- Online Purchase
- Phishing
- Employment
“Buying online has become a part of our daily lives and scammers are right there with us creating legitimate-looking websites and flashy social media ads, making it difficult to tell which site is the real one,” says Lisa Frohnapfel, President and CEO of the Better Business Bureau in Western Michigan. “It is important to only shop at stores you know and trust, and research the company on sites like BBB.org before you make a purchase.”
Online Purchase scams remain in the top spot in Western Michigan and across the U.S. and Canada. More than 80% of online purchase scam victims in Western Michigan also reported losing money. Scammers often advertise on social media to entice passive scrollers with sought-after products at a much lower price. Online Purchase scams are also the costliest for Western Michigan, with $627,000 reported in losses over the year.
A Traverse City woman saw an ad on Facebook posing as a Home Shopping Network factory outlet. She thought she was getting a hot tub for $7,000. After receiving a questionable confirmation receipt, she tried to cancel her order. That’s when she received the run-around and realized the entire website was a scam.
A Kalamazoo woman reports she purchased what was advertised as a large outdoor nativity set from an Instagram page for over $5,000. After two months, the product finally arrived. She said it seemed like pieces were missing and it was the size of a child’s toy.
An Albion woman thought she purchased a new puppy for $1,700 from a Pennsylvania breeder on Facebook. But once the animal was claimed to be in transit, the courier began requesting additional fees for the crate, city permits and other expenses. The scammer threatened to put the dog in quarantine if the extra $2,600 in payments weren’t made. The woman refused the extra payments and never received the dog.
Tips for avoiding Online Purchase Scams:
Research the Company. Check websites like BBB.org for reviews and ratings and look for both positive and negative trends. Authentic, verified reviews can be accessed from a company’s BBB Profile as well.
Visit the brand website directly. Avoid clicking on any links on social media, through email or text. Legitimate deals will still be offered on the actual website.
Check for a secure website. Look for the “https://” URL structure in the company’s web address, as well as the padlock symbol in the address bar. These verify you’ve got a secure connection and encryption of your data. More information on website security.
Check for contact information. Whether it’s a street address, an email, or a phone number, contact information is crucial in giving you a way to contact a company. Also look for the company’s privacy policy, terms of service, and return policy.
If the price seems too good to be true, it probably is. Compare prices with different retailers to see if the deal makes sense.
Watch for spelling errors, complicated navigation or broken images or links.
Avoid unusual payment methods like wire transfers, cryptocurrency or gift cards. BBB recommends using a credit card, as they can often provide additional protection for questionable charges.
Use digital wallet payment apps with caution. Many peer-to-peer payment apps will not shoulder the cost of fraud, unlike traditional banking systems. Check the policies of the app before using and treat any money you spend like cash.
Always see the pet in person first when buying an animal. There are many reputable breeders and shelters near you on bbb.org. Never pay in full for an animal you’ve never seen in person.
Learn how to shop smart online through the BBB Online Shopping HQ.
The second scam type most-reported to BBB in Western Michigan was Phishing scams. These scams come in the form of emails or text messages looking to steal sensitive information. The messages entice readers to click a link with risks including downloading malware, or lead to phony online shopping sites looking to steal payment information. Many of these emails and texts pose as government agencies or banks, warning about fraudulent charges, or missed deliveries for packages.
Tips to avoid Phishing scams:
- If something sounds suspicious, call the company directly or check the company website directly. Don’t click on links in an unexpected email or text – type the URL for the company into the browser or do a web search to find the right website.
- Don’t click, download, or open anything that comes from an anonymous sender. This is likely an attempt to gain access to your personal information or install malware on your device.
- Question generic messages. Scammers cast a wide net by including little or no specific information in their fake messages. Always be wary of unsolicited messages that don’t contain your name, last digits of your account number or other personalizing information.
Learn more about Phishing scams here.
Rounding out the top 3 scams in Western Michigan for 2023 is Employment scams. Employment scams are on the rise according to new research from BBB. Job seekers in Western Michigan reported losing more than $16,000 in 2023.
Job seekers were contacted through various means, including phone calls, text messages, emails, chat platforms, job sites and social media. Some scammers posted fake job listings on real job listing sites. Scammers sometimes impersonated real companies and even used real employees’ names to appear legitimate.
A Grand Rapids woman was contacted about a potential job opportunity online. After an interview over text message, she was offered the position. She was sent multiple checks from the company and asked to cash them, then send the money to vendors in order to receive equipment for the remote work. After sending away more than $9,000, her bank told her the checks had bounced and she was left with drained accounts. The scammer cut off all communication as well.
Tips to avoid employment scams:
- Research companies at BBB.org
- Contact the company and verify the job offer is real. Look up the phone number on the businesses website or BBB.org Do not use contact information given to you in the job offering.
- Check the email address to ensure it is connected to the company, not a personal “Gmail” or “Yahoo” address.
- Be cautious about providing personal information to unverified recruiters and online applications.
- You should never have to pay a company to do a job.
- Beware of remote job offerings involving checks, Mystery shopping, re-shipping, check-cashing, and car wrapping.
- Be wary of job offers via cold call (or cold-email).
- If the pay seems too-good-to-be-true, it probably is.
- Avoid Interview processes done strictly over email or chat.
Read more tips about job scams here.
Data for this report was gathered from BBB Scam Tracker reports from victims located in the Western Michigan service area and companies claiming to be located in the Western Michigan service area during 2023.
Report scams you come across or research potential scams on the BBB Scam TrackerSM.
Learn steps to protect yourself and your information after becoming a scam victim through the Federal Trade Commission website. reportfraud.ftc.gov
