From phony charities to puppy scams, the Better Business Bureau (BBB) has released its 12 scams of Christmas to help consumers recognize the rip-offs that could cut into their holiday cheer.
1. Fake Shipping Notifications Many retailers send out delivery notifications for online purchases, however, some of these notifications could be phishing scams. Remember that most vendors provide tracking information and do not require additional personal information after you’ve completed an order. Delivery charges are paid when you complete a purchase and should not require further payment to receive your order. Canada Post warned customers earlier this year about a phishing scam.
2. Phony Charities Do not use the size of a charity to judge its trustworthiness, and always donate money using a credit card or cheque so your gift is traceable. Do not use public Wi-Fi when donating online, and always do the transaction through the charity’s website or reputable payment portals such as PayPal. Verify the charity at the BBB’s website, or the Canada Revenue Agency. Five years ago Winnipeg residents were hit by a charity scam in malls and grocery stores.
3. Look-alike Websites Be wary of emails with links enclosed. Some may lead to look-alike websites created by scammers that trick people into making purchases, downloading malware and sharing private information. Only enter personal information on websites starting with ‘https’, as the ‘s’ means that it is secured and encrypted. A New Brunswick financial company demonstrated just how easy it is to trick people on a fake website.
4. Social Media Gift Exchanges A popular illegal pyramid scheme circulating social media entices people to give one gift in exchange for numerous gifts in return. Do not accept offers or invitations on social media that sound like a quick way to make money or earn benefits, require cash only and have no paper trail. The Secret Sister gift exchange on Facebook is one of these scams.
WATCH: (Oct. 16, 2018) BBB cautions consumers about top scams to be wary of this fall season
5. Travel Scams Pay attention to holiday travel offers being advertised, because some may be scams instead of opportunities to save. Be wary of travel-deal emails sent from unknown senders, and never transfer or wire money to someone you don’t know. Always shop around and read reviews before finalizing a transaction for your trip. Here’s a list of the most common travel scams.
6. Puppy Scams While searching for a new furry friend as a gift, be aware of scammers posing as breeders or pet owners with too many puppies to care for. Always request to see the pet in person before making a purchase, and know what prices to expect for the type of pet you want. If photos of your given pet show up on multiple websites, it is probably a scam. One woman experienced this first-hand.
7. Letters from Santa Scammers often mimic websites that offer personalized letters from Santa to get private information from unsuspecting parents. Check the BBB website to find out which companies are legitimate.
8. Temporary Holiday Jobs Retailers often need extra help during the holidays, but be on the lookout for employment scams aimed at stealing personal information and money from job applicants. Jobs requiring you to pay for equipment or software, as well as vague company descriptions, are signs that the employment opportunity is a scam. Always apply for the job in person or on the employer’s website directly. One Toronto woman was scammed this way earlier this year.
9. Free Gift Cards Scammers take advantage of consumers looking for free items, and will often send out bulk phishing emails requesting personal information in exchange for free gift cards. When purchasing gift cards online, only go to reputable websites. If you receive a phishing email with gift card offers do not open it or click any links. The Manitoba Consumer Protection Office is reminding shoppers to know their rights to avoid scams when purchasing gift cards.
WATCH: N.B. woman speaks out after falling for gift card scam
10. E-Cards As a popular alternative to physical Christmas cards, scammers are using E-cards to retrieve your private information. If the email asks for personal information to open the E-card, it may be a scam. Also note that if the email has an attachment that ends in ‘.exe’, it could contain a virus or malware.
11. Unusual Forms of Payment Be wary of individuals or businesses that request unusual forms of payment such as wire transfers, prepaid debit or gift cards, cash only or go through third parties. These methods have no paper trail and cannot be recovered or undone.
12. Counterfeit Goods Uncommonly low priced luxury goods such as jewelry, electronics or designer clothing are usually knockoffs. If the deal seems too good to be true, it probably is. Ontario police raided an entire mall for counterfeit goods earlier this year.
If you encounter any of these scams during the holidays, keep an eye on your financial statements for unrecognized charges, submit a report to the BBB Scam Tracer and file a complaint with the BBB and the Canadian Anti-Fraud Centre.