As the holidays approach, it’s crucial to remain vigilant, as scams often increase during this time. One prevalent threat is fake online stores – also known as lookalike or fraudulent product sites.
Be Aware of Red Flags
- Unbelievably Low Prices: Deeply discounted prices on popular items may indicate a scam.
- Suspicious Ads: Be cautious of social media ads linking to questionable sites.
- Lack of Contact Info: Poor website design or missing contact information can be warning signs.
- Limited Payment Options: Avoid sites with few payment methods and no legitimate customer reviews.
- Urgent Offers: Be wary of unclear return policies and high-pressure sales tactics.
During the 2022 holiday season, the FBI reported nearly 12,000 victims of non-payment or non-delivery scams, resulting in over $73 million in losses. In 2023, these scams cost consumers more than $281 million, according to the FBI’s Internet Crime Complaint Center (IC3).
Tips to Protect Yourself
Practice Cyber Hygiene
- Think Before You Click: Avoid clicking on suspicious links or attachments; phishing scams can steal your personal information or introduce malware.
- Go to the Source: Don’t reply to texts or emails about account lockouts or claims of suspicious orders. Instead, go directly to the official website or app to check your account.
- Verify Contact Info: If a company requests sensitive information, independently verify their contact details before responding.
Research Before You Buy
- Check Website Security: Ensure websites use “https” in their URLs and check for customer reviews before making purchases.
- Review Feedback: Verify buyers and sellers on marketplaces by reviewing feedback ratings and being cautious with unfamiliar accounts.
Stay vigilant and informed to protect yourself this holiday season.
Sources:
- Thomson Reuters (November 30, 2023). Risk Fraud & Compliance. Check the Halls: As fraud around the holidays increases, there is possible relief in sight.
- Federal Bureau of Investigation (2023). How We Can Help You. Scams and Safety. Common Frauds and Scams: Holiday Scams.
- United States Department of Justice (December 5, 2023). U.S. Attorney's Office Warns About Common Holiday Scams.
The above referenced sources are provided as a courtesy. Signature Bank does not endorse or control the content of these sources or websites.