Most Common Online Shopping Scams & How to Avoid Them
Online shopping scams trick people with fake stores, phishing emails about orders, and delivery text messages that look real. Learn how to spot these scams and protect your family from fake purchases and lost money.
Table of Contents
Quick Facts
About this scam type
Online shopping scams use fake stores, order phishing emails, and delivery text messages to trick people into sharing personal info or paying for goods that never arrive. Scammers impersonate trusted brands, create copycat storefronts, or use social media and email to lure victims into unsafe purchases. These scams often appear during sales, holidays, or peak shopping seasons.
How scammers contact victims
Scammers reach shoppers through fake websites, social media ads, email, and SMS. Social ads often appear with too-good-to-be-true deals, while email and text messages mimic real purchase updates or delivery alerts. It's easy for scammers to set up convincing online storefronts or send messages that look official.
Who is most at risk
These scams affect shoppers of all ages. Young adults aged 18–29 report more scams related to social media shopping, but older adults often lose more money per incident. Families must be alert for scams targeting those less familiar with digital payment and delivery methods.
Understanding the risk level
Financial loss from online shopping scams can range from small purchases to hundreds or thousands of dollars. Victims may lose money, have their personal or payment information stolen, or face identity theft risks, especially if they enter details on a fake site or fall for phishing links.
Most Common Online Shopping Scams
How it works: Scammers create online shops or ads on Facebook, Instagram, or TikTok selling popular products at extreme discounts. These stores often disappear once enough victims make purchases, and items never arrive—or they send worthless knockoff goods. They use stolen images, fake reviews, and time-limited deals to trick shoppers.
Common Example
Clearance! Designer bags 80% OFF—Only today. Click the link to buy now. Limited stock! Real User Story
I ordered shoes from an Instagram ad. Weeks later, nothing arrived, and the shop's page was gone. Red Flag Signs:
- • Drastic discounts or 'flash sales' on popular brands
- • No business address or only a contact form
- • Only accepts payment by debit or gift card
- • Fake or generic product reviews
- • Unusual shipping from overseas with no tracking
How it works: Scammers send emails pretending to be Amazon, Walmart, or other major retailers. The messages claim there’s a problem with your order or account and urge you to click a link to 'verify details.' The links lead to lookalike phishing sites that steal your login or payment info.
Sample Scam Email
Your Amazon order is on hold. Please verify your payment info by following this link. Walmart Lookalike
Action required. Your Walmart account has unusual activity. Login now to secure your account. Red Flag Signs:
- • Emails with urgent problems or 'verify now' demands
- • Sender address is misspelled or not from the official company domain
- • Links do not go to the real retailer website
- • Threats of account suspension or canceled orders
- • No details about what you actually ordered
How it works: You get a text saying you missed a package or there's a delivery issue. The link takes you to a fake shipping site asking for payment or personal info. Scammers either steal your info, infect your phone, or charge you small 'redelivery fees.'
Sample Smishing Text
USPS: Your package could not be delivered. Update your address here: [phishing link] FedEx Impersonation
FedEx: Action required! Pay $2.99 to reschedule your delivery. Confirm details here. Red Flag Signs:
- • Unsolicited texts about missed deliveries
- • Links in texts that don’t match official carrier sites
- • Requests for payment or personal details via text
- • No prior order placed or expected delivery
- • Poor grammar or odd link formatting
How it works: Scammers send fake invoices or payment requests through PayPal or by email. Some include a phone number to 'dispute' the charge. When you call, the scammer tries to get your PayPal login or payment info, or asks you to install remote access tools.
Sample Invoice
You've received a PayPal invoice for $699.99. To dispute, call 1-888-XXX-XXXX. Email Example
Payment processed. Didn’t authorize this charge? Call support now. Red Flag Signs:
- • Invoice for a product you never ordered
- • Instructions to call a phone number instead of using official help
- • Pressure to act quickly
- • Requests for PayPal login or card numbers over the phone
- • Demands for remote access to your device
How it works: Fraudulent sellers send you a tracking number for a package, but it may be for a small item sent elsewhere or unrelated, so tracking shows 'delivered.' Others send a cheap item like a keychain—then claim your order is fulfilled and refuse refunds.
Real Example
Tracking shows my package was delivered, but I got only an empty envelope. Common Variation
The seller sent a toy instead of the electronics I paid for; now I can't get a refund. Red Flag Signs:
- • Package marked delivered but item never arrives
- • Tracking shows delivery to the wrong ZIP Code
- • Seller refuses to help after showing any delivery confirmation
- • Unusually cheap or unrelated item sent
- • No way to contact or escalate with the seller
How it works: You receive mystery packages or get offers for a free gift if you scan a QR code. These scams can be used to boost a store’s fake review numbers or to trick you into visiting phishing sites to ‘claim’ your reward. Personal info may be collected and misused.
Mystery Package Scam
A package I never ordered arrived with my name and address. QR Code Gift Card
Congratulations! Scan this QR code to unlock your $100 Walmart gift card. Red Flag Signs:
- • Unsolicited package with no sender details
- • Requests to scan a QR code for a prize
- • Offers of free gifts that require you to provide billing or shipping info
- • Strange or mismatched return addresses
- • Gift offers tied to limited-time claims
Red Flags & Warning Signs
Top 5 Phrases Scammers Use
- 1 "Act now—deal ends today!"
Pushes false urgency so you don’t research the offer.
- 2 "Verify account/payment immediately"
Tricks you into clicking a phishing link or giving up details.
- 3 "Your package is being held"
Impersonates shipping carriers to get money or personal info.
- 4 "Call this number to dispute"
Draws you into direct contact with a scammer instead of using official support.
- 5 "Congratulations! Scan this code for your gift"
Uses surprise and reward to make you scan QR codes that lead to phishing sites.
Scam Warning Signs
- No detailed order history in your accountLegitimate retailers show all orders when you sign in.
- Requests for payment by gift card, wire, or apps onlySafe stores accept major credit cards and offer secure checkout.
- Unexpected or generic emails/textsYou should only get updates if you made a purchase or opted in.
- Links lead to unfamiliar or misspelled websitesAlways double-check the website address before entering info.
- Shipping or delivery notices asking for moneyCarriers rarely require additional payments by text after shipping.
Legitimate Communications
- Confirmation emails show full order detailsReal messages contain purchase summary, price, and tracking from the brand.
- Texts from USPS/UPS only if you’ve opted inCarriers do not send unsolicited texts with links. Opt-in required.
- Contact support through verified company channelsUse official website, app, or printed info—not phone numbers in unknown emails.
- Always pay with a major credit cardCredit cards offer strong dispute rights for fraud or non-delivery.
- Order status visible in your official accountYou should see all valid orders and tracking when you log in directly.
How to Protect Yourself
Use these tips to help protect yourself and family—especially older loved ones—from online shopping scams.
- 1. Always Pay with a Major Credit Card
Credit cards give you strong protections if a purchase turns out to be fraudulent, including the right to dispute charges. Never pay with gift cards, wire transfers, or money apps unless you fully trust the recipient.
Review all card statements monthly and set up transaction alerts for early warning signs.
- 2. Research Sellers Before Buying
Search for store reviews and complaints before making purchases, especially from social media shops and unfamiliar online stores. Look for detailed contact info, return policies, and verified customer feedback.
- 3. Type Website Addresses Manually
If you get an order or delivery message, never click on the link. Open a new browser tab and type the store or carrier’s official address yourself.
- 4. Be Wary of Social Media and Flash Sales
Think twice before jumping on deals from Instagram or Facebook ads. If a deal seems suspiciously cheap or urgent, look up the store outside of the social platform first.
Show older relatives how to recognize sponsored ads and fake store profiles on social sites.
- 5. Handle Delivery Texts with Care
Unsolicited delivery texts are common scams. Forward suspicious texts to 7726 (SPAM), do not click links, and never provide payment info via text. Report phishing delivery texts to USPS at uspis.gov/report.
If you’re expecting a package, check tracking only on the official carrier’s website.
- 6. Verify Invoices Inside PayPal or Merchant Accounts
Do not call phone numbers in unexpected PayPal or payment emails. Log in at paypal.com or the original store to verify invoices, and handle disputes only through secure official channels.
- 7. Help Older Family Members Use Security Tools
Set up two-factor authentication, security alerts, and regular statement reviews for older adults. Walk them through how to recognize scam messages and who to call for help.
For added peace of mind, sign up for Lifeguard to get alerts about shopping scams and protect your whole family online.
What to Do If You're a Victim
If you suspect you’ve fallen for an online shopping scam, act quickly to limit the damage.
- 1. Stop All Contact and Save Evidence (Do immediately)
Do not reply to further messages or calls. Save screenshots, emails, texts, receipts, and any communication as evidence.
- 2. Dispute the Charge with Your Card Company or PayPal (Do immediately)
Contact your credit card provider or PayPal and report the transaction as unauthorized or not received. They will guide you through the dispute process and may be able to reverse the charge.
- 3. Change Passwords and Enable Two-Factor Authentication (Do immediately)
If you entered login or payment info on a phishing site, immediately change your passwords on shopping, email, and bank accounts. Turn on two-factor authentication where possible.
- 4. Notify Your Bank if You Shared Card Information (Do immediately)
Call the number on the back of your card. Tell them your info may have been stolen—they’ll advise next steps including new cards or account holds.
- 5. Report the Scam to Authorities (Within 24 hours)
Within 24 hours, file complaints at ReportFraud.ftc.gov, the FBI’s IC3 (for non-delivery or auction fraud), and uspis.gov/report (for USPS smishing).
- 6. Take Identity Theft Actions if Needed (Within 24 hours)
If personal or Social Security info was exposed, visit IdentityTheft.gov for recovery help. Consider placing a fraud alert or credit freeze.
- 7. Monitor Credit and Remove Unused Saved Payment Methods
Get a free annual credit report at AnnualCreditReport.com. Review saved cards on shopping accounts, and remove any you no longer use or trust.
- 8. Know Your Buy Now, Pay Later (BNPL) Dispute Rights (Within 1 week)
If you used a service like Affirm or Klarna, initiate a dispute through their help center for undelivered or misrepresented purchases.
- 9. Tighten Privacy and Review Account Security (Within 1 week)
Update privacy settings on social media. Review all your online shopping and payment account security and remove unused device access.
Need more help? Visit ReportFraud.ftc.gov for reporting and resources, or use the support center from your bank or shopping platform to get additional assistance.
Frequently Asked Questions
Look for poor spelling, lack of detailed contact info, suspiciously low prices, and payment options limited to gift cards or wire transfer. Search for the store name plus 'scam' or 'reviews' online.
Many real brands advertise on social media, but scam stores are widespread. Research the shop outside of social media before buying, and avoid deals that seem too good to be true.
USPS only sends texts if you’ve opted in and never includes links to make payments or enter personal info. For unexpected texts, check tracking directly at USPS.com.
Never call phone numbers included in the invoice or email. Log in at PayPal.com and review transactions there—only dispute or resolve inside your secure PayPal account.
Contact your carrier and seller with your tracking number. File a dispute with your credit card or payment provider if you still don’t receive your item.
Immediately notify your card provider and change your account passwords. Monitor transactions and consider a fraud alert or credit freeze.
Yes. Contact your BNPL provider (like Affirm or Klarna) to dispute the charge for undelivered or misrepresented goods.
Gift cards and most payment apps like Venmo or Cash App lack fraud protections for purchases. Once money is sent or spent, it's usually impossible to recover.
Report Scams & Get Help Now
Take action to protect your family from online shopping scams. Sign up for Lifeguard to get real-time alerts, expert recovery guides, and 24/7 scam protection.
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