTC).
- Report fraudulent charities to your state’s Attorney General or consumer protection office.
- Contact your bank or credit card provider immediately if you suspect fraud.
- Monitor your accounts for unauthorized transactions.
-
Fake Travel Deals
- How It Works:
- Scammers exploit the excitement of holiday travel by advertising deals that seem too good to be true. These scams can occur through websites, social media, emails, or phone calls.
- Scammers advertise incredibly cheap flights, luxurious vacation packages, or deeply discounted hotel stays. These offers are often time-sensitive to pressure quick decisions.
- Victims are asked to pay upfront through insecure methods like wire transfers, prepaid gift cards, or cryptocurrency. Once payment is made, the scammer disappears.
- Scammers create professional-looking websites or impersonate reputable travel agencies. They may even provide fake confirmation numbers or documents.
- The promised trip, resort, or accommodation doesn’t exist, leaving travelers stranded or out of money.
- For travel prize scams, victims are told they’ve “won” a free vacation but must pay taxes, fees, or other upfront costs to claim the prize.
- Red Flags:
-
- Unsolicited offers with unrealistically low prices.
- Offers with prices far below market value are often scams.
- Demands for upfront payment via wire transfers or gift cards.
- Difficulty getting details about the trip, such as travel dates, accommodations, or cancellation policies.
- Agents or companies that don’t appear on trusted platforms or have no online reviews.
- Offers for free vacations that require upfront payments for “fees” or “taxes.”
- Companies that provide no phone number, address, or verifiable customer support.
- Prevention Tips:
- Book travel only through trusted platforms or directly with airlines and hotels.
- Always pay with a credit card, which offers fraud protection. Avoid wire transfers or gift cards.
- Research the travel company or website thoroughly. Check for reviews and complaints online, especially on platforms like the Better Business Bureau.
- Avoid entering payment details when using public or unsecured Wi-Fi networks.
- Look for reviews on trusted platforms like TripAdvisor, Trustpilot, or Yelp.
-
E-Greeting Card Scams
- How It Works:
- Scammers exploit the popularity of digital greeting cards to deliver malicious content or steal personal information. E-greeting card scams typically involve fraudulent links or attachments disguised as cheerful holiday messages from friends, family, or businesses.
- You receive an email, text message, or social media message claiming someone has sent you an e-card. The sender’s name may appear as “A Friend” or “Secret Admirer” to pique curiosity. The message includes a link to view the e-card or an attachment to download.
- Clicking the link redirects you to a malicious website that installs malware or ransomware on your device. This software may steal sensitive information, encrypt files for ransom, or allow scammers to monitor your activities.
- Some scams direct you to fake websites mimicking legitimate greeting card services, where you’re asked to provide personal details, such as your email, phone number, or even payment information.
- Scammers may collect your personal data or infect your system to gain access to accounts, leading to identity theft or fraud.
- Red Flags:
-
- The e-card claims to be from “a friend,” “a family member,” or “a secret admirer” without a specific name.
- The email or message contains links with unusual URLs, typos, or shorteners (e.g., bit.ly). Attachments are often in formats like .exe, .zip, or .scr, which can harbor malware.
- The message uses phrases like “Click now to see your special card!” or suggests the e-card will expire soon.
- Links direct you to sites without “https://” or a padlock icon next to the web address.
- Prevention Tips:
- If the e-card claims to be from someone you know, confirm with them directly before clicking any links.
- Hover over links to check their URL before clicking. Avoid short or unfamiliar domains.
- Legitimate e-cards do not require you to input sensitive details to view them.
- Avoid downloading attachments from unknown sources, especially files with extensions like .exe or .zip.
- Ensure your antivirus and anti-malware programs are up-to-date to catch potential threats.
General Tips to Stay Safe
- Be skeptical of unsolicited communication: Avoid clicking on links or downloading attachments from unknown senders. Verify the legitimacy of unexpected messages claiming you’ve won prizes, received gifts, or need to act urgently.
- Use secure payment methods: Opt for credit cards or secure payment platforms that offer fraud protection. Avoid participating in wire transfers, gift cards, cryptocurrency, or peer-to-peer apps unless dealing with trusted parties.
- Verify website legitimacy: Avoid unfamiliar websites or those with spelling errors. Ensure https:// is included in the URL and a padlock icon is used before entering any sensitive information.
- Be cautious of offers that are too good to be true: Deeply discounted tickets, vacations, or gifts are often scams.
- Protect your personal information: Never share sensitive information like Social Security numbers, passwords, or bank details with other recipients. Be cautious about sharing personal information on social media or online forms.
- Enable security software: Keep antivirus and anti-malware programs updated on all devices. Use a firewall and browser extensions that block malicious sites.
- Use strong passwords: Create unique passwords for each account and store them securely using a password manager.
- Enable two-factor authentication: Activate two-factor authentication as an extra layer of security.
- Monitor your bank accounts and statements: Regularly check your bank and credit card statements for unauthorized charges. Set up alerts for transactions or unusual account activity.
- Stay informed: Share scam alerts with family and friends, especially seniors who are often targeted. Stay informed of common and evolving scam tactics.
By staying alert and informed of current scam tactics and being vigilant you can reduce the risk of falling victim to scams and enjoy the holidays while protecting your data and staying secure online.
