Many Americans are taking advantage of the ability to purchase almost anything online, from clothes to appliances and beyond. In fact, 95% of Americans have reported to shopping online at least yearly. As we continue to shift toward this trend, the amount of fraud and/or identity theft incidences are increasing.
In 2023, the U.S. recorded the highest-ever number of data breaches, affecting 353 million people. The FBI says it received 880,418 cyber-crime complaints with a potential total loss of $12.5 billion.
Along with that, the Federal Trade Commission (FTC) says it received more than five million reports in 2023.
The next time you buy online, follow these tips to protect yourself from falling victim to fraud or theft.
1. Shop from secure websites only
When you visit a website, the URL should begin with “https” instead of “http.” A secure website encrypts your personal and credit card information, allowing you to enter it safely without the risk of hacking.
2. Create a unique username and password for each account you have
Most online retailers allow you to create an account and store your personal information and credit card number in their system. Many users create an account to see their order status, order history and make reordering items easier. However, for each account you have, be sure to use a unique username and password.
Think about this: if you use the same username and password repeatedly, a hacker will have access to everything once they crack your login.
To help you keep track of your different passwords and keep them secure, consider using password management software. This software stores passwords and uses advanced security, such as two-factor authentication, to keep them safe.
3. Never provide your social security number
Plain and simple: online retailers do not need your social security number to complete a transaction.
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4. Avoid clicking on links or images within a promotional email
This one is a bit trickier. Let’s say you receive an email from your favorite online retailer and they’re offering 50% off the entire website. However, before you click on that image or link in the email, it’s best to go directly to your web browser and type in their website URL. This way you guarantee you are visiting their secure site.
Many hackers create a fake email and website in a phishing scam to attract consumers and steal their information. Many times, they can replicate a retailer’s website so well the consumer has no idea until it’s too late.
5. Avoid using free Wi-Fi at public places when online shopping
Hackers love free Wi-Fi because it’s easy for them to access your device and steal personal information. Public Wi-Fi does not usually encrypt your data. In addition, hackers can create fake Wi-Fi networks for you to connect to which then gives them complete access to your device.
6. If a deal seems too good to be true, it likely is
If you see an item on a website, such as Amazon, and the price has dropped by $200, it’s likely a scam. Or, if you see an offer that says, “Like our Facebook page and we’ll give you a free smartphone!” it’s almost always a con.
7. Use a virtual credit card number instead
Most major credit card companies offer single-use numbers that act as a cover for your real credit card number. You use these numbers instead of your actual credit card number, but they still appear normally on your statement.
8. Monitor your credit card activity and statements
Be proactive. Check your credit card activity every day and review your statements in-depth. Request to receive alerts for total purchases over a certain amount, such as $500, within a billing period. This way, if a hacker uses your card for multiple smaller purchases instead of one large purchase, you’ll be notified.
9. Read retailer reviews before ordering
Try researching the store before clicking “order” or entering your credit card information. A quick internet search can help you figure out if a retailer is trustworthy by showing you what other people are saying.
How Integrity can help
In 2023, cybercrime hit a record high according to Insurance Information Institute. Although you may take all the appropriate steps to combat fraud, you can still fall victim.
To help keep you secure, Integrity offers identity theft and home cyber insurance coverage. We also partner with Cyberscout to provide a selection of resources on protecting your information online.
Contact your independent insurance agent to review your policy and learn how you can shield your family, finances and future with Integrity.
Sources:
BigCommerce.com
The Identity Theft Research Center (ITRC) Annual Data Breach Report
The FBI’s Internet Crime Report 2023
FTC’s Consumer Sentinel Network
Cyberscout
Javelin Strategy & Research report Insurance Information Institute (III)
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