Safety Tips: 6 Proven Ways to Avoid Black Friday Scams

Searchbug® · Safety Tips: 6 Proven Ways To Avoid Black Friday Scams

Black Friday is known for massive sales, attracting millions of shoppers looking for bargains. Unfortunately, this shopping frenzy also attracts scammers. With increased online shopping during Black Friday, fraudulent activities such as phishing, counterfeit products, and fake websites have surged.

In 2023 alone, over 12,000 fraud cases were reported during the holiday shopping season, resulting in financial losses and stolen personal information. To keep your personal and financial data secure, staying alert and informed about common scam tactics is essential. 

6 Actionable Tips to Prevent Becoming a Victim of Black Friday Scams

Black Friday sales are just around the corner. To keep your personal and financial information safe, follow these practical tips and stay ahead of potential threats.

1. Identify Phishing Attempts in Your Inbox

One of the most common Black Friday scams is phishing emails. Scammers craft emails that mimic legitimate retailers, offering too-good-to-be-true discounts or notifying you of "unclaimed" prizes. 

These emails often contain malicious links or attachments designed to steal your information. The Federal Trade Commission (FTC) reports that phishing schemes account for a large portion of financial fraud during holiday shopping periods.

How to Spot Phishing Emails:

• Check the Sender's Email: Scammers often use email addresses that look similar to the official ones but contain subtle differences. Instead of "support@bigretailer.com," you may receive emails from "support@big-retailers.com."
• Look for Grammar Errors: Legitimate companies typically proofread their communications. Emails with odd sentence structures, excessive typos, or poor grammar are huge red flags.
• Don't Click on Suspicious Links: Hover over any link in the email to see where it directs you. If it doesn't look like the retailer's official website, don't click.

Example: In one well-known phishing scam, consumers received fake "Amazon" emails asking them to update their payment information. Clicking the link led to a fraudulent site that stole credit card numbers. According to a cybersecurity firm, such attacks rose by 30% during Black Friday in 2022.

2. Avoid Fake Online Stores and Unrealistic Deals

During Black Friday, shoppers are often drawn to deep discounts and "exclusive" deals. Scammers exploit this by setting up fake websites that look almost identical to legitimate retailers. These sites promise massive discounts, but once you make a purchase, you either receive counterfeit products or nothing at all.

How to Verify a Website's Legitimacy:

• Check the URL: Look for "https" in the URL, which indicates that the site is secure. A legitimate website will always use this protocol, particularly on pages where you input personal information.
• Search for Reviews: Google the store name followed by terms like "scam" or "reviews" to check if other shoppers have reported issues.
• Watch for Limited Payment Options: Most scammers will push for payments through methods that are hard to trace, like wire transfers or prepaid cards. Stick to credit cards or reputable payment services like PayPal.

The Better Business Bureau (BBB) warns that fake websites become increasingly sophisticated each year, often using photos and logos from well-known brands to deceive customers. In 2022, online purchase scams were the most common type of fraud, with losses totaling $337 million during the holiday shopping season alone.

3. Use Secure Payment Methods

The method you use to pay for online purchases is critical to ensuring financial security. Scammers often request unconventional payment methods that are difficult to trace, such as gift cards, wire transfers, or peer-to-peer payment apps with no buyer protection. By using secure payment methods, you minimize the risk of losing money to scammers.

Best Practices for Secure Payments:

• Use a Credit Card: Credit cards offer robust fraud protection and the ability to dispute charges if something goes wrong. Many card providers even offer zero liability on fraudulent purchases.
• Enable Two-Factor Authentication (2FA): For online payment platforms like PayPal, enabling 2FA adds an extra layer of protection, ensuring that even if someone gets hold of your password, they can't easily access your account.
• Avoid Public Wi-Fi: Shopping over public Wi-Fi can make you more vulnerable to hackers. Use a secure, private connection when entering payment details.

According to Javelin Strategy & Research, consumers who used credit cards for online purchases could recover stolen funds 81% faster than those who used debit cards or cash transfers.

4. Stay Away from Unsolicited Ads and Pop-Ups

Browsing during Black Friday often leads to endless pop-ups and unsolicited ads offering unbelievable discounts. Clicking on these can direct you to phishing sites or trigger malware downloads. Some pop-ups are cleverly disguised as system alerts or special offers, making them particularly dangerous.

How to Protect Yourself from Ad Scams:

• Use Ad Blockers: Install a reputable ad-blocking extension on your browser to reduce the number of unsolicited ads and pop-ups while shopping online.
• Manually Search for Deals: Instead of clicking on ads or emails, go directly to a retailer's website to find deals. Scammers rely on impulsive clicks; bypassing their click-bait removes their opportunity.
• Look for Odd Domain Names: Even if the site looks professional, take a second to check the URL for any strange characters or misspellings.

Example: In a well-documented case, pop-up ads promoting a 75% discount on designer handbags led unsuspecting shoppers to a fake site that harvested credit card information. Shoppers who used the site later found fraudulent charges on their accounts.

5. Monitor Your Bank Statements and Use Fraud Protection Tools

Fraudulent transactions may go unnoticed if you're not vigilant about monitoring your bank and credit card statements. Scammers often make small, test transactions before draining your account. The quicker you detect these, the easier it is to mitigate the damage.

Ways to Monitor and Protect Your Finances:

• Set Up Real-Time Alerts: Many banks and credit card companies allow you to receive notifications for every transaction. This helps you spot unauthorized charges as soon as they happen.
• Regularly Check Statements: Don't wait until the end of the month to review your transactions. During busy shopping periods like Black Friday, make it a habit to check your account daily.
• Use Identity Theft Protection Services: Services like LifeLock or IdentityGuard monitor your credit activity and alert you to potential fraud, providing an extra layer of security.

According to the Identity Theft Resource Center, people who monitored their bank accounts daily reduced the financial impact of identity theft by 40% compared to those who waited until their monthly statements arrived.

6. Check Return and Refund Policies Before Buying

Legitimate retailers have clear return and refund policies. Scammers, on the other hand, either have no policies or vague terms that make it difficult to get your money back. Before you make any purchase, especially during Black Friday, when many sales are final, ensure that you can return or exchange the product if necessary.

Red Flags to Watch For:

• No Return Policy: If the website does not have a return or refund policy, it's a major red flag. Even sale items should come with a basic return option.
• Unreasonable Restocking Fees: Some scam sites charge exorbitant restocking fees (sometimes up to 50%) to discourage returns.
• Look for Legitimate Contact Information: If a retailer provides no customer service phone number or email, or the information leads to dead ends, reconsider purchasing.

Example: In one case, a customer purchased electronics from a website offering a "no questions asked" return policy. When the product arrived defective, the customer discovered there was no way to contact the company for a return, and the website disappeared a week later.

Conclusion

Black Friday is a prime time for online shopping, but it's also a favorite hunting ground for scammers. From phishing attempts to fake websites, staying alert and protecting yourself while hunting for deals is crucial. Stick to secure payment methods, verify website legitimacy, avoid unsolicited ads, and monitor your financial accounts. By following these tips, you can shop confidently and minimize your chances of falling victim to fraud.

 

If you remain skeptical about a deal or an online store, trust your instincts and always prioritize your security over a quick bargain. Black Friday should be about saving money, not losing it to scams. Stay safe, shop smart, and enjoy the season.