Scammers are on the job trying to steal your money 24/7, 365 days a year. And at this time of year, they move into high gear. It’s scams on steroids.
The experts know it’s coming, and you should too. Cybersecurity firms, banks, and credit card companies are all waving red flags at shoppers, warning that a spike in criminal activity is certain this time of year.
It doesn’t matter how old you are (even though seniors are often targeted) or how smart you are. The scammers are coming after you.
A Scary New Tactic
And there’s a new wrinkle this year that makes it even tougher for consumers to know what’s real and what’s a scam. Generative AI (Artificial Intelligence) tools are getting better by the day, creating very realistic sites that can even fool savvy shoppers.
Readily available AI tools can easily mimic the voices and faces of famous people to lure you to their fake websites.
Tom Hanks, Taylor Swift, Tom Cruise, Scarlett Johansson, and others have been “used” to sell items they do not really endorse. Swift, who has a huge online fan base, ranks as one of the most exploited celebs.
One popular fake is a clone of Swift’s voice that offers a bogus deal on Le Creuset cookware sets.
AI is also being used this year to pen advertising copy and phishing (fishy) emails. Unlike previous generations that were full of grammatical and spelling mistakes that served as a tip-off, these look like they came from Madison Avenue.
Social media postings, fake emails, and websites are looking more and more like the real thing. AI is making it easier to commit fraud.
We have grown accustomed to retailers we know and trust sending us special holiday deals. Scammers are preying on that comfort and confidence, using it to their advantage.
Some of our most trusted sites, such as Amazon, are the subject of fake ads and emails that are seemingly indistinguishable from the real thing.
If the Deal Seems Too Good to be True…
It probably is!
This is especially true for luxury items. This holiday season, for example, you can get a Rolex watch for as little as $250. What a bargain! Except, of course, it’s not a bargain at all. It’s a rip-off.
High-end women’s bags from Prada, Louis Vuitton, Gucci, Coach, and others are often counterfeits as well.
Who’s Getting Fooled?
A lot of us are falling for various scams.
- Nearly two out of three Americans admit to impulse buying online, according to the online security firm Norton. That often means we are not spending enough time making decisions or seeing the warning signs.
- Norton also reports that more than half of American shoppers have made holiday purchases by clicking directly on social media advertisements.
- A MasterCard survey found that 72 percent of shoppers say they made purchases from websites they were not familiar with.
- AARP says nearly three out of four shoppers say they plan to buy a gift card, many of which are fraudulent.
- An increasing number of phishing emails pretend to come from delivery services like UPS and FedEx. They try to lure you to click on phony websites and then steal personal information.
- Fraudsters are using AI to create fake websites that look very much like those of popular retailers. They are also placing malicious links in QR codes in emails and ads.
How to Protect Yourself
The advice for the holidays is similar to what we have written about previously:
- Carefully check the email address of the sender by hovering over the link before clicking on it. If it has a bunch of random numbers or characters in it, it’s probably fake.
- Go directly to a retailer’s website instead of clicking on an ad or a social media link. It takes just a few extra seconds to type in Gap.com and verify the URL of the website you intend to visit.
- The Federal Trade Commission says consumers need to do their research, especially before buying from unfamiliar sellers. It suggests you do an online search for the seller and include the words “scam,” “complaint,” and “review” in your search.
- Try to use credit cards instead of debit cards, wire payments, or P2P apps such as Venmo or Zelle. Your credit cards usually provide some degree of fraud protection. Never buy from sellers who demand that you use gift cards, wire transfers, or cryptocurrencies.
It’s also a good idea to take your time. Scammers are counting on your willingness to indulge in impulse shopping. Take the time to decide if a purchase is really what you want to buy, and examine the offer carefully for the telltale signs that we’ve laid out.
The bottom line is: consumers need to be more skeptical than ever before. The old adage “buyer beware” has never been more true than it is right now.
It’s wonderful to give during the holidays. Just be careful of those who want to take.
