When shopping or selling online during the holiday season – or any time of year – always be wary of deals that seem too good to be true.
Every Year, thousands of people become victims of holiday scams, robbing them of their hard-earned money, personal information, and their festive mood.
Scams include:
Non-delivery scam: where you pay for goods or services you find online, but you never receive your items.
Non-payment scam: where you ship purchased goods or services, but you never receive payment for them.
Auction Fraud: a product you purchased was misrepresented on an auction site.
Protect yourself
Practice good cybersecurity hygiene.
- Don't click on any suspicious links or attachments in emails, on websites, or on social media. Phishing Scams and similar crimes lure you in to click on links and give up personal information like your name, password, and bank account number. In some cases, you may unknowingly download malware to your device.
- Be especially wary if a company asks you to update your password or account information. Look up the company's phone number and verify with the company directly.
Know who you're buying from or selling to.
- Check each website's URL to make sure it's legitimate and secure. A site you're buying from should have "https" in the web address. If it doesn't, do not enter your information on that site.
- If you're purchasing from a company for the first time, do your research and check reviews.
- Verify the legitimacy of a buyer or seller before moving forward with a purchase. If you're using an online marketplace or auction website, check their feedback rating. Be wary of buyers and sellers with mostly unfavorable feedback ratings or no ratings at all.
- Avoid sellers who act as authorized dealers or factory representatives of popular items in countries where there would not be legitimate deals.
- Be wary of sellers who post an auction or advertisement as if they reside in the U.S. but then respond to questions by stating they are out of the country on business, family emergency, or similar reasons.
- Avoid buyers who request their purchase be shipped using a certain method to avoid customs or taxes inside another country.
Be careful with how you pay.
- Never wire money directly to a seller.
- Avoid paying for items with pre-paid gift cards. A seller will ask you to send them a gift card number and PIN. Instead of using that gift card for your payment, the scammer will steal the funds, and you'll never receive your item.
- Use a credit card when shopping online and check your statement regularly. If you see a suspicious transaction, contact your credit card company to dispute the charge.
Monitor the shipping process.
- Always get tracking numbers for items you purchase online, to ensure they have been shipped, and to follow the delivery process. Be suspect of any credit card purchase where the address of the cardholder does not match the shipping address when you are selling. Always receive the cardholder's authorization before shipping any products.