How to spot online shopping scams and fake offers

With one click you can have products delivered to your home in a snap, and the convenience of online shopping makes it accessible to anyone with a device. According to Yaguara, a market data platform for e-commerce companies, 275 million people in the US (or over 81% of the total population) shop online.

While shopping online has its benefits (from discounts to comparison shopping and fast shipping), you can become a target for scams and fake offers. According to Statista, the global e-commerce fraud detection and prevention market was estimated at $36.7 billion in 2021 and is expected to grow over the next few years, crossing the $100 billion mark by 2027.

Although this is an alarming number, you can protect yourself from fake offers and online shopping scams by following expert tips.

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1. Always check the returns policy

Always read the returns and exchange policy before purchasing anything. You don’t want to get stuck with something you don’t want, nor do you want to pay a huge return fee. You’d be surprised how many companies make returns a hassle, which can be a red flag.

“I like to learn about return policies,” says Trae Bodge, smart shopping expert at Truetrae.com. “Can you return something for free or is there a fee? How long does it take to return something? Sometimes companies cheat customers by making returns impossible.”

2. Don’t fall for fake freebies

Beware of freebies. If it is an untrusted site, your personal information may be stolen.

“Scam sites often try to trick you into providing your credit card or other payment information, even for products advertised as free,” says Shelley Hunter, founder of Consumer Guide to Gift Cards.

“You might see an offer for a free print, free fonts or photos, or a free gift card. However, to receive the freebie, you must provide your credit card information to prove you are the person.”

To prevent becoming a victim, Hunter advises checking the site with ScamAdvisor.com or doing a quick search to see if anyone has reported it as a scam.

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3. Stay away from sponsored sites to avoid gift card scams

Gift cards are easy and popular gifts that scammers love. They create fake websites designed to look legitimate, complete with logos and layouts that are strikingly similar to the website you think you are logging in to.

“To increase visitor numbers, fraudsters bid on specific keywords associated with legitimate gift card activation sites, causing their fake websites to appear at the top of search results,” says Hunter.

Fraud occurs when the card is activated and the card number and PIN are entered. “Once you enter this information on the scam website, fraudsters will immediately steal the value of the gift card and use it to their advantage.”

However, there is a way to protect yourself against gift card fraud:

• Type in the full address manually, “without letting the search engine finish it,” Hunter advises. “Scammers create websites with similar URLs to scam you, so entering the exact address will help you avoid these fake sites.”
• Stay away from sponsored websites. “Scammers often pay to have their fake websites outperform legitimate sites in search results,” says Hunter. “Avoiding sponsored links reduces the risk of ending up on a fake site.”
• Always use QR codes or direct links, says Hunter. “Use a QR code or other direct link to the gift card activation page to minimize the risk of incorrectly entering the URL or selecting a fraudulent link.”
• Finally, you can accurately compare URLs to prevent gift card theft. “Always compare the URL displayed to the address on the back of the plastic gift card. If the URLs aren’t exactly the same, that’s a red flag,” Hunter says.

If in doubt, please call the phone number on your gift card for assistance.

4. Research unknown sellers

Buying from an unknown company or seller can be risky, but Bodge recommends checking with Trustpilot or the Better Business Bureau before purchasing. “I also like reading the comments on their social media posts, which can be very telling,” she says.ae0fcc31ae342fd3a1346ebb1f342fcb

RELATED: 6 best coupons and deals if you’re over 55.

5. Shop safely

Before purchasing anything, check your payment options to make sure there are secure methods.

“I would suggest avoiding paying with a debit card because it is not as secure as paying with a credit card,” says Bodge. “Also, never send cash or wire transfers, and if someone asks you to buy a gift card and pay with it, run, not walk. This is classic fraud.”

6. Don’t pay for concert tickets with cash

Music festival season has begun and many bands are going on tour this summer. Traveling to see your favorite artist is becoming increasingly popular, according to Bodge, according to a recent Bread Financial survey.

“Nearly two in five Gen Z and Millennial travelers spent $500 to $5,000 or more on tickets alone to live events in their destination.”

But this may be a cause for concern.

“If you purchase concert tickets outside of traditional platforms like Ticketmaster, be wary of requests to pay in cash, gift cards or other unsafe methods.”

RELATED: The 20 best and worst states in which to buy concert tickets.

7. Text or email messages

It’s common for brands to send texts or emails to notify you of a prior sale, but Bodge warns to be careful.

“If the offers are too generous, read them carefully, looking for spelling mistakes, weird-looking URLs, etc. And if you click on a link and your email server raises a red flag, you should leave.”

Hunter also advises buyers to approach unexpected news with caution.

“You may receive a text saying your shipment has been held by customs due to an invalid shipping address, or that USPS or UPS is trying to deliver a package but needs your correct address,” he says.

“These scams trick you into providing personal information and potentially making a payment.”

Delete the message or hang up, especially if you’re not expecting delivery, Hunter says.