Beware of These Common Holiday Scams
The holiday season is a time of joy, generosity, and celebration, but it’s also a prime time for scammers. With so much focus on shopping, giving, and traveling, it’s easy to let your guard down. Every year, countless people fall victim to scams that exploit the spirit of the season, leaving them with financial loss, stolen personal information, and frustration. In fact, the Federal Trade Commission (FTC) reported that consumers lost over $330 million to online shopping scams alone in 2023, a number that’s expected to rise during the 2024 holidays. As scammers become more sophisticated, they target people through both digital and in-person schemes. Whether you’re shopping for gifts, donating to charity, or planning a vacation, staying informed is the best way to protect yourself. In this article, we’ll break down the top five holiday scams of the year and offer practical tips to help you steer clear of them so you can enjoy a safe, stress-free holiday season.
Fake Online Retailers
One of the most common scams is fake online retailers. These fraudulent websites mimic legitimate stores and lure shoppers in with deals that seem too good to be true. You might order a product and receive a cheap counterfeit—or nothing at all. Worse, the scammers may steal your credit card information. According to the Better Business Bureau, online purchase scams accounted for nearly 40% of all reported scams in 2023. To avoid this, stick to reputable retailers or well-known platforms like Amazon. Check that the website URL starts with "https" and includes a padlock symbol, which indicates it’s secure. A quick search for reviews or scam alerts about the site can also save you from trouble.
Gift Card Scams
Gift card scams are another popular tactic during the holidays. Scammers often impersonate utility companies, government agencies, or fake employers and insist on urgent payments via gift cards. They might also tamper with cards in stores, draining the balance before you even use them. To protect yourself, remember that no legitimate organization will ever ask for payment in gift cards. Inspect cards for signs of tampering before purchasing, and never share gift card codes online or over the phone.
Shipping Notification Phishing
Shipping notification phishing schemes are on the rise as well. You might receive an email or text claiming to be from UPS, FedEx, or another shipping company, saying there’s an issue with your delivery. The message includes a link that either installs malware on your device or directs you to a fake site to steal your personal information. Phishing emails are a significant threat, with phishing attacks increasing by 50% globally in 2023, according to cybersecurity experts. To avoid falling for this, always verify tracking details on the shipping company’s official website. Watch out for red flags like misspellings, generic greetings, or suspicious links in these messages.
Charity Scams
Charity scams are especially prevalent during the holiday season, preying on people’s goodwill. Fraudsters create fake charities or impersonate real ones, appealing for donations that never reach those in need. Before you donate, take time to research the organization using tools like Charity Navigator or GuideStar. Donate directly through the charity’s official website and be wary of high-pressure tactics or unsolicited messages.
Holiday Travel Scams
Holiday travel scams are another big concern. Fraudsters offer deeply discounted flights, hotel rooms, or vacation rentals to lure in travelers. Unfortunately, many people pay upfront only to discover the deal was a scam or that the rental property doesn’t exist. To stay safe, use trusted booking platforms or reputable travel agencies. Be cautious of deals that are dramatically cheaper than market rates, and always pay with secure methods like credit cards instead of wire transfers or prepaid debit cards.
Scammers thrive during the holiday season, but with a little vigilance, you can avoid falling victim to their tricks. Whether you’re shopping online, buying gift cards, or planning travel, take the time to verify sources and stay cautious about sharing personal or financial information. Share these tips with friends and family to help spread awareness. With the right precautions, you can focus on what truly matters this holiday season—enjoying time with loved ones and making memories to cherish.