How to Spot Online Shopping Scams and Protect Your Wallet

Online shopping saves time and often money, but it also opens the door to scammers who set up fake stores, send phishing messages, or sell counterfeit goods. Recent alerts from the U.S. Department of Veterans Affairs (VA News), the Federal Deposit Insurance Corporation (FDIC), and the Military Officers Association of America (MOAA) remind us that these threats are persistent and evolve with seasonal trends. Knowing what to look for and how to respond can make the difference between a good deal and a costly mistake.

What’s Happening

The VA News article “Watch out for scams and stay safe while online shopping” (January 2026) outlines common tactics used by fraudsters, including fake retailer websites that mimic legitimate brands and phishing emails that appear to come from well-known companies. The FDIC’s August 2024 alert warns about scammers posing as real banks to steal login credentials or trick people into opening fake accounts. Meanwhile, the MOAA’s July 2025 piece highlights that military families are frequent targets, often through social media ads promising steep discounts on popular gear.

These government and military-focused sources aren’t niche warnings — the techniques they describe apply to any online shopper.

Why It Matters

Online shopping fraud cost Americans hundreds of millions of dollars last year, and the numbers keep climbing. Scammers adapt quickly: after a major shopping event like Black Friday or Amazon Prime Day, fake sites appear almost overnight. Even cautious shoppers can be fooled by a well-made copycat page or a too-good-to-be-true deal shared by a friend. Once you hand over your payment information or personal data, recovering it can take weeks and sometimes requires legal assistance.

Beyond the financial hit, falling for a scam can lead to identity theft, compromised bank accounts, and a lingering sense of unease about online transactions. That’s why learning to spot the red flags before you click “buy” is essential.

What Readers Can Do

Recognize the Common Scams

  • Fake websites: URLs that add an extra letter or use a different domain (like “.shop” instead of “.com”) often belong to fraudsters.
  • Phishing emails and texts: Messages that claim there’s a problem with your order, ask you to verify your account, or offer a limited-time deal — especially if they include a link — should be treated with suspicion.
  • Too-good-to-be-true deals: A brand-new gadget at 80% off is almost certainly a counterfeit or a non-delivery scam.
  • Unusual payment methods: Requests for wire transfers, gift cards, cryptocurrency, or payment apps like Zelle or CashApp are red flags. Credit cards offer the most consumer protection.

Verify Before You Buy

  • Check the website’s security (look for “https” and a padlock icon in the address bar).
  • Search for independent reviews of the seller, not just testimonials on their own site.
  • Look up the company’s physical address and phone number. A real business should have more than a cell number and a PO box.
  • If you’re on a marketplace like eBay or Etsy, read the seller’s history and rating carefully.

Shop Safely

  • Use a credit card rather than a debit card for online purchases. Credit cards give you the ability to dispute charges and limit liability.
  • Enable two-factor authentication on your shopping accounts and email.
  • Avoid clicking links in unsolicited messages. Instead, type the retailer’s URL directly into your browser or use their official app.
  • Keep your browser, operating system, and antivirus software up to date.

What to Do If You Get Scammed

  • Contact your bank or credit card issuer immediately to freeze the card, dispute the charge, and request a replacement.
  • Change your passwords for the affected account and any other accounts that use the same login credentials.
  • Report the scam to the Federal Trade Commission (FTC) at ReportFraud.ftc.gov. You can also file a complaint with your state’s consumer protection office.
  • If you used a wire transfer or gift card, contact the company (like Western Union or the gift card issuer) right away — sometimes they can halt the transaction.

Staying skeptical helps. If an offer feels urgent or too perfect, take a moment to verify before spending. A few minutes of caution now can save you weeks of headache later.

Sources

  • VA News, “Watch out for scams and stay safe while online shopping” (January 28, 2026) – government source
  • FDIC, “Scammers and Fake Banks” (August 13, 2024) – government source
  • MOAA, “Military Scams: How to Spot Them and Protect Your Community” (July 29, 2025) – nonprofit military association