How Shopping Fraud Works

Purchase fraud is the most common form of authorized push payment (APP) fraud. In 2024. there were over 131.000 such cases, resulting in total losses of €87 million.

Authorized push payments refer to bank transfers verified by the account holder, typically used to pay for online services. APP fraud often tricks account holders into authorizing payments themselves through online marketplaces or social media platforms.

Whether you're looking to buy a car, a new tech product like a MacBook or iPhone, furniture, or a vacation home, be wary of seemingly attractive offers. Scammers often use fake websites or place fake ads on legitimate websites like eBay, Facebook Marketplace, and Gumtree.

How to Identify Shopping Fraud

Identifying online fraud can be difficult. Here are some warning signs to watch out for:

Unknown Websites: Choose reputable stores or platforms with strong buyer protection measures. Be cautious when using unknown websites. Check online reviews of stores to ensure they use reputable and secure payment platforms.

Unsecured Payment Methods: Be wary if a seller asks you to pay using insecure methods such as cash, bank transfer, or PayPal for a friend. These methods offer virtually no buyer protection.

Cryptocurrency Payments: Avoid sellers who require payment in cryptocurrency. These transactions are difficult to trace and are often irreversible. Be cautious if an online platform requires cryptocurrency payments.

Aggressive Tactics: Be wary of sellers who pressure you into acting quickly by citing limited quantities or other urgent reasons. Even if the item is indeed limited, it's not worth the risk.

Common Types of Shopping Scams

Facebook Marketplace Scams

While Facebook Marketplace is a great platform for shopping, it's also a breeding ground for scammers. These platforms offer less buyer protection than registered, reputable stores. Be wary of offers that seem too good to be true, especially if the seller asks for a deposit or payment upfront.

Instagram and TikTok Scams

Scammers can easily create fake accounts on Instagram and TikTok, impersonating reputable sellers or brands. Be wary of accounts that use overpriced items as a front for selling counterfeit or low-quality products.

eBay Scams

eBay is a popular online trading platform, but it's not entirely free of scams. Always use secure payment methods and check seller reviews, especially for high-priced items. Be wary of sellers who ask for payments outside of eBay to avoid transaction fees. If possible, inspect the item yourself before making any large purchases.

PayPal Scams

PayPal is a common payment method for online transactions. However, scammers can exploit it to forge tracking information or fake shipments. Avoid using PayPal's "Friends & Family" payment option, as it doesn't offer buyer protection and PayPal cannot assist with claims.

Car Purchase Scams

Buying a car is a significant investment. Scammers may falsely claim to own a vehicle or misrepresent its condition. Always check the vehicle and its history before making payments.

Vacation Scams

Scammers use social media posts and fake travel websites to lure victims with offers of incredibly low-priced airfares, car rentals, and vacation rentals. Always verify the authenticity of such offers before making payments.

Puppy Scams

In puppy scams, "sellers" typically offer non-existent or abused puppies at below-market prices. Victims may be tricked into paying a deposit or advance payment, only to receive no puppy or a puppy in poor health.