BATON ROUGE — Holiday shopping has officially kicked into high gear. While many of us are racing to find the perfect gifts, cybercriminals are working just as quickly to find their next victim.
With help from Neighbors Federal Credit Union, we’re breaking down how scammers take advantage of this distracted, high-spending season, especially here in Louisiana.
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Scammers thrive during the holiday rush
’Tis the season for giving, but also for taking.
As online shopping surges and more people make last-minute decisions, fraudsters are busy setting traps. They know shoppers are rushed, distracted, and juggling dozens of purchases.
“More people are spending, more people are buying, and they’re busier because of the holiday rush … so they’re hoping to catch individuals off guard,” Kim Chapman, financial wellness expert with Neighbors Federal Credit Union, said.
Nationwide, the risk is growing. The Federal Trade Commission reported more than 6.5 million fraud and identity-theft reports last year alone.
And locally, the numbers are even more alarming. AARP Louisiana says fraud among older adults is now “at a crisis level,” with total losses skyrocketing from $1 billion in 2020 to more than $3.4 billion in 2023.
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How scammers target holiday shoppers
Between year-end deadlines, gift lists, and constant sales alerts, your inbox and notifications become prime real estate for fraud.
Chapman says scammers rely on the chaos. “Look for misspellings … If it’s a company that you have not done business with, that’s probably a red flag it’s a scam.”
A recent survey found that nearly 48% of U.S. consumers say they’ve been targeted by a scam while holiday shopping online. The tactics range widely: from fake checkout pages to spoofed email deals and ‘Urgent – click now!’ messages.
And urgency, Chapman says, is often the biggest warning sign.
“The biggest red flag would be words that are rushing you,” she warns. “Urgent, open immediately, take action now … they want you to act before you have time to think.”
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How to protect yourself from holiday scams
Neighbors FCU says your best defense is using tools already built into your banking apps. Chapman says to turn on account alerts for your bank and credit cards. Push notifications and text alerts can immediately flag suspicious purchases. Some apps let you set alerts for spending over a certain dollar amount.
You can also toggle your card on and off. Chapman suggests that if you’re not using your card, switch it off in the app. Then turn it on only when you make a purchase.
You also shouldn’t trust links in suspicious messages. If you get a call or text about a purchase you didn’t make, Chapman says: Don’t click the link and don’t call the number in the message. Instead she says you should look up your bank’s official phone number and contact them directly.
Chapman warns that this applies even to notifications that appear to be from your financial app.
“(Your financial institution) can contact you through the apps, but I would err on the side of caution and look up your financial institution’s information. Don’t use what pops up on your phone.”
As you check gifts off your list, remember: when a message starts with “urgent,” “act now,” or “immediate action required,” that may be the scammer’s doorbell.
Before making your next financial move, Neighbors Federal Credit Union encourages members to take advantage of their free Blueprint for Financial Success counseling program. Blueprint sessions are customized to each member’s financial situation, helping you create a personalized plan for success.
Click here to start your Blueprint for Financial Success.
Editor’s Note: This article is part of a sponsored segment paid for by Neighbors Federal Credit Union.
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