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Tara was scrolling through Instagram when an ad from a trendy online store caught her eye — her favorite handbag for just $40 instead of $150.

“Isn’t this a steal?” she thought.

The website looked decent. She didn’t want to miss the deal, and so she immediately clicked "Buy Now". She placed the order and even got a confirmation email.

But guess what? The handbag never arrived, and the website disappeared within a week.

A woman asking, 'What have I done?'

Haven’t we all been in Tara’s shoes at some point — rushing into a deal that seems too good to be true?

Catch the red flags early and identify online scams to shop smarter online.

Did you know?

Online purchase scams continue to be one of the riskiest types of scams, according to the Better Business Bureau (BBB). In 2024, "over 40% of the scams reported to the BBB were online purchase scams and over 80% of people reported falling for the scam."

Spot The Red Flags

It's become increasingly common for scammers to create fake websites. They create professional-looking shopping platforms by using logos and product images from popular brands. They rob buyers of their hard-earned money by tricking them into making fraudulent online purchases that never reach them.

A man saying, 'This is a fraud!'

Scammers might be getting smarter at mimicking real shopping websites, but you can be a step ahead by looking out for these visible red flags:

Flaticon Icon1. Too-Good-to-Be-True Prices

Be watchful of websites selling popular products at temptingly lower prices. Real online stores rarely offer unrealistic discounts. If you see a pair of sneakers that usually cost $150 being sold for $25, it’s a clear warning sign. Scammers often offer limited-time deals that push you to buy quickly.

Flaticon Icon2. Sloppy Website Design

Pay attention to the overall layout of the site. Scam websites are often poorly designed with typos, awkward grammar, and low-quality, blurry, or AI-generated product images. A site that shows stock photos with captions like "original sneekers" is a clear giveaway.

Flaticon Icon3. Missing Contact Information

Look for clear contact details like a physical address, phone number, and a professional email. Scam sites usually provide a generic Gmail address or a contact form. If an online electronics store gives you techdeals2025@gmail.com as its contact, chances are you won’t reach them when things go wrong.

Flaticon Icon4. Sketchy Payment Options

Be wary of sites that force you to pay using risky methods like bank transfers, gift cards, or cryptocurrency. Genuine sellers let you pay safely with credit and debit cards, cash on delivery, or pay later options. A store asking you to pay $180 with an Amazon gift card is a clear red flag.

Did you know?

Credit and debit cards may protect you from fraud, but you should monitor your bank account activity regularly.

Scam Or Real?

An ad for a great deal on a pair of Hoka shoes you’ve been wanting for a while pops up on your social media. You click on it land on an unfamiliar website. Before buying, you decide to take a quick look around for any red flags.

A website page from luxurydealer.com with a sales form (audio description below).To hear an audio description of the image above, click play on the audio player below:

Quiz

What red flags could tell you it’s a scam? Select all that apply:

Better Safe Than Sorry

You’ve won half the battle by spotting the red flags. With these safe habits and quick checks, you can outsmart the scammers for good:

Flaticon Icon1. Do Your Research

Always check customer reviews before buying. Legit businesses usually have a mix of positive and negative feedback. So, if you see only positive reviews or none at all, be careful. Also, look at their social media presence. An active account with regular posts and genuine followers is often a good sign.

Flaticon Icon2. Verify the Website Address

Look closely at the site’s URL before buying. Scammers create addresses that look almost like the real ones but with little changes, like nikesale-shoes.net instead of nike.com.

You might notice a padlock icon — a tiny lock before the web address — indicating a secure connection. But even that doesn’t guarantee the site is safe. A quick Google search can help confirm if you’re on the official site.

Flaticon Icon3. Use Secure Payment Methods

Stick to credit cards or trusted digital wallets when shopping online. They offer fraud protection and make it easier to recover your money if something goes wrong.

Flaticon Icon4. Check the Returns Policy

Always read the refund and returns policy on the website. Unclear, missing, or confusing policies are an indicator that extra caution is needed. Real sites are transparent about returns, refunds, and shipping.

Flaticon Icon5. Don’t Fall for the Countdown

Don’t rush if you see a timer flashing with words like “8 MINUTES LEFT AT THIS PRICE!” Fake countdowns are one of the oldest tricks scammers use to get you to panic-buy because of a sense of urgency. Take a minute to check if the same deal exists on another trusted site. Real offers don’t disappear in minutes.

Flaticon Icon6. Compare Prices

Check the price of the same product on multiple trusted sites before buying. If an offer seems too good to be true, you should avoid it.

Did you know?

If the website address looks cut off on your mobile screen, tap the browser’s address bar to reveal the full URL and double-check it before making a purchase.

Would You Trust This Website?

You stumble upon a website offering a 30% discount on an expensive hoodie you’ve been eyeing. The site design looks sleek, and there are fifty 5-star reviews and five 4-star reviews.

A woman running around saying, 'What do I do?'What would you do before placing an order on this site?

A. Consider the site safe because it looks professional, and the discount of 30% isn’t extreme.

B. Read the reviews closely to check if they mention product details, and if they sound human-written.

C. Rely on the balanced reviews with mostly five stars and a few fours.

Quiz

What is the best option?

Take Action

Flashing red letters read 'Scam Alert'. A penguin clutches its money while a hand reaches out from a phone to snatch it.

You’re ready to outsmart scammers! Follow these steps and enjoy online shopping:

License:

This Byte has been authored by

AB

Amaanat Bhullar

Instructional Designer | Teacher

M.A. English, CIDPC

English

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