With the rise of online shopping on social media platforms, consumers are more vulnerable than ever to scammers. Learn how to spot sketchy sellers and protect your financial information.
Online shopping has become more convenient than ever, with millions of people turning to shopping apps and social platforms in search of a deal. But they can also be risky if you’re not careful. Scammers are using these platforms to bait unsuspecting shoppers. According to the Federal Trade Commission (FTC), online shopping scams were the second most common type of fraud reported by consumers in 2024. With the right knowledge, however, you can stay safe while shopping online.
Why Scammers Love Social Platforms
Social platforms are a goldmine for scammers because they’re popular, casual, and designed for instant engagement. On any number of platforms, you’ll find profiles engaging with their audience and selling different types of products. Scammers often exploit this casualness by creating fake profiles, posting fraudulent ads, and pushing people to pay through unsafe methods.
How Online Shopping Scams Work
Scammers are getting creative. They often create fake websites or social media profiles that look completely legit. They might even use stolen images and videos to make their stores appear more authentic. And, of course, they lure you in with unbelievable deals. Once you make a purchase, they often request payments through mobile payment apps, which are nearly impossible to reverse.
Tips To Avoid Online Shopping Scams
Criminals have their tricks, but you can outsmart them by staying alert. Here’s how to protect yourself while shopping online:
Research Before You Buy
Before making a purchase, search the seller’s name or social media handle along with words like “online review.” See what other buyers have experienced.
Stick To Verified Sellers
Platforms like TikTok Shop and Facebook Marketplace have verified accounts and seller ratings. Stick to sellers with positive feedback and official verification when possible.
Be Wary of Payment Requests
If a seller is pushing you to use payment apps like Zelle® or Venmo, consider it a major red flag. Only make payments through official payment methods which offer buyer protection.
Avoid “Rush” Tactics
Scammers often use urgency to get you to act without thinking. If a seller is pressuring you to buy immediately, step back and reconsider.
Protect Your Personal Information
Never share sensitive information like your bank account number, PINs, or one-time access codes.
Pay Attention to URLs and Store Details
If you’re redirected to an external site from a social platform, double-check the URL and website details. Legitimate sites will have secure URLs (https://) and proper contact information.
Use Credit Cards When Possible
Credit cards offer better fraud protection. Thanks to the Fair Credit Billing Act (FCBA), you’re only liable for up to $50 if you report fraudulent charges quickly.
If you suspect your financial information may have been compromised while shopping online, report it to your financial institution immediately. The sooner you act, the better your chances of minimizing the damage.
Shopping on social platforms can be fun and convenient, but it’s essential to stay alert and protect yourself. At First Entertainment, we value our members’ rights to a safe and secure banking experience. If you have any questions, please call us at 888.800.3328 or send us a secure message through digital banking.
