Play It Safe When Shopping Online

By Gerri L Elder

The holiday shopping season is upon us. For many, this year’s shopping sprees will be scaled down due to the current financial hardships in the United States. Retailers know this all too well and are working extra hard to market their products in hopes of getting their bottom lines printed in black, at least for the remainder of the year.

For many people, shopping online is the easiest way to find the best deals and the lowest prices. Online businesses often do not have the expense of maintaining a storefront and can pass the savings on to customers. Price comparisons are as easy as a Google search and for those willing to do a little research, the best products can be found at great discounts.

Along with the savings, sometimes online shopping comes with serious risks. The Identity Theft Resource Center (ITRC) has put together a list of safety tips for online and mail order shoppers.

“S” is for Secure

For safer shopping online, the ITRC recommends that you only shop at websites that transmit your personal information and financial data securely. Secure web sites are equipped with technology that encrypts sensitive information while it is transmitted to the payment processor. This technology helps keep data safe and out of the hands of hackers and identity thieves.

One easy way to tell if a web site is equipped to safely handle a transaction is to look closely at the url (web address) of the online order form. Any page on which you submit personal or financial information should begin with https://. The “s” before the colon means that the web page is secure. You may also see a locked padlock in the lower left corner of your browser when you are on a secure web page.

Be Familiar with Online Vendors

No public displays of affection necessary here, but the ITRC recommends doing business online with companies that you know and trust. If a company is new to you, it can pay to do a little research before pulling out your credit card this season.

Reliable companies should offer a business address and phone number on their web sites. If a phone number is available, you may want to call and ask questions to make sure that the business is legitimate. During this call you can ask about the company’s return policy, shipping schedules or sale dates.

Since anyone can set up a web page and answer a telephone, if you have any doubts about a company, you can further research its reputation with the Better Business Bureau or the state Attorney General. Remember that stores located within the U.S. are bound by state and federal laws, while it may be tougher to resolve a problem with a vendor in another country.

A Little Privacy Please

It always pays to check out online vendors’ Privacy Policy pages to find out how your personal information may be used. Reputable companies will always have a privacy policy posted to let you know how your order will be processed and if your name and e-mail address may be shared with or sold to third parties or affiliates.

If it is unclear whether a company’s privacy policy protects you from unwanted third-party marketing, you might receive the nasty surprise of an inbox full of spam, junk mail in your mailbox and even unwanted telemarketing calls.

The ITRC recommends looking for online merchants who are members of a seal-of-approval program such as TRUSTe or BBBonline that sets voluntary guidelines for privacy-related practices.

Safe, Safer and Safest Online Shopping

The federal Fair Credit Billing Act protects consumers who use credit cards. When payment is made with a credit card, the card holder has the right to dispute the charges in the event that something goes wrong. Filing a dispute allows the card holder to withhold payments on the purchase during the investigation. If a credit card has been used without authorization, under the law the card holder is only responsible for the first $50 of the fraudulent charge. No other type of payment provides the legal protection that is provided for credit cards.

Another great tip provided by the ITRC is to have one credit card that is used only for online purchases. With this type of system, it is easier for a consumer to detect fraud. All credit card statements should be carefully reviewed each month for any fraudulent charges.

Just the Facts Ma’am (or Sir)

In some cases online merchants will ask for more information than they need to process your order. This information is generally used for marketing purposes and may be a red flag. You should never provide your Social Security number to a merchant when placing an order. Your Social Security number is only needed when you apply for a line of credit, never to simply make a purchase.

Check and Double Check

Thieves and fraudsters are an Internet-savvy bunch. Often web sites that look identical to popular vendor or banking web sites are set up to conduct phishing scams and steal credit card numbers or other personal information. For this reason you should always check the url of a web site before providing any information to make sure the web address you think you are at is actually where you are.

This is especially important if you have followed a link contained in an e-mail.

Keep Good Records

After making an online purchase, the merchant will often e-mail you a receipt and confirmation of your order. It is recommended that you print these e-mails and keep them with a printed copy of the sales page, company information page and terms and conditions page of web site where you placed the order. These records should be kept until the return or warranty period on the product or merchandise you purchased has expired.

Keep Your Eyes Open and Have Fun

Even with all the scams on the Internet, online shopping can still be fun if you take precautions to protect yourself from fraud and identity theft. You should always follow the common sense rule that if it looks too good to be true, it probably is and immediately leave sites when anything seems suspicious.

With these precautions in mind, Chapter7.com wishes you a happy and safe holiday season.