Online shopping scams: Essential tips to stay safe this Christmas
With the holiday season fast approaching, millions of shoppers are gearing up for Christmas deals. But they aren’t the only ones. Unfortunately, fraudsters are just as excited – and they’re ready to exploit the surge in online shopping.
Online shopping scams aren’t just a nuisance. They have become one of the most common types of fraud in the UK, often involving fake websites, misleading social media ads and phishing attempts to con vulnerable consumers.
The scale of online shopping fraud in the UK
The scale of online shopping scams is deeply concerning. The National Cyber Security Centre (NCSC) estimates that UK consumers lost roughly £11.5 billion to scams during the 2023 festive period.
Research from the Global Anti-Scam Alliance (GASA) revealed these alarming statistics:
• Average loss per victim: £1,443
• Only 18% recover their money
• 53% report emotional distress
• 61% encounter scams monthly
• 71% never report the scam
These figures highlight the importance of staying vigilant – especially during high-traffic shopping periods like Christmas.
How AI is making online shopping scams harder to spot
Fraudsters are increasingly using AI to create generate realistic product images and polished copy. They can even clone retailer websites, making it even harder to spot scams.
A 2024 Which? survey revealed that one in six shoppers received items that didn’t match the online descriptions, showing how AI can mislead buyers. If you do see misleading ads, make sure to report them to the platform and the Advertising Standards Authority.
How to spot fake online stores: Six warning signs
Before you purchase anything online, look out for these red flags:
1. Unbelievable prices – If it seems too good to be true, there’s a good chance it is.
2. Poor website design – Spelling and grammar mistakes, blurry images, and missing contact info are all signs to beware of.
3. No secure payment options – Avoid websites that only accept bank transfers or cryptocurrency.
4. Urgency tactics – Think twice when you see countdown timers and “only 1 left!” messages to make you feel pressured to act now.
5. Fake or missing reviews – Be on the lookout for spammy looking reviews.
6. Suspicious URLs – Look out for misspellings or odd domains (e.g., amaz0n-sale.com).
Seven expert tips to avoid online shopping scams
1. Research sellers: First off, search the company’s name with “scam” or “reviews” to see other customer’s feedback. If the company is based in the UK, check to see if it’s registered on Companies House.
2. Use secure payment methods: Credit cards or PayPal’s “Goods & Services” option are the reigning champs when shopping online. Bank transfers and cryptocurrency don’t offer the same protection if something goes wrong.
3. Inspect websites: Look for “https,” padlock icons, and clear return policies – all of these are signs of a legitimate website. If in doubt, use the WHOIS lookup tool to check when the domain was registered. If it’s brand new – avoid. It might be a scam.
4. Be cautious of social media ads: Scammers often set up social media accounts to promote their fake stores. If you see any ads that look too good to be true, have a look at the page in more detail. See if it’s verified and read some of the comments to access the legitimacy.
5. Avoid suspicious links: Avoid clicking on links sent via email or text about delivery updates or offers, instead go directly to the official website.
6. Monitor bank accounts: Set up transaction alerts and review statements regularly to spot unknown activities quickly.
7. Report scams: If you think you’ve been scammed, contact your bank immediately to dispute the transaction, then report to Action Fraud.
Spread the word: Protect friends and family from online scams
Shopping online should be convenient and enjoyable – but vigilance is key. Stay informed, trust your instincts, and share these tips with friends and family to help protect everyone this festive season.
Telephone: 01206 761111
Email: info@jameslindsay.co.uk
[1] https://www.scotland.police.uk/advice-and-information/scams-and-frauds/cyber-related-financial-crime/#:~:text=out%20an%20investigation.-,Online%20shopping/action%20frauds,be%20a%20fake%20PayPal%20email.
[2] Black Friday warning: shoppers urged to protect themselves online as figures reveal rising losses to scams
[3] https://www.gasa.org/post/state-of-scams-in-the-united-kingdom-2024-11-billion-stolen
[4] https://www.which.co.uk/news/article/5-ways-ai-is-being-misused-to-fuel-online-shopping-scams-aySmT7x4Y7Vs