During the holiday season, individuals may encounter an increase in fraudulent activities. Amy Nofziger, senior director of Fraud Victim Support at the AARP Fraud Watch Network, identified common scams observed during this period.
AARP Survey Findings
A recent AARP survey of nearly 2,000 U.S. adults indicated that close to 90% had been targeted by or fallen victim to a scam within the past year during the holiday season. Common incidents reported included fake shipping notifications, package theft, and fraudulent charity requests.
Identified Scam Categories and Protective Measures
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Fake Retail Advertisements on Social Media
- Description: Scammers create temporary online stores on social media platforms, selling counterfeit branded merchandise. These operations often use stolen logos or similar domain names to appear legitimate, frequently disappearing after orders are placed.
- Protection: Before making purchases from unfamiliar vendors, it is advised to conduct an online search using the vendor's name alongside terms such as "scam," "fraud," or "complaint" to review other consumers' experiences. Using a credit card for online transactions is recommended, as it typically offers greater consumer protections for dispute resolution.
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Compromised Gift Cards
- Description: Scammers can compromise physical gift cards by recording card numbers and PINs before the cards are purchased by consumers. When funds are added to these compromised cards, scammers may be alerted and can withdraw the balance rapidly.
- Protection: Consumers are advised to select physical gift cards located in high-traffic, visible areas of stores. Electronic gift cards are suggested as an alternative to physical cards to minimize the risk of tampering.
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Deceptive Delivery Notifications via Text Message
- Description: During periods of increased package delivery, individuals may receive unsolicited text messages falsely claiming to be from shipping companies. These messages often allege issues with an account or address, with the intent of acquiring personal information. Legitimate package issues are typically communicated directly by the vendor.
- Protection: Upon receiving unexpected text messages from shipping companies requesting personal information, consumers should directly contact the official customer service of the shipping company to verify any delivery status or address details. This action can help identify phishing attempts.
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Misleading Travel Offers
- Description: High holiday travel costs can motivate individuals to seek discounted fares online. Offers that appear unusually low or originate from unfamiliar travel websites may be fraudulent. Reported scams include prepaid car rental schemes where the vehicle is not provided upon arrival.
- Protection: It is recommended to book travel services through established vendors. New travel websites should be thoroughly vetted before use.
Reporting Incidents
Individuals who encounter these scams are encouraged to report incidents promptly. Reporting channels include local law enforcement, the Federal Trade Commission, and the AARP Fraud Watch Network.