Avoiding Online Shopping Scams

Online shopping can be convenient and fun, but it also comes with risks. Scammers use clever tactics to trick shoppers into handing over money or personal information. With some knowledge and caution, you can avoid falling victim to common online shopping scams.

Research Sellers Before Buying

When shopping online, it’s essential to research any unfamiliar websites or sellers thoroughly before making a purchase. Here are some tips:

• Search for reviews of the website or seller. Look for red flags like many negative reviews mentioning scams or no reviews at all.

• Check contact information. Legitimate businesses should have a phone number, physical address, and customer service email or chat.

• Search the company name plus words like “scam,” “complaint,” or “review”. This can reveal warnings from other shoppers.

• Beware of scam delivery order updates. Scammers often send fake shipping notifications with sketchy links. Only check tracking via the retailer’s official website.

• Check the domain history using a WHOIS lookup tool. Recently registered or private domains can be risky.

Taking time to vet an unfamiliar site or seller can help you avoid scam websites that don’t deliver goods or steal your money.

Use Secure Payment Methods

Stick to secure payment methods like credit cards when shopping online. Here’s why:

• Credit cards offer stronger fraud protection than services like bank transfers, gift cards, cryptocurrency, or wiring money. The Fair Credit Billing Act limits your liability if unauthorized charges appear.

• Avoid money transfer apps like Zelle, CashApp, or Venmo for online purchases. These lack consumer protections compared to credit cards.

• Never pay by gift card or pre-paid debit card. Scammers often insist on these – once you share the codes, the money is gone for good.

• Avoid clicking unknown links to pay. Beware “phishing” – scammers send emails or texts with fake payment links to steal financial information. Type the retailer’s URL directly into your browser instead.

Sticking with major credit cards gives you the strongest defense against fraud and ensures you retain purchase protections. Avoid shady payment links or pressure to pay in risky ways.

Use Caution With Third-Party Websites

Third-party online retailers like Amazon Marketplace, eBay, Etsy, Facebook Marketplace, and Craigslist offer convenience but also risks:

• Vet each seller carefully – don’t assume all are legitimate. Check reviews, business details, return policies.

• Beware too-good-to-be-true deals – extremely cheap prices on high-demand or luxury goods are red flags.

• Watch for fake product reviews and ratings – scammers often manipulate these to appear reliable.

• Meet locally and pay in cash if possible when buying via Craigslist, Facebook Marketplace, etc. This gives you a chance to inspect items first.

• Pay by credit card if buying remotely – this gives you more fraud protection. But first thoroughly vet each seller.

With some basic precautions, you can often find great deals safely through third-party sellers. Just remember to research each one before buying.

Use Secure Wi-Fi and Apps When Shopping

Your cybersecurity is only as strong as your internet connection. Take these precautions when shopping online:

• Avoid public Wi-Fi – it is often unsecure, allowing hackers to steal your data. Use your phone carrier’s data plan instead.

• Install anti-virus and anti-malware software to detect and block threats including phishing links. Keep all software updated.

• Check for “HTTPS” in the URL when entering payment details – the “S” indicates data encryption for secure transactions.

• Only download apps from official app stores like the Apple App Store or Google Play Store. Their review process helps avoid malware.

• Beware phishing emails or texts. Don’t click unknown links – instead navigate directly to retailers’ sites.

Cybercriminals target shoppers online. Being vigilant about digital security helps protect your devices, payment information, and personal data.

Watch For Common Online Shopping Scams

Despite your best precautions, savvy scammers still employ tricks to steal money and information. Watch for these common schemes:

Fake Website Scams

• Scammers create convincing copycat websites impersonating real retailers. The sites often offer huge discounts to lure victims.

• Typosquatting sites use intentional misspellings of retailers’ URLs to intercept traffic – e.g. “amzon.com” vs “amazon.com”.

• Always verify you are on the legitimate site before entering any personal or payment information.

Social Media Scams

• Scammers hack social media accounts or create fake profiles posing as trusted brands. They offer free giveaways, huge discounts, or links to malicious sites to steal data.

• Calls or emails asking you to verify account details after “suspicious activity” are also often scams aiming to steal your credentials.

Unsolicited Order Scams

• Scammers send unordered items to victims along with demands for payment. You are legally not required to pay for unsolicited goods – always refuse the package if this happens.

Puppy Scams

• Scammers post ads for in-demand pets like French bulldogs or labs, asking buyers to pay before meeting the animal. They take the money and disappear without ever providing a pet.

• To avoid, only adopt from reputable shelters and rescues, or meet breeders and pets in person before paying.

Staying vigilant for red flags and tricks like these helps you avoid losing money to online shopping scams. Trust your instincts – if an offer seems too good to be true, it probably is. Don’t let great “deals” cloud your judgment.

How to Report Online Shopping Fraud

If you fall victim to a scam, immediately act to limit damages:

• Report unauthorized charges to your credit card company to dispute the transactions. Also request a new card number to prevent future fraudulent charges.

• Change account passwords for retailer sites that were compromised. Make passwords long, unique, and hard to guess.

• Call the retailer to report fake websites misusing their name – they may request takedowns.

• File a complaint with the Federal Trade Commission (FTC) and Internet Crime Complaint Center (IC3). These help authorities identify and prosecute scammers.

• Warn others by leaving negative reviews about any fraudulent sellers, websites, or social media accounts you encountered. This helps prevent others being victimized.

• Cancel or close any accounts that were compromised, like Zelle or Venmo. Watch for any suspicious activity on your other financial accounts.

Staying vigilant, acting quickly if scammed, and warning others are your best defenses.

Conclusion

Online shopping delivers great convenience, selection, and value when you take basic precautions. Research sellers thoroughly, stick to credit cards, use secure apps and Wi-Fi, and watch for common scams. If fraud does happen, report it immediately to limit the damage and help authorities catch criminals. Staying informed and vigilant makes e-commerce rewarding while protecting your hard-earned money.