A few blog posts ago, we set straight an ecommerce myth that says shopping on ecommerce websites is live bait for credit card theft. Contrary to what you may have heard, entering your credit card information on ecommerce shopping sites is generally safe, assuming you use proper discretion before doing so.
Still, ecommerce fraud could still happen. There is a new scam that collects a shopper’s credit card information under the guise of being an actual ecommerce store.
How is this possible? New breeds of criminals in cyberspace have come up with ways to build fake ecommerce websites that look and feel exactly like actual and reputable online stores. These shopping sites come complete with product images, descriptions, full shopping cart capabilities, and the ability to process credit card transactions with the help of a “secure server.”
The checkout process is when these cyber criminals feast on the credit card information of innocent consumers. Naturally, the consumer never receives the item and is greeted with a credit card bill for the fake merchandise in addition to whatever the thieves have charged with the card.
It doesn’t stop there. Sometimes, the stolen credit card numbers are used to set up online advertisements with ecommerce comparison shopping sites and search engines. These ads then are used as a tool to entice more customers, get more fake sales, and steal more credit card information. When ads are brought into the picture, the scam gets bigger. Web partners who are not careful enough to double-check their advertisers are also being preyed upon. When this happens, unwary shoppers believe that they are shopping with reputable ecommerce sites and thus, the cycle continues.
Although there is no specific data on how often this ecommerce scam is done and no measure of the amount of money stolen from consumers as a result, the mere fact that it has been discussed is probable indication of its existence. That alone is sufficient reason to educate and emphasize these security tips for ecommerce shopping:
Check out merchant certifications. These certifications are earned by comparison shopping sites or reputable retailers who meet or exceed the quality standards set by the hosting website. Those that bear this certification ensure that you are buying from a trusted source. Fraudulent websites will affix these certification logos, but these images are just mere images and do not link to any certification page. Take time to click on these merchant certifications to make sure that they are legitimate.
Do a little research. Now is the time to read customer testimonials and reviews. If customer reviews from forums or different websites exist, the merchant is a trusted source. Read up on their experiences with the retailers. While it may cost you a few extra minutes, it is free easy to do. For local merchants, you may also check with the Better Business Bureau.
Trust your gut. If you come across an ecommerce store that seems a bit shady, go shop elsewhere. Listen to your instinct because if anything seems off, then it probably is.