By Stacey Bumpus, Go Banking Rates
holiday scams
The holiday season is a time for buying gifts and spending memorable moments with our family and friends. Unfortunately, it’s also a time for avoiding holiday scams, even though the last thing we’re thinking about is becoming the victim of fraud.
Whether you’re ready or not, however, there are scam artists out there waiting to take advantage of unassuming victims who are caught up in the holiday spirit. To decrease your chances of becoming a criminal’s prey, here is a holiday scams list you don’t want to forget.
Donation Scams
1. Fake Charities
‘Tis the season to beware unfamiliar hands knocking on your door or strangers calling and requesting you open your heart–and wallet–for an oh-so-important charity you’ve never heard of before. That’s right–it’s during the holiday season that fake charities open for business, setting up donation scams they hope sentimental holiday lovers will fall for.
There are a number of tips for avoiding holiday scams that involve a fake charity–the Federal Trade Commission (FTC) provides a checklist to avoid charity fraud .
When in doubt, never make a quick decision. Instead, ask for information about the charity in writing before handing over any cash.
Online Scams
2. Spam Solicitations
E-mail has been a popular form of communication for over 15 years as it does an excellent job of delivering written messages in a snap. Unfortunately, not all of the messages you receive in your inbox are for your benefit.
For years, e-mail scams have been a popular way for fraudsters to steal your identity or money. During the holidays, these online scams always increase with the knowledge that people tend to be freer with their cash.
You can expect to see the normal spam e-mails regarding problems with your bank account or winnings you must claim from a lottery game you never played. But also make note of e-mail advertisements stating that you could “earn extra money during the holidays” or ones offering better-than-average deals from retail sites. You’re likely to end up at glossy sites set up to steal your money and personal information.
3. Social Networking Scams
Just as common as becoming the victim of an e-mail solicitation scam during the holidays–or any other time, for that matter–is falling prey to other online scams while participating in social networking.
Identity theft of Facebook and Twitter has become more common. By hacking your account, they can convince your entire list of friends that you’re in trouble and need money. They can even find out enough information about you to determine when you’re gone so they can break into your home.
Adjusting your privacy settings and creating a strong password can help avoid some social networking online scams. Most importantly, however, don’t click on unfamiliar links or add strangers as friends to avoid allowing a scam artist to enter your private world.
4. Online Auction and Classified Site Scams
One of the biggest online scams to avoid is the bogus auction site. Between Black Friday and New Years, you’re likely to see an increase in the number of fake auction sites offering popular items for as cheap as $0.01.
It’s also important proceed with caution on reputable sites like eBay and Craigslist where not-so-reputable members are allowed to sell items. On eBay, always check seller reviews before spending a dime. On Craigslist, work with local sellers and avoid those who require money via wire transfers.
Read the full article by Stacey Bumpus from Go Banking Rates.
