This is the latest in our “How to Spot” series. In this blog, we explore How to Spot: Unbelievable Deal Scams on Social Media. In these case studies, we highlight an emerging or common scam that we see being used against consumers. The case study includes an example, based on true events, of “How It Can Happen”. And finally, we provide tips on how to avoid becoming a victim. Of course, these scams come in many variations, but this basic knowledge should be helpful in keeping you alert. See some of the other posts in this series here.
How Unbelievable Deal Scams on Social Media Work
Scammers post ads on social media which offer unbelievable deals on some of your favorite merchandise and brands. They also set up fake websites and redirect you there to make a purchase. The websites look exactly like real retailers. These unbelievable deal scams are very convicing. On the fake websites, they collect personal information and usually ask you to pay with a digital payment platform like Paypal, Venmo or Zelle.
How This Scam Can Happen
Steve was browsing social media. He saw an ad for a DeWalt drill. It looked exactly like other DeWalt ads that he had seen before, including some from major retailers. But the discount on this ad was far better. Steve clicked through the ad and it sent him to what he thought was the DeWalt website.
As Steven is about to finish his purchased, he noticed that he couldn’t use his credit card as usual. The website only had options for digital payment platforms like Zelle or Paypal. . No problem, Steve had used Paypal before and didn’t think much about it. So he paid for his item. However, Steve didn’t get a confirmation email and thought that was unusual. He waited about two weeks and drill never arrived. Steve attempted to challenge the transaction but discovered that the money was gone and at this point not much his bank or Paypal could do for him.
How to Protect Yourself From Unbelievable Deal Scams on Social Media
Go directly to a company’s website. Do not click through any link that is provided on social media. By finding and going direct to the company’s website, you can confirm if the sale or discount shows up there. Most valid websites and sellers accept credit and debit cards. They have more protections against scams and fraud than digital payment platforms.
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