Deals Feature
How to Spot a Fake Online Deal Before Holiday Shopping Season Starts
Federal regulators say ads for cheap brand-name goods, demands for unusual payment methods and fake delivery texts are common warning signs.
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Holiday sales are about to start, and so are the scams that come with them. The Federal Trade Commission says many shopping frauds start with a deal that looks too good to pass up.
Red flags
- Too-cheap social media ads. Scammers pose as real companies and advertise brand-name goods at very low prices. The FTC says the link may go to a fake site, and buyers may get a counterfeit, a different product or nothing.
- Odd payment demands. A seller who insists on a gift card, wire transfer, payment app or cryptocurrency is probably running a scam, the agency says.
- Delivery texts with links. Fake messages that claim to be from the U.S. Postal Service, FedEx or DHL report a missed delivery or unpaid postage and link to copycat websites built to collect card numbers. To check on a package, go to the retailer's site or your account yourself.
Before you buy
- Search the seller's name and web address along with words such as review, complaint or scam.
- Look up a phone number, website or business on the Better Business Bureau's Scam Tracker, where consumers post reports that BBB reviews before publishing.
- Pay by credit card when you can. It lets you dispute charges for items that never arrive or are damaged or wrong.
- Save receipts and order confirmation numbers.
- Know the shipping rule: a seller has to ship by the date it promised, or give you the chance to cancel and get your money back.
If something goes wrong
Forward scam texts to 7726 or use your phone's report-junk option. Report fraud to the FTC at ReportFraud.ftc.gov, and consider filing a Scam Tracker report as well so other shoppers can see the warning.
Sources
- How to avoid an online shopping scam this holiday season, Federal Trade Commission
- Think that text message is from USPS? It could be a scam, Federal Trade Commission
- BBB Scam Tracker, Better Business Bureau
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