According to a recent survey by Experian, one out of four respondents reported becoming a victim of fraud or identity theft during the holidays. Fraud is more common during the holiday season because it marks a period of increased shopping, donations and job seeking – and fraudsters are all too willing to exploit these opportunities to steal.
Contrary to popular belief, seniors aren’t the exclusive victims of fraud. In fact, adults between the ages of 18 and 59 are 34% more likely to lose money to fraud than those who are 60 or older. Younger adults are especially more likely to fall victim to online shopping fraud and cryptocurrency investment scams.
No one is truly safe from online attacks. Even the Pentagon reports that it was hacked earlier this year, and it stands to reason that their employees take cybersecurity somewhat seriously. But there are several things you can do to keep your personal information – and your money – protected against fraud this holiday season. Just follow our advice!
Beware of Social Engineering Scams
Fraudsters frequently exploit their victims’ trust in order to trick them into sharing their personal information or sending them money. These are social engineering scams, which commonly include pretexting (where the fraudster pretends to be an authority figure) and baiting (where the fraudster offers a nonexistent reward in exchange for personal information).
Phishing is the most common social engineering tactic, and it can take many forms. For example, you may receive a receipt for a service you did not purchase, such as antivirus software or computer repair. If you call the phone number on the fraudulent receipt, you will be asked to “confirm” your payment information so they can cancel the purchase. In fact, they are merely using this opportunity to steal your payment information.
Phishing attacks are frequently sent from suspect emails. If you receive an email from Microsoft, but the sender’s email address is something like “john.doe@hotmail.com,” you can safely disregard it. Fraudsters are tricky, however, so take care to categorically abstain from sharing your personal information with any stranger who asks for it online.
Beware of Fake Charities
Fraudsters are well aware that charitable giving increases around the holidays, and they take every opportunity to exploit that trend. If you receive a link to donate to a charity – or see an ad for a charity which tugs on your heartstrings – ignore it. These are both common forms of charity scams: fake websites for real or nonexistent charities that only exist to steal would-be benefactors’ money.
If you would like to confirm whether a charity is legitimate or not, then you may do so by consulting the Better Business Bureau’s Wise Giving Alliance. Alternatively, you may donate to a charity you’re already familiar with by going straight to its website rather than clicking a link you encountered via text, email or social media ad.
Beware of Gift Card Scams
Gift cards are nearly impossible to refund or trace – hence their popularity among fraudsters. If you receive an offer to purchase a discounted gift card, decline it. The card you receive is almost certain to have no value whatsoever.
Never accept an invitation to pay for taxes, fines or fees with gift cards, and take care to avoid purchasing gift cards that have evidently been tampered with. Note that Apple gift cards are especially popular among fraudsters!
Beware of Fake Websites
Fraudsters often make websites that look almost identical to legitimate ones. For example, a crook may create a website that looks like BestBuy.com and offer a deeply discounted item for sale on it. No one will actually receive said item, of course.
Fake websites are often rife with spelling mistakes and low-quality photos. They frequently omit contact information as well. At the end of the day, if an offer appears too good to be true, take extra caution to ensure you have encountered it on a legitimate website. Inspect the URL code. If it is a seemingly random series of letters and numbers – or contains a typo or strange domain, such as “CaribooCoffee.bg” – then it is illegitimate.
Beware of Fake Job Offers
Job scams are a perennial threat, although they become more common around the holidays when people seek seasonal work so they can afford nicer festivities. It’s common for fraudsters to offer people jobs right on the spot, and ask for their payment information so they can “get started right away.”
If you are offered a job with little to no interview process upfront, proceed with extreme caution. If the “employer” asks you to cash a check, send cash, or provide any of your personal information such as your Social Security number or bank account number, then they are nearly certainly attempting to scam you.
These are only a few of the attempts at fraud that become more common during the holidays. Fraudsters are also known to pose as their victims’ family members, send fake package delivery notification texts, and offer fake airline tickets for sale. It is crucial that you never accept an offer or request at face value. Do your own research, validate any claims you encounter online, and never share your personal or banking information with a person or company you don’t already know and trust.
Are you looking for a safe and convenient solution to online banking this holiday season? Then we welcome you to contact Sherburne State Bank or visit one of our locations in Becker, Monticello or Princeton, MN today!
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