Articles - Archived Feature

Beware: Top Five Holiday Scams

Every holiday season, scammers come out of the woodwork in an effort to take advantage of the kindness and generosity of those in the holiday spirit of shopping and giving. And it's probably no surprise that the majority of scamming occurs online. In fact, Consumer Reports asserts that cybercriminals have swindled $8 billion from consumers in the past two years. But don't put away the credit cards and convenience of online shopping just yet—just learn how spot a possible scam. Here are five of the most popular—be on the lookout!

1. Illegitimate charitable solicitations

   If you receive an email from what claims to be a charitable organization, don't let your generosity get the best of you without doing your research. Check out Give.org, Guidestar.org and Charitynavigator.org to ensure the charity is on the up-and-up. Also, bear in mind that legitimate charities do not demand donations, and will readily provide written information about their programs, finances and how donations are used. Make sure the charity has a physical mailing address and a telephone number, and never fall for "phishing" scams. This is where someone targets you over the phone or through email asking for donations, but is really looking for your personal information, like credit card and account numbers.

2. Holiday e-greetings

   For affordability, convenience and environmental-friendliness, many people opt to send online holiday cards, called e-greetings. In some cases, the card may appear to be from a family member or friend—or even a company like Hallmark. However, when you click on the link to open the card, you are either taken to a malicious Web page, or prompted to download a program with spyware attached. Spyware tracks Internet usage and keystrokes so it can capture usernames, passwords, etc. To avoid this scam, only open cards from people you know, and never click on a link to download a card. Most of the larger e-greeting companies provide the recipient with a code, which they can enter at their site, thereby never making anyone click a link or download anything.

3. False emails from financial institutions or delivery services

   In the hopes that you will respond with your personal information, you may receive an email that appears to be from your financial institution asking you to verify your account information. Don't fall for it! Also, watch out for emails claiming to be from a delivery service. These may include fake invoices that require you to give your credit card information to ensure delivery. To avoid this, keep good records of the items you ship, and pay a little extra to track the shipping or get delivery confirmation.

4. Auction site fraud

   In an effort to find a deal, many consumers shop at online auction sites, like eBay. This time of year, though, scammers lurk around these sites, offering deals that are too good to be true. In the end, you may never get the product, which may never have really existed in the first place. To counter this scam, check the seller's feedback to make sure they have an established and positive selling history.

5. Job-related email scams

   With the unemployment rate right around 10 percent both in North Carolina and nationwide, scammers know people are looking for quick money so they can still make the holidays a happy one for their families. To this end, beware of emails offering work-from-home opportunities. Should one actually interest you, research the company with the N.C. Attorney General's Office by calling 877.5.NO.SCAM, or the Better Business Bureau (check www.bbb.org for regional contact information).

Have a happy and safe holiday!