The holiday season is often a time of cheer and quality time with loved ones, but, unfortunately, some would rather spend the holidays targeting unsuspecting consumers who are just trying to brighten the season. It’s one of the most aggressive times of the year for online scams, with scammers and companies targeting consumers with deceptive sales, advertising, and fraudulent schemes.
Some people are able to protect themselves from truly fraudulent activities but end up surprised at the many ways real businesses are scamming consumers out of their hard-earned money. No one is immune to these schemes. While many of the consumer protection cases we handle do indeed involve individuals who are 70 years-of-age or older, we have represented clients as young as 18 or 19 just the same. Scammers are cunning and use sophisticated methods to trick even the most tech-savvy shoppers. Vigilance and education are key to staying safe during the holiday rush.
Unfair or Deceptive Trade Practices in the Holidays
We represent clients who have been exposed to unfair or deceptive trade practices. The Federal Trade Commission defines an unfair act or practice as any act that:
Causes or is likely to cause substantial injury to consumers;
Cannot be reasonably avoided by consumers; and
Is not outweighed by countervailing benefits to consumers or to competition.
A deceptive act or practice is defined as any act where:
A representation, omission, or practice misleads or is likely to mislead the consumer;
A consumer’s interpretation of the representation, omission, or practice is considered reasonable under the circumstances; and
The misleading representation, omission, or practice is material.
Depending on the circumstances of these cases, our clients can often pursue treble damages, attorney fees, and even some statutory fees. Protecting consumers from fraudulent practices is a cornerstone of what we do, and we believe education is the first step in staying safe. Common examples of these practices include:
Bait and Switch Advertising
Some retailers advertise goods at incredibly low prices to lure shoppers in, but once you arrive, the product might be unavailable, or the price could be much higher than advertised. Keep copies of ads handy as proof, and don’t hesitate to report businesses engaging in these deceptive practices.
Fake Websites
Scammers often create look-alike websites with unnoticeable differences to trick shoppers. This is referred to as “cybersquatting.” For example, a website might use “amaz0n.com” instead of “amazon.com.” These counterfeit sites can steal credit card information or install malware on your device. Always double-check web addresses and ensure the site starts with “https” and displays a padlock icon. As we'll discuss below, these have become more common with artificial intelligence.
Requests for Wire Transfers
Legitimate online retailers will never ask for payment via wire transfer. Wire transfers can be difficult to trace and a surefire indication of a likely scam. Stick to trusted payment methods, such as credit cards, digital wallets, or cash if you’re picking up the item in person and that option is available.
Package Delivery Scams
Scammers know many households will have a pile of gifts delivered during the holiday season, so they’ll target consumers by sending texts or emails that appear to be instructions for package delivery or even a request to remedy address issues before a package can be delivered. Never open links from these messages. Instead, you should ignore the message and contact the postal service directly if you believe there may be a real issue with your package.
Remember, if it appears too good to be true, then there’s a good chance it is. It’s important to educate yourself and proceed with caution whenever you are sharing your personal or financial information to shop online.
AI Has Made Scamming Consumers Easier
Unfortunately, advancements in artificial intelligence have empowered scammers with tools to deceive consumers. AI programs can now mimic voices with alarming accuracy, impersonating celebrities, businesses, or even people you know. These scams can create a false sense of trust, making it easier for criminals to access personal or financial information. AI-generated responses also allow scammers to craft more convincing emails, text messages, and social media posts that appear legitimate.
As technology advances, the methods used by scammers will only grow more sophisticated. Staying informed about current scams and the tools fraudsters use is essential. Regularly updating your devices, using security software, and verifying the authenticity of communications can help protect your personal and financial information. By understanding how scammers operate, you can take proactive steps to guard yourself and your loved ones against AI-driven fraud.
Quick Tips to Protect Yourself While Shopping Online
While our team delivers legal solutions to consumers that have been targeted by unfair and deceptive practices, there are some simple tips for you to protect yourself before it ever comes to that. Experts say you should consider:
Research all sellers: Whether buying from an individual or business, you should research their name and reputation before giving them any personal or financial information.
Be careful when clicking advertisements: One trick scammers will use is creating advertisements that look like they’re from a reputable company but when you click the ad, it takes you to a copycat website full of fraudulent products and scam links.
Use a credit card for online purchases: Credit card customers typically enjoy more identity and payment protections than what you receive with debit cards. Using a credit card online may allow you to dispute and overturn fraudulent transactions.
Create strong passwords: A lot of retailers store your information when you enter an order, so it’s important to create strong passwords that only you would be able to guess. Hackers can access accounts that use generic passwords which allows them to steal your information.
Justly Prudent Stands by the Rights of American Consumers
At Justly Prudent, we are committed to protecting the rights of every consumer. Our compassionate and knowledgeable team has experience standing up for those targeted by fraud and unfair business practices. Remember, it doesn’t matter how savvy you are; you, too, could fall victim to complex scams, fraud, and unfair business practices. If you’ve been the victim of a scam or need legal advice to protect yourself, we are here to help. Contact Justly Prudent to discuss how we can protect your rights and recover damages if you’re exposed to unfair or deceptive trade practices.