FBI Warns Against Holiday Shopping Scams: Beware of Deals
Last year, over $309 million was lost to fraud related to non-delivery or non-payment.
A reminder from the FBI urges American shoppers to stay vigilant against scams during the holiday shopping season, with thousands falling victim to fraud each year during this time.
“Scammers can not only steal your hard-earned money but also your personal information and, at the very least, your festive spirit.”
The FBI highlighted some common scams to watch out for.
In cases of non-delivery fraud, consumers pay for products they never receive, while in auction frauds, the products shipped are not what the customers purchased. There are instances where online sellers end up getting scammed when buyers fail to make payments.
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“The IC3 receives a significant number of complaints in the early months of each year, indicating a connection to the shopping scams of the previous holiday season,” a previous statement from an FBI field office revealed.
It is anticipated that more than 183 million Americans will shop both online and in-store between Thanksgiving and Cyber Monday this year, according to a survey by the National Retail Federation. Black Friday emerged as the most preferred shopping day, closely followed by Cyber Monday.
Furthermore, attorneys general from multiple states have issued advisories to shoppers, urging them to stay cautious against holiday scams.
The Attorney General of Montana, Austin Knudsen, cautioned against using gift cards or wire transfers for payments, as individuals requesting such forms of payment are likely scammers.
California Attorney General Rob Bonta warned against “gift card draining” scams in a statement dated Nov. 26. In this scam, bad actors acquire pin numbers and other details from unpurchased gift cards.
“Once innocent consumers buy these cards and load money onto them, scammers swiftly use the numbers to make purchases, leaving buyers with worthless gift cards,” the statement outlined.
Protection From Scams
The U.S. Federal Trade Commission (FTC) advised the public that suspiciously low prices indicate a scam. The announcement recommended refraining from clicking on ads that may redirect individuals to scam websites.
The FTC suggested conducting basic research, especially when dealing with unfamiliar sellers. This includes checking authentic seller reviews and looking for any associated consumer complaints or scams.
“Whenever possible, make payments using a credit card. Credit cards provide added protection and allow for disputing charges if received items are not as ordered or not received at all,” the agency emphasized.
“Review the terms of the sale, including the price, additional charges, refund policy, return shipping responsibilities, and the presence of any restocking fees.”
The FBI also recommended employing good cybersecurity practices, such as avoiding clicking on suspicious links or opening unknown attachments. Typically, legitimate e-commerce websites should have “https” in their web addresses.
When making online purchases, it is advised to acquire tracking numbers to monitor shipping progress, the FBI suggested.
“Beware of sellers who create the impression of being U.S.-based but claim to be out of the country due to business, family emergencies, or similar reasons when questioned,” it further added.
A detailed record of all complaints is maintained in the agency’s Consumer Sentinel database, accessible to law enforcement nationwide. Case reports are shared with over 2,800 law enforcement partners for further action.
