'Tis the season for holiday scams. Here are the top 12 scams this year
As we near the end of 2022, scams targeting the public continue to cause trouble. Consumers should watch out for fraudulent schemes threatening their cash and stealing personal information.
The Better Business Bureau has a naughty list with the top 12 scams of the holidays that are most likely to catch consumers and donors off guard during this season.
Many of the scams on this list are facilitated through emails and social media platforms; however, as I often warn social media is a dangerous place. It’s where people are the most vulnerable. Be careful when you come across social media ads about discounted items, event promotions, job opportunities, and donation requests, as well as direct messages from strangers.
If you are asked to make a payment or donation by wire or e-transfer, via a payment app, such as CashApp, Venmo or Zelle, or through third parties, by prepaid debit or gift cards – don’t.
Here’s the naughty list:
Misleading social media ads: As you scroll through your social media feed, you often see items for sale from a business. Sometimes the business even claims to support a charity to get you to order or they offer a free trial. BBB Scam Tracker receives reports of people paying for items they never receive, getting charged monthly for a free trial they never signed up for or receiving an item that is counterfeit or much different from the one advertised.
Social media gift exchanges: This scheme pops back up each holiday season, and this year is no different. A newer version of this scam revolves around exchanging bottles of wine; another suggests purchasing $10 gifts online. Another twist asks you to submit your email to a list where participants get to pick a name and send money to strangers to "pay it forward." There is even a twist about "Secret Santa Dog," where you buy a $10 gift for your "secret dog." It's an illegal pyramid scheme.
Holiday apps: Apple's App Store and Google Play list dozens of holiday-themed apps where children can video chat live with Santa, light the menorah, watch Santa feed live reindeer, track his sleigh on Christmas Eve or relay their holiday wish lists. Review privacy policies to see what information will be collected. Be wary of free apps, as they can sometimes contain more advertising than apps that require a nominal fee. Free apps can also contain malware.
Alerts about compromised accounts: Victims receive an email, call or text message explaining that there has been suspicious activity on one of their accounts. It further urges them to take immediate action to prevent the account from being compromised. Be extra cautious about unsolicited calls, emails, and texts.
Free gift cards: Nothing is "free." In some of these emails, scammers impersonate legitimate companies like Starbucks and promise gift cards to loyal customers that have been supporting their business throughout the pandemic. Some pop-up ads or text messages say you were selected as the prize winner. If you have received an unsolicited email with gift card offers, do not open it. Instead, mark it as spam or junk. However, do not click on any links if you opened the email.
Temporary holiday jobs: These jobs are a great way to make extra money, sometimes with the possibility of turning into a long-term employment opportunity. However, job seekers need to be wary of employment scams aimed at stealing money and personal information from job applicants.
Look-alike websites: The holiday season brings endless emails offering deals, sales, and bargains. Be wary of emails with links enclosed. Some may lead to look-alike websites created by scammers to trick people into downloading malware, making dead-end purchases and sharing private information. If you are uncertain about the email, do not click any links.
Fake charities: Typically, 40% of all charitable donations are received during the last few weeks of the year. Donors are advised to look out for fraudulent charities and scammers pretending to be individuals in need. Don’t be rushed. Responsible organizations will welcome a gift tomorrow as much as they do today. Verify a charity at BBB's give.org website. Where possible, donate to the charity through their website and use a credit card.
Fake shipping notifications: Scammers are using the surge in online shopping to send phishing emails with links enclosed that may allow unwanted access to your private information or download malware onto your device.
Pop-up holiday virtual events: Crooks are creating fake event pages, social media posts, and emails, charging admission for what used to be a free event. The goal is to steal credit card information. Confirm with the organizer of the event if there is an admission fee.
Top holiday wishlist items: Low or ridiculously priced luxury goods, jewelry, designer clothing, and electronics are always cheap counterfeits and knockoffs. Be very cautious when considering purchasing these high-value items from individuals through social sites.
Puppy scams: Many families, especially those with children, may be considering adding a furry friend to their household. However, you could fall victim to pet scams, which are on the rise this year. Request to see the pet in person before making a purchase.
Dennis Horton is director of the Rockford Regional Office of the Better Business Bureau, which serves Winnebago, Boone and Stephenson counties among others in northern Illinois.
This article originally appeared on Rockford Register Star: 'Tis the season for holiday scams. Here are 12 scams to look out for
