Fraudsters are plotting new ways to rip off the growing number of shoppers hunting Black Friday and Cyber Monday bargains online, meaning more consumers than ever will fight unwanted emails instead of in-store crowds this weekend.
Mastercard SpendingPulse estimates that online holiday shopping will grow 6.7% this year, compared to 2.9% annual growth for in-store shopping.
“Fraudsters are becoming increasingly clever as technology evolves, and during this busy shopping period, it provides the perfect opportunities to exploit the increased volume of transactions and potentially catch shoppers off guard,” says Michael Dinich, founder of the personal finance website Wealth of Geeks.
The Pennsylvania-based website has released a list of the 10 most common scams for shoppers to watch for this weekend:
1. ‘Incorrect bank details’ messages
Scammers send “billing information is incorrect” emails and tell shoppers to change it immediately to protect an online order. The goal is to make victims enter their payment details and financial information on a fake website that mimics the retailer.
2. ‘Hot deal’ sites
This scam advertises hard-to-find items on fake websites posing as legitimate online sellers. After placing an order on a too-good-to-be-true deal, the money vanishes and the item never arrives.
3. Phishing emails
Phishing emails prompt would-be victims to disclose sensitive information by clicking on a link or pop-up. Warning signs include the absence of the prefix “https” or a locked padlock symbol in the web address, plus poor website designs.
4. Fake tracking numbers
Cybercriminals send fake package tracking notifications in an email attachment or link. When victims click the link or open the attachment, it takes them to a phishing site or infects their device with malware that extracts their financial information.
5. Instant message ‘deals’
Some fraudsters hack into instant messaging apps to announce unbelievable deals on hot products through a link to what looks like a well-known website. These scams copy the retailer’s web address and site layout and install malware on a victim’s device.
6. Fake charities
Online criminals target the annual surge of charity donations during winter holidays by setting up fake nonprofits and pressuring people to donate. Warning signs include sites that require payment only through gift cards, wire transfers or cryptocurrency.
7. Fake social media profiles
Scammers often set up fake social media profiles that copy a retailer’s images, slogans, hashtags and content to extract financial information or sell counterfeit products. They typically feature aggressive advertising and unbelievable deals.
8. Fake Amazon reviews
Scammers push knock-off or inferior versions of popular items on Amazon by posting fake product reviews. Warning signs include unusual English phrases and technical jargon in the reviews.
9. ‘Gray market’ distribution
Products sold outside of an authorized network of sellers may feature defective displays, packaging, handling and shipping. It can be hard to return or exchange these so-called “gray market” products, especially stolen and resold goods.
10. Empty gift card scams
Other scammers sell empty or stolen gift cards on the web, or they sell voided discount codes through email and social media. According to Wealth of Geeks, shoppers should buy gift cards or coupons directly from the retailer that offers them.
Mr. Dinish urged online bargain hunters to use strong passwords, enable two-factor authentication, avoid clicking on unfamiliar links and monitor their financial statements for “any suspicious transactions” this weekend.
“Most of the time, a cybercriminal’s motive is to steal a customer’s money, or personal information such as bank details, login credentials, personal address,” he said.
• Sean Salai can be reached at ssalai@washingtontimes.com.