×

Q & A: Seasonal shopping scams

Q: What should online shoppers know to keep their wallets safe this holiday season?

A: No matter the time of year, consumers need to take precautions to protect their hard-earned money from scams, particularly when shopping online during the holiday season.

Last year, the FBI Internet Crime Complaint Center (IC3) tallied more than $73 million in losses from cybersecurity scams during the holiday season.

A tried and true tip is worth repeating and sharing with friends and loved ones: if a deal sounds too good to be true, it probably is.

Specifically, be on alert for unsolicited emails, online coupons and promo codes. While shoppers like a good bargain, don’t fall prey to clickbait. Think before you click. Don’t download attachments. Check if an emailed link is legitimate by typing the URL of the retailer or vendor into your browser to check its legitimacy.

Stick with trusted retailers. Don’t put your wallet at risk by making a purchase with an unknown vendor. Also, be mindful to only use secure Wi-Fi. When scrolling or browsing online away from home, take care to double-check network names. Wi-Fi with typos and those not requiring a password are red flags for criminal scams.

Take a moment to review security settings on your social media platforms and internet-connected devices. Tighten up privacy settings to prevent bad actors from mining your information, stealing your identity and targeting you for their next scam. Enable automatic software updates and use complex passwords.

Throughout the year, it’s good practice to keep close tabs on your banking and credit card accounts. During the holiday shopping season, it’s even more important to closely track charges and withdrawals to verify you made those purchases.

Before typing in your payment information online, make sure your information is encrypted. Look for the URL to begin with https: and show the padlock icon. As you go about your holiday to-do list, don’t let cybercriminals take the joy out of the season. Be sure to add cybersecurity to your checklist. As a former and incoming chairman of the Senate Judiciary Committee, I’ve long worked to combat counterfeiting, protect consumer safety and strengthen intellectual property and trademarks. Counterfeit products not only rip off consumers, they harm innovation, impede entrepreneurism and damage the American economy. In our consumer-driven economy, it’s imperative to keep the integrity of the marketplace intact, protect creators from intellectual property theft and ensure consumers are buying authentic products, not getting duped by fake knock-offs. From luxury brands to cosmetics and pharmaceuticals, the distribution of counterfeit products undermines the rule of law and is bad for consumer safety, economic growth, competitiveness and innovation.

As co-chair of the bipartisan Congressional Trademark Caucus, I’ve worked to raise public awareness about dangerous counterfeit goods and strengthen intellectual property rights. In 2021, I helped enact legislation to beef up protections against fraudsters who sell stolen, counterfeit or dangerous products to unsuspecting consumers using the online marketplace. In the 118th Congress, I re-introduced legislation to crack down on money laundering schemes by criminals trafficking illicit products to American consumers.

Q: Is consumer fraud a problem in Iowa?

A: According to the Federal Trade Commission (FTC), consumer fraud in Iowa reached $42.6 million in losses in 2023.

Last year, Iowans filed nearly 20,000 fraud reports to the FTC, and more than 3,700 cases to the Iowa Attorney General.

Those numbers underscore why Iowans need to stay vigilant and take steps to prevent fraud, particularly online. The FTC says the three most reported scams in Iowa in 2023 were impostor scams, identity theft and fraudulent online shopping experiences.

I hear from Iowa financial institutions that invest in anti-fraud software and employee training to thwart fraud and protect customers from financial losses and theft. The Iowa Attorney General advises Iowans to only do business with established sellers, avoid unsolicited messages and be wary when sending money electronically — such as Cash App, cryptocurrency, or Pay Pal — and avoid such payments to people you haven’t met. Know that law enforcement and government agencies will never threaten arrest for refusing to pay over the phone, or demand that Iowans keep their conversations secret. In this season of gift-giving, don’t let fraudsters be the Grinch who steals your hard-earned money.

Iowans also need to beware of a scam that’s called “check washing.” Criminals get checks — often by stealing them in the mail — use chemicals to remove ink, write in their own names and payment amounts and then cash them in. If online payment isn’t an option, or you prefer writing a check to pay bills, take precautions to protect your money. According to the U.S. Postal Service, inspectors recover $1 billion in counterfeit checks and money orders every year. The USPS advises people not to leave checks in the mailbox overnight. The best protection is to drop check payments inside the post office or hand directly to a postal carrier. Unfortunately, flipping the flag at your home mailbox is a red flag that scammers use to steal your mail and your money.

U.S. Sen. Charles Grassley, a Republican, represents Iowa.

Starting at $2.99/week.

Subscribe Today