In today's digital age, the convenience of online shopping has revolutionised the way we purchase goods and services. However, this convenience has also opened the door to a surge in fraudulent activities, particularly fake or bogus e-shop scams proliferating on social media platforms like Facebook and Instagram (Insta) and chat apps like WhatsApp and Telegram.
The consequences of falling victim to these scams can be severe. For instance, a recent
report from The Sun highlighted the case of a woman who lost US$400,000 over seven years to a Facebook scam, continuing to send money despite her family's efforts to intervene.
Her son took to MarketWatch to ask for advice on how to deal with his mother, who has fallen 'victim' to scammers. His post says, "They came through Facebook and had several different names; they took her for over US$400,000 and, to this day, she is still sending Apple gift cards."
Such incidents underscore the devastating financial and emotional toll these scams can have on individuals and their families.
The
Avast 'Gen Q4/2024 Threat Report' shows that Facebook tops the list for social media scams, making up 56% of all detected threats in social media. YouTube comes in second at 26%, while platforms like X (formerly Twitter), Reddit, and Instagram also pose risks. While WhatsApp has a more extensive user base, Telegram blocked six times more threats, suggesting that its unique features make it a more attractive target for cybercriminals, the report says.
Over the past few years, especially after COVID-19, social media platforms have become fertile ground for scammers due to their vast user base and the ease of creating and promoting content. Fraudsters set up counterfeit online stores, often mimicking legitimate brands or offering enticing deals on popular products. These fake e-shops are promoted through targeted advertisements, sponsored posts, or even hijacked accounts, making them appear credible to unsuspecting users.
Moreover, public figures have also been exploited in these scams. Martin Lewis, a British personal finance expert, has condemned the fraudulent use of his and Elon Musk's identities in online crypto scams, which have cost UK victims millions each week, according to a
report from the Guardian.
"I have the dubious honour … of being used in more scam ads than anyone else in the UK, even though I never do any advertising. If you add in Elon Musk, between us, we are the huge majority of scam ads," says the MoneySavingExpert.com founder, referring to data compiled by Action Fraud, the UK's centre for collating allegations of cybercrime.
These scams often involve fake endorsements to lend credibility to fraudulent schemes, further deceiving unsuspecting consumers.
According to the Avast threat report, there has been a significant increase in scams exploiting popular platforms. The report highlights that cybercriminals are leveraging the trust users place in these platforms to disseminate fraudulent schemes, including fake e-shop scams. "On YouTube, malvertising is the biggest threat. Scammers use misleading video ads to distribute malware or redirect users to phishing sites. With more than 2.5bn (billion) users, YouTube provides a massive audience for these fraudulent ads. Since X allows users to buy verification badges, scammers can appear more credible. Fraudsters often hijack trending topics to push fake giveaways, especially during crises or major events."
Common Tactics Employed by Scammers
Scammers employ a variety of tactics to lure victims into their fraudulent schemes using catchy phrases and attractive photos. According to Avast Threat Report, scammers create fake ads that look real but contain harmful links and clicking on them can lead to malware infections or phishing sites. "Fake online stores on platforms like Facebook and Instagram trick people into buying non-existent or counterfeit products. With online shopping booming, especially during the holiday season, e-shop scams are becoming more prevalent, taking advantage of last-minute buyers looking for great deals."
Attractive Deals and Discounts: Fraudsters offer products at prices significantly lower than market value to entice bargain hunters. "Facebook is ground zero for e-shop scams. Fraudsters create fake businesses or listings on Facebook Marketplace, tricking buyers into sending payments for products that never arrive. Many victims assume Facebook verifies these sellers, but that is not the case," Avast says.
Limited-time Offers: Fraudsters also create a sense of urgency with countdown timers or claims of limited stock to pressure quick decisions.
Professional-looking Websites: Fraudsters, with the help of artificial intelligence (AI) tools, are designing websites that closely resemble legitimate e-commerce sites, complete with high-quality images and detailed product descriptions.
Fake Reviews and Testimonials: Fraudsters also post fabricated customer reviews (read: positive) and higher ratings to build trust and credibility.
Social Media Advertisements: These criminals also utilise targeted (paid) ads on platforms like Facebook and Instagram to reach a broad audience.
How To Protect Yourself from Fake E-shop Scams
To safeguard against falling prey to these fraudulent schemes, consider the following measures:
Verify the Legitimacy of Online Stores
- Ensure the website address matches the official domain of the retailer and begins with 'https', indicating a secure connection.
- Legitimate businesses provide precise contact details, including physical addresses and customer service numbers.
- Conduct online searches for reviews or reports about the seller, e-shop, or store. A lack of detailed information or negative feedback and reviews can be red flags. However, remember several online sellers offer some money to obtain positive reviews and five-star ratings for their products. So be cautious of similarly worded or 'high praise' reviews.
- Check reviews, look for real customer feedback and be wary of stores that only accept cryptocurrency or peer-to-peer payment apps like Zelle or Cash App.
Be Cautious of Unsolicited Offers
- Refrain from clicking on links in unsolicited messages or ads offering deals that seem too good to be true. Malicious ads can appear on any platform, including YouTube and Reddit. If a deal seems too good to be true, it probably is.
- Extremely low prices on high-demand products are often indicative of scams, and you need to raise questions about them either with the seller or on the platform (comments).
Use Secure Payment Methods
- Opt for credit cards or reputable payment services that often offer fraud protection and the ability to dispute charges.
- Be careful when paying through the Unified Payment Interface (UPI). Scammers often prefer these as these transactions are more challenging to trace and recover. By the time the UPI operator or the law enforcement agencies (LEAs) trace the money transfer, fraudsters may move the proceeds to several other mule accounts and also withdraw the amount.
Maintain Updated Security Software
- Install a good quality and reputable antivirus. It can detect and block malicious websites or phishing attempts.
- Also, enable security features in your browser. Features like pop-up blockers and warning alerts for deceptive sites can provide additional protection.
Educate Yourself and Stay Informed
- Stay updated on the latest scam tactics and alerts issued by reliable and trusted media outlets.
Report Suspicious Activities
You can report fake ads or profiles so that the platforms can take down fraudulent content. Informing authorities like the national cybercrime reporting on its portal
http://cybercrime.gov.in or calling 1930, the toll-free national helpline number, can lead to investigations and prevent others from being scammed.
Do remember, however, that all social media platforms also have a responsibility to curb and remove fraudulent content from their platforms. These platforms must ensure that advertisers are legitimate businesses, which automatically can reduce the prevalence of scam ads. Further, social media platforms should have a simplified process for users to report suspicious content that ultimately results in quickly removing fraudulent posts.
As Avast says, cybercriminals constantly adapt and find new ways to exploit social media platforms and users. "As digital crime continues to evolve, collaboration between users, tech companies, and cybersecurity experts will be crucial in making these platforms safer."
Stay Alert, Stay Safe!
