holiday shopping scams

By Scott Stitts, Vice President & Chief Information Officer

As retailers roll out their holiday promotions and deals, consumers start making lists and shopping. However, they are not the only ones paying attention to these deals. Scammers start lurking and targeting vulnerable consumers through a variety of ways, such as sending emails with malicious links or attachments, creating fake websites to imitate larger brands and sending text messages with a call to action where they can steal your personal information.

The US Cybersecurity and Infrastructure Security Agency (CISA) warns shoppers to be alert to holiday scams and malicious cyberattacks this holiday season. In 2021, U.S. consumers did $211.4 million worth of digital holiday shopping, up 10 percent from 2020, according to retail research firm Digital Commerce 360.

Holiday Scams

Scams ramp up during the holiday season due to the spike in spending, especially online. Below are a few scams to keep an eye out for this holiday season:

• Non-paymentandnon-deliveryscams:In a non-delivery scam, a buyer pays for goods or services found online, but those items are never received. A non-payment scam involves goods or services being shipped, but the seller is never paid. According to the Internet Crime Complaint Center, non-payment or non-delivery scams cost people more than $337 million in 2021.

• Charityscams: According to the fundraising software company Network for Good, one-third of all charitable giving is done in December. This opens the door for scammers to create fake donation websites and make pushy telemarketing phone calls raising money for a charity that does not exist.

• Deliveryemailscams:Scammers target holiday shoppers with phishing emails disguised as UPS, FedEx or U.S. Postal Service. Often, these emails are notifications of incoming or missed deliveries with links that lead to phony sign-in pages asking for personal information or to sites infested with malware.

• Travelscams:Holiday travel spiked by 34 percent in 2021, nearing pre-pandemic levels, according to AAA. With the spike, scammers take advantage of this by creating spoof booking sites and sending email offers with travel deals that look too good to be true (and probably are).

Protecting Yourself from Scams

• Paybycreditcard. The CISA recommends that shoppers make purchases with a credit card instead of a debit card. This allows you to easily dispute charges and limit the damage if it turns out you were scammed. There are laws that limit an individual’s liability for fraudulent credit card charges, but debit cards may not have the same level of protection. According to the Internet Crime Complaint Center, credit card fraud accounted for $173 million in losses in 2021.

• Research unfamiliar retail and charity sites. Search for retailers on the Better Business Bureau (BBB) directory to see if they are accredited and rated by the BBB. Online resources, such as BBB Wise Giving Alliance, Charity Navigator, CharityWatch and GuideStar, provide information on charitable organizations, including ratings, reviews and financial information.

• Buygiftscardsdirectlyfromtheissuingbusiness.If you buy a physical gift card at a store, carefully examine the card and packaging for signs of tampering. Scammers have been known to access the card’s PIN code and drain its value. When the recipient attempts to use the card, they discover that it is empty.

• Stay alert to phishing attacks. Be cautious of phishing emails that are designed to look like an authentic message from a well-known brand. Hover over links to display the true destination URL and only click through if you know it is to a legitimate website.

What to Do in Case of Suspected Fraud

If you believe that you have been a victim of fraud or theft, report it immediately to your bank or credit institution as well as to the proper authorities to minimize your losses and begin working toward a resolution. If you encounter a holiday scam, file a complaint with the Federal Trade Commission, www.ftc. gov/complaintor 877-382-4357.

When shopping online during the holiday season—or any time of year—always be wary of deals that seem too good to be true. Do your part to avoid becoming a scammer’s next victim.