How to Spot Fake Online Deals Before You Pay (Holiday Shopping Edition)

Short answer: be careful when a deal combines a price far below normal, pressure to act fast and a payment method that's hard to reverse. Before you pay, check who is selling, how you're paying and what happens if the order doesn't arrive.

Warning signs

• Big-brand products at unrealistic prices.
• A site you've never heard of, with an address that imitates a known store.
• No clear contact details, return policy or company information.
• Countdown timers that reset, "only 2 left!" that never changes.
• The seller asks you to pay by wire transfer, gift cards or apps that don't let you dispute the charge.
• The offer came by text, social ad or a message you didn't ask for.

A two-minute check

1. Search the store's name plus "reviews" or "scam".
2. Open the return and shipping policies. If they're missing, be cautious.
3. Type the retailer's address yourself instead of clicking an ad.
4. Check the total price with shipping and taxes before checkout.
5. Pay by credit card where possible: card networks and issuers have dispute processes, which are harder to use with gift cards or transfers.
6. Save screenshots of the listing, the order confirmation and any messages.

If you think you've been scammed

• Contact your card issuer or bank right away to ask about disputing the charge.
• Report it at ReportFraud.ftc.gov.
• Change passwords if you shared login details.
• Consider a credit freeze if you shared personal information.

Check a seller in three steps

1. Who is it? Look for a real business address, a phone number and an email on the site, and search the store name together with the word "reviews" or "scam".
2. How old is it? A brand-new site with a huge discount on popular items is a classic warning sign.
3. How does it want to be paid? Be wary of sellers who push bank transfers, gift cards, cryptocurrency or payment apps, because these are hard to reverse.

Why the payment method matters

Credit cards generally give you more room to dispute a charge than a debit card, a transfer or a gift card. The exact protection depends on your card issuer and the law, so read your card's terms. Paying through a platform that holds the money until the order arrives can also help. If something looks wrong, contact your card company quickly and keep screenshots of the listing, the confirmation and any messages.

Frequently asked questions

Does a padlock icon mean the shop is safe? No. It shows an encrypted connection, not that the seller is honest.

Are all big discounts fake? No, real sales exist. The point is to verify before paying.

Next steps

Use the two-minute check on your next purchase. For ways to cut your holiday bill, read our holiday shopping savings guide.

Keep reading

If your information was already exposed, see identity theft: first steps.