How to shop safely online

If you love shopping from your phone or laptop, you’re not alone. Eight in 10 Americans make purchases online. Online shopping allows you the ease of reading reviews, comparing items and finding deals — especially during the holiday season — from the comfort of your own home or while you’re on the go.

Shopping online is easy and convenient — but is it safe? Scammers are constantly finding new ways to steal your hard-earned money and information. In fact, digital fraud attempts spike during the holiday season, and in recent years have been significantly higher in the days between Thanksgiving and Cyber Monday compared to the remainder of the year.

“Fraud and identity theft increase during the holiday season, especially in November and December, because many more people are shopping and more financial information is shared,” says Brendan Goode, Chief Security Officer at Citizens.

Despite the prevalence of fraud, we’ve identified the following steps you can take to help keep your identity — and your dollars — safe year-round.

1. Check for security

Most major retailers have security measures in place to protect your information when you make a payment online. Many of them also offer two-factor authentication. If you have an online login with a store you purchase from regularly, consider enabling this feature. In addition to a username and password, two-factor authentication requires a second method of verifying your identity. This second form of ID usually requires you to enter a code relayed via text message. This helps the retailer ensure that it’s really you logging into your account and not a scammer.

Also, make sure you are using a strong password. “You probably have heard this before, but passwords do matter,” says Goode. “Using a passphrase that only you will know can be easier to remember than a random series of letters, numbers and symbols — and is harder to guess.”

Additionally, if you’re searching for the perfect gift or find an item you’ve always wanted, but it’s only available from an online retailer you’ve never heard of, make sure the site is secure. Before creating a login or entering your payment information, check the address bar of your web browser. The address should start with “https” rather than “http.” Some desktop browsers also show a small padlock icon on the address bar or highlight the address bar in green if a site is secure.

2. Use a secure payment method

Making an online purchase with a secure payment method can help protect your bank account from thieves. Consider checking out with one of these methods:

• A debit or credit card, many of which include a fraud protection benefit. That way, if the worst should happen, then you won’t be held liable for any fraudulent charges.
• A digital wallet, like PayPal, Apple Pay and Google Wallet, which provide end-to-end encryption, meaning your payment data is kept private as it travels from you to the recipient
• Single-use virtual card number, an option some card issuers offer that’s good for a single transaction

3. Do your research

If you’re purchasing an item from a third-party seller on a site like eBay or Amazon, check the seller’s reputation and reviews before buying. Know where the seller is located, the shipping charges, whether the product is new or used, their refund and return policies and which payment methods they accept.

Only communicate and do business with third-party sellers through the platform they are selling on. If a seller messages you with an external link, do not click on it. Do not give them any personal or banking information and report any suspicious activity.

You should also research any retailers you come across on social media. Some fake retailers advertise products that look very real in an attempt to steal your credit card information. When you’re scrolling through social media and come across an item you want to buy, research the seller first. Investigate the merchant to ensure its an established business selling real products. If you’re interacting with brands on social media, make sure they’re “verified.” A little blue checkmark by their profile means the company is legitimate.

“In the end, beware of deals that seem too good to be true. This applies year-round but especially during the holidays,” says Goode. If an item seems like an unbelievable deal that’s far less expensive than the next best sale, it’s probably a scam.

4. Avoid public Wi-Fi networks

Public Wi-Fi is a great convenience if you’re working from a cafe or the library. But if you’re online shopping, hold off on completing any transactions or entering any of your financial information. It’s easier for scammers to track and log your information in these environments. It's best to wait until you get home before making a purchase, or use your smartphone’s data network, which is a safer alternative than free Wi-Fi.

5. Look out for fake shopping apps

Similar to “phishing” emails that look like they’re from legitimate stores, fake apps may appear on the App Store® or Google Play™. These counterfeit apps want your credit card information or to steal your identity. Some have been found to contain “malware” that can infect your mobile device, while others ask you to log in with your Facebook credentials so they can steal your personal data. Before downloading an app, check to see if it has been around for a few years and if it has high ratings from users. Never be the first to download a new shopping app.

“Also, be careful with holiday themed apps,” Goode adds. “Ensure they come from reputable sources and pay attention to what the permissions are before providing your information or access.”

6. Watch out for suspicious text messages

Major shipping companies may text you updates about when they’ll deliver your package. But be aware of messages from scammers pretending to be these shippers. They may text you about retrieving a “missing package” or ask you to confirm shipping details. Never reply to or click on links from these messages.

Ready to shop safely?

Online shopping is a modern convenience that can save you time, money and energy. To keep it safe, make sure you’re dealing with legitimate companies, websites and apps. Do your research before you buy, avoid using public Wi-Fi, and check out with secure payment methods.

“Citizens is committed to helping our customers protect themselves and their loved ones from fraud, which is becoming increasingly sophisticated,” Goode says. “Make sure you share security tips such as these with family members and take measures to keep them safe.”

You can never be too careful when protecting your bank accounts online. Visit our security, privacy and fraud-prevention page for more tips on how to stay safe online.