Monday, 2 July 2018

Online Shopping Scams - Know your Consumer Rights ?

We’re back with this blog today to make you aware about all the online shopping scams and consumer rights that are out there, so you could protect your computer and money with prudence.

online shopping scams

In the 21st century, internet has facilitated consumers to make a choice between shopping out in the scorching heat or browse 100+ stores sitting on your couch. With online shopping one can easily survey and compare the best products online with easy return policy.
While you’re adding that beautiful dress in your cart there might be someone waiting to trick you on the other side of the screen.
As much as online shopping seems convenient and interesting, it’s even more unsafe and dangerous too. The number of online shopping scams have rapidly increased in the recent past and have managed to deceive innocent users online.
Come, let’s check out some common online shopping scams-


Identity Theft

According to a study, the most common types of fraud causing concern among merchants are identity theft (71%), phishing (66%) and account theft (63%).

---- >> Bengaluru Tops India In Cyber Crimes

Here, credit cards are the most popular target, as a fraudster does not need much to carry out a 'card not present' transaction.

Credit Card Fraud

The basic principle of clean fraud is that a stolen credit card is used to make a purchase, but the transaction is then manipulated in such a way that fraud detection functions are circumvented.

Read this : Different type of Credit Card Frauds
Online users are duped into submitting their credit card information on deceitful websites, allowing criminals to make purchases using the stolen data.

Affiliate Fraud

There are two variations of affiliate fraud, both of which have the same aim; to glean more money from an affiliate program by manipulating traffic or signup statistics.
This can be done either using a fully automated process or by getting real people to log into merchants’ sites using fake accounts.
This type of fraud is payment-method-neutral, but extremely widely distributed.

Triangulation Fraud

During triangulation fraud, the fraud is carried out via three points. The first is a fake online storefront, which offers high-demand goods at extremely low prices.

Online Shopping Scams
Online Shopping Scams - Triangulation Fraud

In most cases, additional bait is added, like the information that the goods will only be shipped immediately if the goods are paid for using a credit card.
The falsified shop collects address and credit card data – this is its only purpose.

Merchant Fraud

Merchant fraud is another method of online shopping scams which is very simple: goods are offered at cheap prices, but are never shipped.
The payments are, of course, kept. This method of fraud also exists in wholesale.

Auction Fraud

Online shopping scams include buyers not getting what they paid for or receiving an item that’s different from the one advertised.

Investment Fraud

Scammers pretend to have great connections and knowledge in finance and bait people to invest on a company, bank or venture.

Online Shpping Scams: 10 famous Investment Scams

Work-at-Home Scam - Online Shopping Scams

This scam promises financial independence and huge money for minimal effort of work at home.

Online Shopping Scams
Online Shopping Scams - Work-at-Home Scam

Victims must pay upfront for a registration fee to get products that are actually never shipped/delivered.

Sweepstakes Scam

The victim receives an email saying he has won the lottery or sweepstakes. He’s asked to send a fee to claim the bogus prize.

West African Scam

Victims are asked to help someone transfer a huge amount of money between countries.

Online Shopping Scams
Online Shopping Scams - Mail
The scammer promises to give these people a portion of the money, as long as they send an advanced fee to supposedly help process the transfer.

Consumer Rights

Now that you are well aware of the the online shopping scams hovering on the internet you should also know about your rights as a consumer in case of any online scam. The legislation is lengthy, but here's a run-down of some of the main points that it covers:

Right to Information

  • Retailers must provide a full description of the product or service they are selling, as well as the price of the goods and how to pay for them (including delivery charges), and when the items will be delivered.
  • Retailers must also provide information on how to cancel an order and offer a cancellation form.
  • All of the information provided by retailers should be given in writing to the consumer once they make a purchase.

Right to Cancel/Refund

  • Consumers have a right to a refund when an item fails to match the information given prior to purchase and, often more helpfully, for any reason within a minimum 14-day cooling off period.
  • The cancellation period starts the day after a consumer enters into a contract for a service or receives their goods.

Do the Bargain

Most of people may not know it, but  the MRP prize is not final prize. A customer is allow to do bargain in order to get the best out of the deal.

General Consumer Rights

consumer rights

Be Smart, Be Safe, During Online Shopping

Online Shopping Scams may be smart and cunning, but with few tactics, you can easily dodge them.
Be smart, and don't throw your card information anywhere.

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