Fortunately, there are steps that can be taken by both shoppers and retailers to maintain fraud in online shopping.
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The views expressed Pioneer Shareholders are their own.
There is good news and bad news for holiday shoppers this year streaming online to make gift purchases: While many online retailers are becoming more visible about protecting personal customer data and payment, online scammers and scammers are also increasing. they Act. The net result, unfortunately, is a constant rise in hacked data and stolen money.
Related: The risks of online shopping fraud and what you can do to avoid it (graphical information)
A 2018 survey on identity fraud published earlier this year by Jafflin Strategy & Research revealed that the number of victims of identity fraud rose 9 percent in 2017, reaching 16.7 million in the United States. This was the highest figure since Gavlin began tracking fraud 15 years ago. The total amount stolen from these fraud targets was $ 16.8 billion.
Of course no one will be surprised when he knows that holidays are a time of increasing risks offered by these indices. This is the time of year when scammers are more active than any other time of the year.
But even with that in mind, shoppers online and online retailers do not want to give up shopping from the couch altogether. Fortunately, there are steps that can be taken by both shoppers and retailers to maintain fraud in online shopping. As a financial planner and advisor at the St. Louis Financial Regional, I offer tips on this subject to individuals and clients starting out. Here the number of them divided into two categories:
Customers must ensure …
Learn how to train online for trustworthiness. This becomes especially important when you choose to store your passwords and / or payment information with online retailers where you shop frequently. Therefore, place an eye on the signs of a secure location: look for an icon indicating that the retailer is "E-Verified" or has an SSL certificate (Secure Sockets Layer), which allows encrypted interaction between the site and the browser.
Related: How Bots Steal Your Online Advertising Budget
Always shop online with password protection. Avoid clicking "buy" when you see an open network like "Starbucks" or on your network.
Stay tuned for phishing emails. These fake emails are designed to impersonate a trusted individual or business and attract the recipient to click links and include personal information. Here's an example from my inbox: An email claiming to be from Pottery Barn told me that my account was closed and I needed to share my password.
By taking a closer look at the email address of the sender – which was a long series of numbers in an unknown range, I could tell you that this is the address to go to the trash.
Check your credit card and bank statements weekly – Perhaps daily during the holiday season. Even if you do everything correctly in terms of whether you shop or not, your information will still be vulnerable to hacking, as we've seen from the data ports that capture the headlines on eBay, Equifax, and Target. Stay informed on payment records, even if you have not seen your favorite online store in the news. If you see any suspicious activity, contact your payment provider immediately.
Remember to track your credit. Credit Karma is one easy to use service that allows you to log in to your credit score. You also have the option to receive notifications if a credit line is opened on your behalf or if someone else is inquiring about your credit history.
Based on your credit card without exceeding the budget. I recommend that my customers use more of their credit card than a holiday card. Credit card companies are often quicker to respond to fraudulent activities than banks. What's more, malicious activity involving your debit card can include cleaning up your entire verification account – which is not a risk when you use your credit card.
Small online retailers must ensure that …
Never give up the e-commerce system. This may be the most important advice I can give you. It's one that I repeat most frequently with my startup clients, whose business includes online retail: Include an expert-created platform to help keep your customers' data safe.
For this purpose, for online beard and decorative products, I use Shopify, which meets the needs (and needs of my clients). Whether it's Shopify or another e-commerce service, look for a provider that's compatible with PCI.
Keep in mind that protecting customer information is an essential part of your overall business plan. I noticed that some startup clients initially tend to take this responsibility easily. Sure, it's very exciting to spend some time and money developing a logo, website, and social networking presence for your new business. But remember that investing in your security infrastructure is an investment in the safety of your brand.
Increase your protection capabilities as you scale your business. Think ahead; if you expect sales to rise significantly next year, consider paying for the next level of e-commerce service you use to prepare for that growth.
Remember that although you are a beginner, you do not need to create everything yourself. I never recommend dissolving DIY when it comes to data protection. There is no reason to introduce risk by reinventing the wheel when there are already high-quality solutions.
If there is a data latch, you face the problem face-to-face. Contact affected customers immediately and tell them that despite all their efforts, their data has been compromised. Take the extra step to provide an additional level of protection at this stage, such as a free year of security surveillance.
Related: 10 ways scammers are stealing your money online
Although doing everything correctly in these areas does not guarantee safety in the growing world of online retailing, these steps can greatly reduce the chances of you falling victim to phishing behavior. This is not a small thing. Because making it through the online shopping season without catching the crooks has become a gift in itself.