By Julie Matthews
The holiday season is approaching quickly, and for many Canadians, that means more shopping, often online. Unfortunately, fraudsters know it, and they are lying in wait.
Every year, scammers take advantage of the hustle and bustle of the holidays and the rush to find the perfect gift. They create fake websites, advertisements and convincing social media posts designed to get you to act quickly.
Be suspicious of a deal that is too good to be true
The deeply discounted designer item, power tool or popular Christmas toy may look like a great bargain. Before clicking “buy,” stop and ask yourself why this seller can offer it for dramatically less than everyone else
Scammers rely on excitement and urgency. Messages such as “only two left” or “sale ends in 10 minutes” are often traps designed to make us act without looking into the product or company more carefully.
Take your time. Compare prices with other retailers and research the company.
Don’t assume a social media ad is legitimate.
One of the biggest mistakes many people make is assuming that because an ad is on our favourite social media platform, someone must have verified it is legitimate. Fraudsters can purchase advertising too.
Instead of clicking on an ad on social media, look up the retailer independently. Check the website carefully, and read reviews on the company that you search online. Be cautious with unfamiliar websites that have no physical address or a phone number you can call if something goes wrong.
Look beyond the five-star reviews
Reviews are very helpful, and I use them all the time when I am shopping. If a product has a low number of reviews, I will not buy it.
However, reviews can be manipulated. AI, especially, has made creating fake reviews so much easier for fraudsters and even retailers. A page filled with flowing five-star reviews may not be accurate, and all 1-star reviews might not be correct either.
Look at reviews on more than one website. Read positive, negative and mediocre reviews to get a true picture.
Pay with a credit card when possible
How you pay matters. A credit card provides better options for disputing a transaction than payment methods like debit, wire transfers, gift cards, e-transfers and cryptocurrency. It is a warning sign if a seller wants to be paid in gift cards or cryptocurrency.
Many shoppers who purchase online often have a second credit card with a lower limit that they use for online purchases. This helps them easily track online charges and limits the liability if fraudsters access it somehow online.
Watch for fake delivery messages
The scam doesn’t always end once you have finished shopping. During the holidays, most of us are expecting a parcel. The scammers know this and love to impersonate shipping companies.
You may receive an email or text claiming your parcel could not be delivered and asking you to click on a link to verify your address or pay a customs or delivery fee. Don’t click the link in the message. Instead, visit the courier or Canada Post website yourself and enter your tracking number there.
Slow down before you check out
Perhaps the most valuable tip is just to slow down. Fraudsters want us rushed, worried, stressed or afraid we are going to miss out. Taking a few minutes to confirm, research and double-check a purchase is worth it.
It may also help us catch typos in an address or phone number we entered, or whether we are paying in US dollars instead of Canadian currency because we ended up on the American version of the website. Slow down; it stops scams.
Stop. Check. Then shop.
Happy shopping and happy holidays!
Julie Matthews
Julie Matthews provides dynamic fraud prevention presentations across Western Canada to seniors, businesses and communities. Before starting her own business, Julie was an Investigative TV reporter for 19 years and an investigator with the Government of Alberta’s Consumer Investigations Unit. She is a certified fraud examiner and has the popular weekly segment “Scam Alert” on 840 CFCW radio. For more information or to book Julie, visit her website juliematthews.ca