Holiday rush creates a prime opportunity for scammers
HARTFORD — The Department of Consumer Protection and the Department of Banking are reminding consumers to use caution when completing their holiday shopping this year.
“The urgency created from Black Friday to Cyber Monday and beyond creates a prime opportunity for scammers to take advantage of holiday shoppers,” said DCP Commissioner Bryan T. Cafferelli. “So, we made a list of the most common ways consumers can fall victim to fraud and scams. Make sure you check it twice and take precautions to avoid scams and have a happy holiday season.”
“Scammers are very creative, and often use phony social media advertisements or send emails or texts that look legitimate,” said Banking Commissioner Jorge Perez. “But their scams only work if you take action and provide your personal information. Before providing your credit card or bank account information to make an online purchase, be sure to independently verify the source. A little diligence goes a long way to protect your personal finances.”
Review these tips to avoid fraud and shopping scams this holiday shopping season:
- Social media ads — Be wary of buying items through ads on social media. Many of these are “look-alike” sites that impersonate legitimate retailers. The next time you see an ad on Facebook or Instagram, your best bet is to open a separate, secure browser and find that retailer’s website yourself.
- Research the company — Before making a purchase, type the company's name into a search engine with terms like “review,” “complaint,” or “scam.”
- Check the URL — Make sure the website uses encryption to protect your information during your transaction. Look for https at the beginning of the URL. The ‘s’ after http means the site is encrypted.
- Use a credit card for online purchases — Under federal law, you may dispute unauthorized charges to your credit card in writing, and you are only responsible for unauthorized charges to $50.
- Check your credit card and bank statements — If you discover any charges you did not make, contact your financial institution immediately.
- Review the return policy. Before you make any purchases, read the fine print on the return policy. Some stores may have short timeframes for returns that will expire before you even give the gift or charge large return shipping fees. Make sure you understand the policy prior to making a purchase. And, don’t forget to keep your gift receipts.
- Peer to Peer Apps — “Peer to Peer” apps, such as PayPal, Venmo, CashApp, and Zelle, are a popular way of sending money electronically through your smart phone or device. Users direct the app to send money from their bank or credit card account to another user’s account. With these services it is vital to use these “peer to peer” apps only with people you know and trust. Additionally, your rights to dispute a transaction may not be the same as those in your credit card agreement.
- Protect your computer and phone. Make sure your security software, operating system, and Internet browser are up to date, and set for automatic updates. Don’t forget to keep your phone updated with necessary security patches.
- Use strong passwords and multi-factor authentication
- Avoid using public networks or Wi-Fi hotspots for online shopping
- Privacy Settings – Check your settings and limit who can see your posts and information on social media.
For questions or concerns regarding financial scams or fraud, you may contact the Department of Banking’s Consumer Affairs Division, at 860-240-8170 or banking.complaints@ct.gov or file online at ct.gov/dob.
If you believe you’ve fallen victim to a scam, purchased a product that was misrepresented, or have done business with someone who didn’t fulfill their contract, you may file a complaint with the Department of Consumer Protection by emailing dcp.complaints@ct.gov or file online at ct.gov/dcp.