Holiday shopping scams | blog.firstffcu.com

The holiday season is a delightful time of cheer, but it also brings an increased risk of identity theft and financial scams. Findings from Norton show that 34% of adults report taking larger risks in regard to online transactions during the holiday season. At First Financial, we’re dedicated to helping you navigate this bustling period safely. Here are some essential strategies to protect your finances and personal information while you enjoy the season’s festivities.

Embracing Safe Online Shopping Practices

As you embark on your holiday shopping, especially online – remember the importance of secure transactions. Prioritize shopping on trustworthy websites, signified by ‘https’ in their URL and a padlock icon. These symbols indicate a higher level of security, crucial for protecting your sensitive data. Additionally, avoid the pitfalls of public Wi-Fi when shopping; these networks can be hotspots for data theft. It’s also wise to stay alert to the risks of unsolicited emails and social media links. Instead of clicking on these, it’s safer to directly type the retailer’s address into your browser.

Monitoring Accounts and Understanding Financing

Keeping a close eye on your bank and credit card statements is essential this time of year. Regular monitoring helps you spot and report any unauthorized transactions quickly. Also, take the time to understand the terms of any financing or subscription services you sign up for. Being aware of the details can help you avoid unexpected charges and ensure that your holiday spending remains within budget.

In Store Shopping: A Blend of Caution and Awareness

When shopping in physical stores, your wallet and personal information need safeguarding. Keep your wallet and ID in secure, hard-to-reach spots to deter theft. Pay attention to the ATMs and payment terminals you use; look out for any signs of tampering – like skimming devices, which are a red flag. Additionally, ensure all your personal devices are secured with strong passwords and touch ID features, adding an extra layer of protection in case they are lost or stolen.

Gift Card Purchases: Vigilance is Key

Gift cards are popular during the holidays, but they require careful consideration. Before buying, inspect each card for signs of tampering and always keep the receipt. Be wary of online offers for free or discounted gift cards, as these can often be scams. When purchasing virtual gift cards, ensure the website and company are legitimate to avoid falling prey to fraud.

Being Informed: The First Step to Security

Doing your homework before diving into holiday shopping pays off. Researching products, comparing prices, and being aware of sales can save you not just money, but also protect you from scams. Be cautious about sharing personal information for coupons or discounts; such tactics are often used by scammers to gather data.

This holiday season, let’s embrace the joy and spirit of giving, armed with the knowledge and tools to protect our identity and finances. By staying informed and cautious, you can enjoy the season without the worry of falling victim to scams.

First Financial is here to support you in your financial journey, during the holidays and beyond. Subscribe to our blog, get in touch, or stop into any branch to learn more about safeguarding your finances. Let’s make this a joyful and secure holiday season!

Now that Thanksgiving has passed, holiday shopping is in full swing. Even though inflation will affect consumer spending and shopping habits, holiday sales are still expected to reach $1.45 to $1.47 trillion this year. And as with any big shopping event, it’s expected that fraudsters will find ways to scam consumers.

Every year, scammers use similar tactics to trick shoppers. While some are more obvious than others, it’s important consumers stay aware of common holiday fraud patterns so they can protect themselves and their finances. Here’s what you should be on the lookout for this holiday season.

Online holiday shopping fraud

Malls and local department stores can be overwhelming this time of year, so it’s no surprise more individuals are choosing to shop online. In fact, e-commerce sales are expected to increase 14.3% and hit up to $264 billion. Convenience is key when it comes to shopping, but that means there’s more to be on the lookout for too – including scam e-commerce shops.

When looking for specific out-of-stock or pricey items, it may be tempting to purchase a version found on a website resembling a legitimate store. However, these scam shops can take your personal and payment information and then never actually ship the item. Fraudulent e-commerce websites are more common than you think. These fake sites mimicking legitimate stores grew 178% in 2021 with 5,300 new websites per week.

Trust your gut. If you see a site like this, do a thorough Google search to see if the company has legitimate reviews. If you see others mentioning it looks fake or is a scam, do not buy any items from their website.

Online banking scams

More than 65% of people use an online banking service to manage their finances. And as digital services have gotten more popular, scammers are using smarter con methods to access an individual’s finances or take their identity. Here are major online banking scams to look out for.

Loan scams: When scammers pretend to be a legitimate bank offering a low-rate loan through an email or convincing website. This is a way for them to take your information and access your bank account.
Wire fraud in real estate: A scam where someone will use already occurring real estate transactions to hack the company and make wire transfers to themselves. These transactions can seem legitimate and go undetected if not monitored.
Fraudulent checks: When an individual is used as a mule for fraudulent checks. This will look like an email or message from someone they know, asking the person to help by opening a bank account and cashing a check, and promising them a portion of the money. These checks will bounce and cause the victim’s account balance to go negative.

Related Article: How to Avoid Banking Scams and Stay Safe Online

Seasonal job scams

With the increasing number of remote work opportunities, job seekers are vulnerable to employment scams. Typically with seasonal jobs, you might think of retail or restaurant gigs – but e-commerce roles are also becoming more popular. These scams can look like typical remote work, but contain promises that seem too good to be true. Oftentimes the company will ask you to cover work expenses upfront with the promise of paying you back through a check or transfer. With any job listing you’re applying to, it’s crucial you do extensive research on the company and assess if this is a legitimate opportunity.

Travel and vacation fraud

Holiday travel and family vacations are a desired market for fraudsters. In 2021, there were over 4,000 mentions of fraudulent airlines and hotel offers featured on the dark web. With such a large industry – travel fraud can take on many forms, including frequent flyer mileage scams, currency exchange, bogus travel agencies, rental cons, fake hotel or flight listings, and more. This is yet another way for scammers to take your information and access your finances. When it comes to travel (and any purchase), it’s important to buy from websites and companies you know and trust. If you see a package deal, do your research to ensure it’s a real offer.

You can count on First Financial to go above and beyond to help you avoid fraud and protect your finances. If you ever see something suspicious, you can always contact one of our financial experts to help you determine if the offer, website, or service is legitimate. Contact our member services department at 732-312-1500 or visit one of our branches.

We hope you have a safe holiday shopping season!

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