CONSUMER FRAUD/IDENTITY THEFT 

With the holiday season upon us, we’re all out shopping for gifts and are probably carrying more cash than usual.  We are all looking for great bargains, trying to find the best sales.  But the holiday season is also a joyous time for scam artists.  It is a popular time for them to prey on innocent victims whether they are pick pocketing, devising clever scams such as a bait and switch scams or using identity theft.  Consumers must be wary of different types of fraud. 

Some people do their shopping online with popular websites such as Amazon or Ebay, or by purchasing products on a company’s website.  There are many scam artists lurking on the Internet too.  There have been reports of sellers accepting money for products the consumer never received.  In some cases, the consumer may receive a damaged product or not the same product that was advertised.  It is sometimes hard to tell the difference between reputable online sellers and criminals who use the Internet to rob people. 

Identify theft is also a major concern which will certainly ruin your holiday.  Searching for deals online may seem exciting but it is also dangerous.  There are several types of identity-theft fraud, including advance-fee scams which usually come in the form of email, online shopping and auction fraud, stolen email addresses and ID fraud, which usually involves use of your credit card number.  In all of these scenarios, the scammer tries to get your personal information and to make purchases in your name. 

Here are some tips to look out for during this holiday season so that you will not be victimized:

• Beware of Internet shopping.  Don’t buy items from stores that you’ve never heard of. 
• If prices are too good to be true, then it’s probably a scam. 
• Beware of auctions and inappropriate websites. 
• Don’t open email attachments from people that you don’t know. 
• Don’t give out personal information over the phone and be careful of what information you give out on the computer as well.
• Shred all of your mail.
• Take receipts from all of your credit card purchases. 
• When you are out shopping, pay close attention to what is going on around you, especially in crowded streets, stores and malls.
• Do not burden yourself with too many packages. If you are jostled in a crowd, be aware that a pickpocket, or someone working with one, might be responsible. Also watch out for loud arguments or commotions that might be staged to distract you while your pocket is being picked.

• Learn as much about the seller as you can before making purchases from them.  If the seller is unfamiliar, check with your state or local consumer protection agency and the Better Business Bureau.  Try to get an address or a phone number in case there is a problem with the product.

For online shopping, here are some more tips: 

• Restrict your purchases to vendors you know you can trust or nationally-known sellers.
• Always make sure a website is secure before providing any financial information. Secured websites can be identified by the yellow locked padlock or key icon appearing at the bottom of your browser’s window or at web addresses preceded by the letters “https.”
• Do not give out personal financial information to vendors unless you are absolutely certain your contact is legitimate.
• Use antivirus software, a firewall and anti-spyware to keep your computer safe and secure and update these programs regularly to protect against the latest threats.
• Use a secure online payment service such as PayPal. You can also make purchases by credit card, which, unlike a debit card, offers some protection in case a dispute arises.
• Print a record of what you pay for and always cross-check your online purchases with your bank or credit card statement to make sure no unauthorized charges appear.
• Do not keep your personal financial information, including account passwords, on your computer. Use a USB flash drive instead.
• Turn your computer off when you are not using it. If your computer is left on, scammers can install software and control it remotely to commit cyber crime.
• If you have been defrauded by a company online, contact your local police precinct to file a complaint.

There are also many instances where scam artists try to sell counterfeit goods.  You see many retail stores, Internet sites and street vendors selling items that they claim to be manufactured by well-known, reputable companies like Coach or Gucci but they turn out to be imitation products. 

Here are some tips to identify if a product is counterfeit: 

• The labels are poorly attached.
• The tag inside the garment is different from the label located on the outside.
• If a well-known brand is being sold at much lower prices, it’s probably a fake.  Sometimes counterfeit prices are lower than the actual cost to make the product.
• If you’re in a store and all the brands look exactly the same – same base garment, same stitching and pocket lines, they are probably phony.
• Many companies such as Coach sell their products only in their own stores or high-end department stores.  If you see these products being sold on the street or in some discount store, then they are probably counterfeit.  Coach, for example, like many other companies, will list store locations on its Web site.
• For leather goods, you can tell that a product is not authentic just by smelling it.  Counterfeiters will try to pass a product made of vinyl material as leather.
• Some brands such as Rolex only deal through authorized retailers.  There’s no other way to buy them.
• All genuine watches come with elaborate packaging and warranties.

          Be careful, but have fun and have a great holiday season!