The holiday season often marks an increase in fraud attempts and scams. Fraudsters often try to take advantage of the increase in consumers’ online presence during the holidays, inventing new ways to trick you into handing over valuable personal information. Fortunately, there are simple things that you can do to avoid becoming a victim of identity theft or a holiday scam.
Be careful of look-alike websites
Check web addresses for anything out of the ordinary like extra letters or misspelled words. It is safer to use a credit card than a debit card when making online purchases. If your credit card is stolen or compromised, your credit card company will issue a credit to your account. If your debit card is compromised, your available cash is affected immediately and may take longer to recover.
Watch out for phony charities
Scammers like to take advantage of consumers’ generosity during the holidays by creating fake charities or misusing the name of a well-known charity to get contributions sent to them. Avoid charity scams by researching on Give.org before making a donation.
Be wary of fraudulent shipping notifications
Con artists send bogus Amazon, FedEx and UPS emails containing fake shipping information with attachments or links to sites that will download malware on your computer to steal your identity and your passwords. If in doubt, don’t click on any links. Confirm with the shipping company using a website or phone number you know is real – do not use the information that the email or text provides. Most importantly, don’t share your personal information with anyone.
Research the seller
Shop with reputable companies that you’re familiar with. Check consumer reviews about their reputation and customer service, and make sure to thoroughly research shipping, refund or return policies in case you need to return or exchange an item. Make sure the company offers contact information or customer service options in case of any issues.
Look for secure checkout
Before you put in your payment information, double check that the website address starts with “https.” The “s” means that the site is secure. If you don’t see the “s,” don’t enter your information. Be cautious of fake online shopping websites that require payments using prepaid debit cards, money orders, bitcoin, prepaid gift cards or wire transfers where you have little chance of recuperating your money. You many have more protection if you pay with credit cards, debit cards or PayPal.
Use caution when purchasing gift cards
Gift cards are a popular item, but make sure you only purchase them from sources you know and trust. Think twice about buying gift cards from online auction sites, to avoid purchasing fake or stolen cards. If you purchase a physical gift card, carefully inspect the card and report the card to the store if anything looks scratched off or damaged.
Building awareness is the first step to protect yourself from holiday scams and frauds. Monitor your transactions and statements carefully by downloading the free Hawaii State FCU Mobile App and sign up for transaction alerts.
If you find yourself a victim of any type of fraud or scam, contact your financial institution, notify your local police, and report the incident to the Federal Trade Commission, to help them in their fight against fraudulent practices. You can file an online frauds complaint with the FBI’s Internet Crime Compliant Center (IC3), the Federal Trade Commission and the Better Business Bureau. Complaints against foreign companies can be filed with EConsumer.
For more tips on avoiding scams and additional resources, visit www.consumer.ftc.gov/features/scam-alerts.
