How to Shield Yourself from Holiday Scams: A Quick Security Checklist

• Tuesday November 28, 2023

As the holiday season approaches, bringing joy and festivities, it’s also accompanied by a less welcome guest: holiday scams. During this time, a surge in online shopping, travel planning, and charitable giving provides a fertile hunting ground for fraudsters. Understanding the nature of holiday scams, recognising their work, and knowing how to protect oneself are crucial for a secure holiday season. It is essential to know and understand online shopping safety tips to protect yourself from holiday scams.

A staggering estimate suggests that nearly 75% of Americans have encountered at least one type of holiday scam, with losses reaching over $281 million to online shopping and non-delivery scams in the past year alone.

In India, the festive season, encompassing major holidays like Diwali, Christmas, and the New Year, is also a time when scammers actively target consumers. With an increase in online shopping due to mega sales events like the Great Indian Festival or Big Billion Days, the opportunities for fraud escalate.

Understanding Holiday Scams

A holiday scam is any deceptive tactic that targets individuals during the festive season. Scammers exploit the generosity and the hunt for good deals that this season is known for. Common holiday scams involve:

• Phishing Scams: Disguised emails or texts from reputed companies leading to fake websites or malware.
• Fake Online Stores: Websites mimicking legitimate retailers that never deliver the goods or send counterfeit items.
• Charity Scams: Illegitimate entities posing as charities to solicit donations.
• Travel Scams: Nonexistent travel packages or airline tickets are offered at attractive prices.

These scams are not just limited to online platforms but also include phone calls and physical mail theft.

In the Indian context, the festive season is particularly susceptible to scams, with popular shopping festivals and increased usage of digital payment platforms like UPI adding to the risk. It’s essential to be wary of SMS and WhatsApp messages promising lucky draws, heavily discounted e-commerce deals, or too-good-to-be-true holiday packages. Always verify such offers directly with the service providers and never share payment details or personal information without proper verification.

Here are some specific scams prevalent in India during the holidays:

• SMS and WhatsApp Scams: Scammers send messages claiming that you’ve won a lucky draw or are eligible for an exclusive deal. They often ask for an advance fee or personal details to process the winnings.
• E-commerce Frauds: Fake websites are created that look similar to popular Indian online marketplaces. These sites offer high-demand items at low prices, but the buyers either never receive their orders or get counterfeit products.
• UPI Scams: Fraudulent requests for money transfers or deceptive QR codes are sent under the guise of payment for goods, claiming instant cashback or rewards.
• Holiday Package Scams: Offers for discounted travel and holiday packages to destinations like Goa during Christmas or the Himalayas for New Year can be misleading. Once payment is made, the travel services are found to be nonexistent.

The Mechanics of Holiday Scams

Scammers use a variety of psychological tactics to deceive their targets. They create a sense of urgency to push victims into making quick decisions. Emotional appeal is another tool, where they play on the desire for bargains or the fear of missing out on holiday specials. Social engineering is also at play, where scammers personalise attacks using information gleaned from social media or public records.

Proactive Measures Against Scams

To avoid becoming a statistic, here are key steps to take:

• Be Skeptical: If you receive unsolicited offers that seem too good to be true, they likely are.
• Verify Websites: Look for security indicators like the “HTTPS” prefix and a lock icon in the browser’s address bar.
• Use Reputable Retailers: Stick to well-known online stores with positive customer reviews.
• Exercise Caution on Social Media: Engage only with promotions from verified sources.
• Research Charities: Use sites like CharityNavigator.org to confirm the legitimacy of nonprofits.
• Guard Personal Information: Do not share sensitive details like your Social Security number or bank information unless absolutely sure of the legitimacy.
• Online Shopping Safety Tips: Proactively educate yourself and your loved ones with essential tips to fend off scammers. Engage with cybersecurity professionals, participate in informative webinars, and stay abreast of the latest scamming trends. Spreading awareness is equally important; share your knowledge to create a community vigilant against holiday fraud.

Now that we’ve covered how to protect yourself from holiday scams let’s put these strategies into practice. Imagine you come across the following scenario during the holiday season — how would you respond? Let’s walk through the steps you should take to ensure your safety and security.

Hypothetical Scenarios:

A common scam scenario in India, especially around the holiday season, could involve fraudulent e-commerce deals. Here’s a hypothetical scenario and the best response to it:

Scenario:

You receive an email claiming to be from a popular online retailer offering an exclusive ‘Diwali Sale’. The email looks legitimate with the brand’s logo and mentions a massive discount on electronics. It prompts you to click on a link to access these exclusive deals.

Best Response:

• Verify the Source: Hover over any links to see where they actually lead. Do not click if the URL looks suspicious or doesn’t match the retailer’s official website.
• Look for Red Flags: Check for spelling mistakes, generic greetings like “Dear Customer,” or urgent calls to action, as they are common indicators of a phishing attempt.
• Direct Confirmation: Go directly to the retailer’s official website or contact their customer service to confirm the legitimacy of the sale.
• Use Official Channels: Make purchases through the retailer’s official app or website rather than through links in unsolicited emails.
• Report the Scam: If you identify the email as a scam, report it to the retailer and relevant cyber-crime authorities in India, such as the Cyber Cell of the local police or the Indian Computer Emergency Response Team (CERT-In).

Incidence of Holiday Scams

Indeed, scams increase during the holidays. This trend is driven by the volume of online transactions and the general spirit of giving. The Internet Crime Complaint Center reported staggering losses of over $500 million to various scams, with a notable spike in complaints in the early months following the holiday season.

Responding to Suspected Scams

If you fall prey to a scam, swift action is imperative:

• Alert Financial Institutions: Contact your bank or card issuer immediately to flag fraudulent transactions.
• Notify Authorities: File a report with the Federal Trade Commission and consider a police report if you have substantial information on the scam.
• Secure Digital Footprint: Change passwords and use antivirus software to scan your devices.
• Monitor Credit: Set up credit monitoring to stay ahead of potential identity theft.

Conclusion: Embracing Online Shopping Safety Tips for a Secure Holiday

The cornerstone of a scam-free holiday is the implementation of online shopping safety tips with a vigilant and proactive approach. While scams undoubtedly intensify during the festive period, armed with due diligence and a healthy dose of scepticism, you can traverse this season safely. Prioritise verifying the authenticity of shopping sites and charities, and treat unsolicited deals with a critical eye. Informed and equipped with the right practices, you can relish the festive warmth and generosity, all while steering clear of the deceptive traps set by scammers.