Stay Safe This Holiday Season: Advice on Avoiding Scams 

Key takeaways 

• The holiday season, when consumers are primed to spend on everything from gifts to charities, is an active time of year for scammers. 
• This post offers tips on how to protect yourself from scams on gift cards, shopping, social media, and more. 
• The key is to stay alert and perform due diligence before making a purchase or donation.

‘Tis the season… for scamming? 

You might think the bad guys would want a little peace and quiet around the holiday season, but that’s not the case. As consumers open their pocketbooks in the weeks ahead, they may be even more at risk than usual. A new report from the U.S. Congress Joint Economic Committee revealed that phishing emails mimicking major retailers, including Walmart, Target, and Best Buy, soared more than 2,000% during peak holiday shopping periods last year. The number of Black Friday scam websites impersonating top brands also skyrocketed, jumping by 89% in 2024. Consumers who fall prey to these fake sites and phishing schemes often end up paying for items that don’t exist or that they never receive, resulting in $785 million in losses last year alone, according to the FBI’s Internet Crime Complaint Center.

Scammers can strike anywhere – through online shopping sites, emails, social media, gift card offers, and even through fraudulent charities. In this post, we’ll outline what to look for and how to protect yourself.

Online Shopping Scams 

Be wary of deals that seem too good to be true. Those include deals on brand names you know, but at prices that are just too low to be real.  

The FBI also says to “steer clear of untrustworthy sites or ads.” Secure websites always begin with “https” and the URL should be free of misspellings.

If you’d like to buy something from a company you don’t know, you might be able to get a sense of how reputable it is by googling its name plus words like “scam,” “complaint” or “review.” Another option is to research the company through independent third-party sites like Better Business Bureau and Trustpilot that are known for gathering unbiased ratings and evaluations. Also, don’t make any financial transactions, including banking or shopping, when you’re using a WiFi hotspot or a public network. 

And don’t forget that when you pay for purchases with a credit card, you have some protection if your account is compromised. Monitor your card activity often, at all times of the year, to make sure all the transactions are ones you’ve made, and dispute anything suspicious with your card issuer.  The Joint Economic Committee also advises consumers to be wary of sellers who ask you to pay with a money transfer, cryptocurrency, or pre-paid gift
cards instead of standard payment options.

Email Scams

It’s common to see more suspicious emails land in your inbox this time of year, as scammers try to impersonate legitimate retailers or financial institutions to entice you to share personal information or click on fraudulent links. As a rule, experts recommend avoiding clicking on links or downloading attachments from emails and texts from senders you don’t recognize. Even if the email appears to be from a company you interact with regularly, it’s safer to go directly to that company’s site or to contact them by phone if you want to verify a request that arrived by email. If you seem to be receiving a large amount of spam, it may be worth considering installing an additional spam filter to your email program to provide an additional layer of security.

Social Media Shopping Scams 

Consumers should be wary of social media posts that appear to offer vouchers or gift cards. Some may look like holiday promotions or contests or may seem to come from known contacts. These scams may entice you to enter a survey, which will collect your personal information, or make a purchase, which will compromise your financial information.  

You may also want to review these overall tips for staying safe online — and make extra sure that your children aren’t doing anything on the computer that could jeopardize your privacy or finances.  

Gift Card Scams 

If someone asks you to purchase gift cards, say for a business function or a charity, don’t do it! Also, don’t share the numbers from any gift cards you’ve purchased for your own use. If you think you’ve been approached to be part of a scam, you can report it at ReportFraud.ftc.gov. 

When you’re buying physical gift cards from a store, be extra careful that the card’s numbers are hidden from view, and that its packaging is not tampered with. Some scammers have been known to take down the numbers of unactivated gift cards, then wait until they are loaded with money before “draining” the funds.  

Charity Scams 

“Charity fraud rises during the holiday season, when individuals seek to make end-of-year tax deductible gifts or are reminded of those less fortunate and wish to contribute to a good cause,” the FBI says. If you want to give, it’s best to stick with charities you know.  

If you’ve heard from a charity that you don’t already know, and it seems legitimate, you can consult Charity Navigator or Guidestar. Both resources will give you lots of information about the charity’s mission, finances, and more. In addition, most states have registration databases for legitimate charities, which you can check if you’re unsure.  

In conclusion, take our advice and protect yourself this season. Be extra careful, whether you’re pulling out your wallet or clicking “buy now.” You’ll have a much nicer and safer holiday.