As online shopping and e-commerce sales continue to grow in the USA, so do scams targeting unsuspecting buyers. Fraudulent e-commerce sites that promise incredible deals or impersonate legitimate companies can steal your money and personal data, compromising your online security.
Check out our guide on how to recognize danger signs and verify a store’s legitimacy to protect your information.
How to Identify Red Flags on Fake Retail Sites
Fake websites are designed to deceive consumers into thinking they’re legitimate stores. However, there are often telltale signs to look out for and avoid. If they are offering unrealistic discounts that seem too good to be true, like designer items for 80% off, it probably is. Scammers often use deep discounts to lure buyers in.
Authentic retailers have clean, professional-looking websites, so if you spot blurry product photos or pixelated logos, take note of this as a potential warning sign. Spelling and grammar mistakes are another giveaway that reputable companies seldom make. Legitimate stores will readily provide contact details on their homepage, including a phone number, physical address, or customer support email. If this information is missing or hard to find, be wary.
Always ensure that the site URL begins with https:// and displays a padlock icon. It means the site is encrypted and offers some level of protection for your data. Be aware that hackers will send phishing emails with links to fraudulent websites that mimic retail sites, attempting to trick you into entering your login details. Double-check any emails against the actual website before clicking on any links.
Verifying Whether an Online Store Is Legitimate
If you’re still unsure whether a store is real, check reviews from verified customers. Look for feedback on trusted platforms, such as Trustpilot or Google Reviews. Be wary of sites that only have glowing, generic-sounding reviews.
You should also look for a social media presence. The majority of legitimate businesses have active Facebook, Instagram, or Twitter accounts. They should respond to customer inquiries and post real-time updates. On their website, check for a detailed returns policy that explains the process and who covers the shipping costs. Fake stores often have vague or non-existent policies.
Tools like WHOIS will tell you when the website domain was created. If it was recently registered with random or misleading names, it’s likely a scam. Similarly, you can verify if the business is registered by searching for the company name on the Better Business Bureau website or by checking the state business registry.
Protecting Your Accounts and Personal Information When Shopping Online
Even when shopping from a legitimate retailer, you shouldn’t take your security for granted. Many Americans make the mistake of reusing the same uncomplicated passwords across multiple accounts, making it easier for hackers to gain entry to all of them.
To stay safe online, use strong, unique passwords made up of a random mix of 16 characters for each site. A password manager can create and store complex combinations that are hard to guess in a central location. They encrypt and organize your login credentials so you don’t have to remember them all.
Avoid using public Wi-Fi when entering payment details, but if you have to, ensure you’re connected to a VPN to encrypt your login details and financial information. Keep your bank app notifications turned on to spot any unauthorized transactions instantly and quickly freeze your card.
