While this holiday season may look a little different this year, many are relying on online shopping to deliver the perfect holiday gift. Fraudsters are constantly setting up shop online, luring unsuspecting customers with unbelievable deals, only to leave them high and dry. Business Consumer Alliance wants to help consumers to stay safe with these helpful online shopping tips.
Check the Seller
Online scams are one of the top complaints BCA receives from consumers. Anyone can set up an online store. Scammers commonly pay to advertise on social media and create websites that look legitimate. But shoppers should always check out a company before deciding to do business with them. Don’t let a fancy website trick you into purchasing before you’ve checked out a business. Here are some ways you can do this:
- Visit checkbca.org and search for the company’s record. BCA reports contain important background information on businesses and their complaint history. You can also find reviews you can trust from actual customers. If you don’t find a report for the business you’re looking for, don’t worry. BCA can create a record for the business and give you tips to help you in your decision.
- Do an internet search using the business name and words like “reviews”, “complaints”, and “scam” for more information.
- Only shop with online retailers that provide their contact information. Take it a step further and research the information. Call the phone number to see if you reach a live representative. A quick Google search of the address can tell you whether or not the company is using a P.O. Box or if they have an actual location. You may find other websites that use the same information and may alert you to a potential scam.
Know What You’re Buying
Take the time to read the description of what you’re purchasing. If you need more information, reach out to the seller before you purchase. Some products and services come with memberships. Read all the terms and conditions before entering your payment information. Review the merchant’s policies on returns, exchanges, and refunds.
In some cases you may be able to use Google to search for product photos from actual customers that will give you an idea of what you can expect to receive. Places such as YouTube often have posted reviews on various products and companies that can provide useful information. Note that some reviews are paid for, so do your due diligence. Use caution if the only reviews you see are highly rated.
How Much Will It Cost?
The advertised price may not be the final price you’ll end up paying. Shipping and handling fees and other costs may drive the total up, so it’s important to shop around for the best deals. Comparison shopping can save you money and time. Check for discounts, coupons, and promotions that may save you money, but beware of scams.
Paying
There are so many options these days that make it convenient to pay. But we always suggest paying for online purchases with a credit card if possible. Credit card purchases offer certain protections and advantages that other payment options do not. For example, if a problem arises, such as your not receiving the order, it isn’t what was advertised, or other issue, you may be able to dispute the charge.
Never, ever send cash to pay for items! If the seller asks you to pay by gift card or through money transfer services, beware as it could be a scam. Use caution with mobile app payments as well. Scammers like to use services such as PayPal and Cash App to rip off consumers.
However you choose to pay, keep records. Save your order confirmation, receipts, and any other communications with the company. They will be useful if you end up filing a dispute. Take note of any discrepancies in what you ordered and your final invoice or receipt. If anything is amiss, contact the company right away.
Safeguard Your Information and Privacy
Be sure to only shop on secure websites with a URL beginning with “https”. If you are asked to email your financial information, don’t do it. Email is not a secure way to transmit financial information. Never give out your social security number or other sensitive information. It should not be required to make a purchase and if it is, tread carefully.
Look for and read the business’s privacy policy to see what information they collect, why, and how it is used.
What to Do If You Have Problems
The Federal Trade Commission’s (FTC) Mail, Internet or Telephone Order Merchandise Rule and the Fair Credit Billing Act provide protections so consumers do not have to pay for merchandise they ordered but never received. Under Federal rules, a seller has 30 days to ship ordered products to the buyer unless otherwise specified at the time of purchase. If the seller cannot ship within the 30-day period, they are required to notify the buyer in writing of the delay, and give the option of waiting or having their money returned within seven days. Credit card payments must be credited within one billing cycle.
If you have made a purchase from an online company and they don’t deliver, try contacting them about the order. If you’re unable to resolve the matter or reach them, contact BCA to file a complaint. We will promptly reach out to the company and attempt to mediate the complaint. If the business is unresponsive or unwilling to resolve complaints, this is reflected in their company report and the rating we provide businesses. This also puts other consumers on alert to watch out for the business.
You can also file a dispute with your credit card company or bank. If your account has been charged before your order has been shipped, contact your credit card company right away. Initiate a dispute by calling or writing to the credit card issuer with details of the transaction, receipts or invoices, and your information. The credit card issuer must act upon the complaint within 30 days and resolve the dispute within two billing cycles.
If you paid by debit card, contact your bank to file a dispute. Payments through PayPal can be challenged as well if you have not received your items. If you suspect that the online retailer is a fraud, contact the domain register to report your suspicions. This may cause the register to act and shut down a possibly fraudulent site and save some customers from falling victim to a shopping scheme.
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