Three Fraud Trends to Watch for this Holiday Season

December 3, 2020

Due to the ongoing coronavirus, holiday shopping will look different this year. However, fraudsters are poised to take advantage of consumers who may be more distracted dealing with unprecedented change.
According to Kount, a leader in digital fraud prevention, 30% of Americans plan to avoid shopping in brick and motor stores due to health concerns. With more online shopping, consumers should keep an eye on three fraud trends:
  • Hacked Accounts
    From social media and email accounts to online banking apps, it is important to keep your passwords and login information protected against third-party hackers. Victims have reported a variety of loss, including stolen payment details, money taken out of accounts, and reward points removed.
  • Curbside Pickup
    Because many retailers are now offering curbside pickup, scammers have identified this process as a point of weakness with loose in-person authentication protocols. 
  • eGift Cards
    While this type of fraud is nothing new, it is an ongoing concern. Kount reports that each year scammers steal $950 million via this channel. Methods fraudsters use include purchasing gift cards with stolen payment data and instead of getting cash or an exchange, asking for return credit in form of a gift card.
How to keep your accounts safe
Fortunately, there are several steps you can take to protect your accounts.
  • Use unique, strong passwords for each of your online accounts.
  • Use multi-factor authentication when available on eCommerce sites.
  • Set up eAlerts for your accounts using your financial institution’s mobile app.
  • Check your accounts and credit card statements regularly for fraudulent charges.
By being proactive when shopping this holiday season, you can avoid possible fraud and have a happier New Year. 

Tags: Security, Tips and Tricks, Money Management