Don’t Get Snowed by Scammers This Holiday Season

Protect your money, your purchases, and your identity by avoiding these holiday scams

Criminals are getting smarter and more aggressive when it comes to holiday scams. It’s important to stay vigilant as you shop for holiday gifts or give to charitable organizations. Here are common scams and ways to avoid them.

Gift Card Scams

We all have that friend or family member who is impossible to buy for. Purchasing a gift card can be the perfect alternative. If you choose to purchase gift cards, buy them at reputable places, e.g. a financial institution, grocery store, or another retailer. Check the fee for purchasing the card; it should be printed somewhere on the packaging. If the fees are exorbitant, it could be a scam.

Be mindful of someone claiming to be a friend or family member who needs money during the holiday season. If they insist on giving them money in the form of a gift card, you are likely being scammed.

Social Media Scams

More than 2.1 billion people use Facebook every day. There are ads targeting these users based on algorithms that analyze likes and other activities. While these ads may look enticing, buyers beware because they may be a scam. Rather than purchasing the product directly from the ad on a social media platform, go to the company’s website or Amazon to look for the product.

Another social media scam may include a scammer who sets up a fake social media account. These fake accounts may be someone acting like a friend or family member, a celebrity, a government official, an employer, or a business. These scammers then deceive you to try and get your personal information. Do not give your name, address, phone number, social security number, credit card number, or any other personal data.

Package Delivery Scams

This scam starts as a text message or email pretending to be a legitimate carrier, like UPS, FedEx, and USPS. The message states your package is either on the way or there is an issue with the delivery. Embedded in the message is a link to update your delivery or payment. Don’t click the link. By clicking the link, you may inadvertently download malware which is one of the biggest threats to the security of your computer or other mobile device. Malware includes viruses, spyware, ransomware, and other unwanted software that steals your sensitive information.

“Porch pirates are another threat to package delivery during the holiday season. These are people who steal packages right off your front porch. To catch porch pirates, install a security camera where your packages are delivered. This can act as a deterrent. You may also want to route the package to your place of employment or a PO box.

If you haven’t heard of “brushing,” pay particular attention to this new scam. Brushing is when a person receives an unexpected package from an unknown person. Typically, when the package is opened there’s a QR code inside to tell you who sent the package. After you scan the QR code, the scammer obtains all your information on the device. The scammer will have access to your credit card information, bank account information, and more. Don’t scan questionable QR codes.

Charity Scams

Do your homework before you give money to a specific charity. If you receive a phone call, don’t be in a rush to donate. The caller may be pressuring you to donate immediately, this is a trick scammers use. Take time to look them up on the following websites to see if they exist:
  Remember, a legitimate charity will take a cash donation or credit card donation. Do not donate money by gift card, cryptocurrency, or wire transfer.

When you donate be careful to review your statements closely to make sure the organization charged you the amount agreed upon and there are no recurring charges.

Rental Property Scam

Many families vacation to a variety of destinations to celebrate Christmas together. Unfortunately, fraudsters prey on eager travelers. A scammer posts a vacation rental online that may not even exist. With the power of Artificial Intelligence (AI), scammers can create luxurious looking properties and offer a reduced rate for the rental. Once you contact them, the scammer tries to communicate with you directly instead of the online listing asking for payment. This makes it nearly impossible to trace if you give them money.

It's recommended to use known travel sites like Expedia, Booking.com, and Flight Centre. Book your travel using a credit card because it offers more protection against fraud.

Fake Websites

Fraudsters are setting up fake websites that appear to be a popular online store. These online stores offer luxury items at a discounted price. Sadly, it’s all fake. These look-alike websites have slightly different URLs. Double-check the URL against the actual URL to ensure you are shopping on a legitimate site.

What Should I Do If I Fall for a Scam?

If you fall victim to a scam, report it immediately. Call your bank. You may need to cancel your current accounts including your debit and credit cards. Change your passwords to all your online accounts. If you used your credit card, contact the credit card company and dispute the transaction. Finally, report fraud to the Federal Trade Commission (FTC). Click the link for more information. Federal Trade Commission | Protecting America's Consumers (ftc.gov)