Shop Smart, Shop Safe: How to Avoid Scams This Holiday Season

The holiday season is here, and for many of us, that means shopping for gifts, searching for deals and keeping an eye out for packages arriving at the door. Unfortunately, scammers are shopping for opportunities, too.

Fake websites, misleading social media ads and phony delivery messages can be especially convincing when you’re already expecting an order or looking for a great deal. The Federal Trade Commission warns that scammers may impersonate legitimate companies and advertise popular products at unusually low prices, only to lead shoppers to fraudulent websites. 

Before you check off everyone on your shopping list, take a few simple precautions to help protect your money and personal information.

Think Before You Click

An email or text saying there’s a problem with your order or delivery can feel urgent, especially when you have several packages on the way.

Instead of clicking a link in an unexpected message, go directly to the retailer or delivery company’s official website or app to check your order. The FBI also recommends avoiding suspicious links and looking up a company’s contact information independently if you need to verify a message. 

A few extra seconds to verify a message could save you from handing your information over to a scammer.

Be Cautious of Deals That Seem Too Good to Be True

That hard-to-find gift for 80% off might feel like a holiday miracle, but an unbelievable price should make you pause.

Fraudulent online stores can use stolen product photos and company logos to appear legitimate. You may end up receiving a counterfeit product, something completely different from what you ordered or nothing at all. The FTC recommends researching unfamiliar sellers by searching for the seller's name along with terms such as "review," "complaint" or "scam." 

Before buying, take a moment to check the seller, website address, return policy and reviews.

Watch Out for Fake Social Media Ads

Scrolling through social media can make holiday shopping easy, but not every ad that looks legitimate is what it seems.

Scammers can create convincing ads that imitate well-known brands or promote expensive products for surprisingly low prices. Clicking one may take you to a fraudulent website designed to collect your money or personal information. 

If an ad catches your attention, consider visiting the retailer’s official website yourself rather than purchasing directly through an unfamiliar link.

Choose Your Payment Method Carefully

How you pay matters.

When shopping online, the FTC recommends paying by credit card when possible because federal protections may allow you to dispute certain charges, such as being billed for something you never received. Be especially suspicious if a seller insists that you pay using gift cards, wire transfers, payment apps or cryptocurrency. 

Never let a seller pressure you into using a payment method that makes you uncomfortable.

Keep Track of Your Purchases

With gifts coming from multiple stores, it can be easy to lose track of what you ordered and where it’s coming from.

Keep your receipts, order confirmations and tracking information until your purchases arrive and you're satisfied with them. The FTC recommends keeping these records because they can help if you need to contact a seller or dispute a charge. 

And remember, a text claiming your package is delayed doesn't necessarily mean it relates to one of your actual orders. Verify it independently before taking action.

Pause, Check and Shop with Confidence

The holidays can get busy, and scammers often count on people acting quickly. Before clicking a link, entering payment information or jumping on an unbelievable deal, take a moment to stop and check.

A little caution can go a long way toward keeping your holidays focused on what matters, instead of dealing with fraud.

If you believe you've encountered a scam, you can report it to the FTC at ReportFraud.ftc.gov. The FBI also accepts reports of internet-related scams through its Internet Crime Complaint Center at IC3.gov. 

Want to learn more? Check out our Holiday Season Scams to Watch Out For for more tips to help protect yourself this holiday season.

Shop smart. Shop safe. And keep your holidays merry and fraud-free.