Holiday Scams: How to Spot and Prevent Holiday Fraud

It may be the season for festivities and fun, but fraudsters don’t take holiday breaks. In fact, they launch new scams designed to take advantage of the hustle and bustle and the giving spirit of the season.

From fake delivery scams to donation requests for charities that don’t exist, fraudsters are after your money and your personal information. But with a little caution and careful scrutiny, you can spot these scams early and leave scammers out in the cold.
 

How to Protect Yourself From Scams This Holiday Season

 

As you shop for gifts, travel to see family, and enjoy the festive season, don’t let scammers spoil your holiday fun. Here are some tips to help you spot and stop holiday fraud.

• Be cautious shopping online - Only visit trusted websites, and avoid shopping when using public wifi.
• Scrutinize too-good-to-be-true deals - If the deal looks a little too good, check details like the vendor, seller rating, product specs, and more to ensure it's legitimate.
• Never click suspicious links - If a link looks particularly long, or the URL doesn’t match the link text, don’t click it.
• Investigate before making donations - A little research not only helps ensure the charity is legitimate, but also gives you a good idea of how your donation will be used.
• Check for skimming devices when shopping - Before tapping, swiping, or inserting, give the device a gentle pull to make sure the scanner is one solid piece.
• Secure your online accounts - Update your passwords and add two-factor authentication (2FA) to your online accounts for banking and shopping.

If a scammer does manage to get ahold of your personal information or payment info, contact your financial institution immediately. You should also block the scammer, and set up account and credit alerts to prevent identity theft. To help prevent others from falling victim, you can report scams to The Federal Trade Comission or the Internet Crime Complaint Center.
 

6 Holiday Scams to Watch Out For

 

While scammers try out different ways to defraud people all year long, here are six of the most common scams you’ll see during the holiday season.
 

1. Package scams

For the 2025 holiday season, an estimated 2.3 billion packages will be shipped. This flurry of shipping activity makes it all too easy for fraudsters to swindle people with fake delivery notices.

Spoofing (impersonating) a company like FedEx or Amazon, a scammer will send you an urgent notice saying you have a package with delivery issues. The email or text then directs you to a website where you can verify your shipping information. But in reality, the link leads to a site that steals your information and processes fraudulent payments.

How to avoid package scams: When you get a delivery notice, check the link. Is the URL taking you to a reputable website? If you are expecting a package, look up the shipping status directly on the retailer’s or shipping company’s website.

 

2. Online shopping scams

Many people are looking to save money during the holidays, and scammers take advantage of this with a slew of different shopping scams. One of the more common methods is to create a fake shopping site or product listing. Scammers lure people in by offering popular products at significant discounts. They then request payments through apps like PayPal or cryptocurrency. But no product is ever sent.

Another widespread shopping scam is auction fraud. With this tactic, a scammer will post a deceptive listing. Once you buy the item, what you end up getting is nothing like what was advertised. For instance, you order a dining room table-and-chair set, only to receive a dollhouse-sized version of the furniture.

How to avoid shopping scams: Verify that you are on a reputable website and that the seller is legitimate and well-reviewed. And treat too-good-to-be-true deals with a healthy dose of skepticism.

 

3. Charity scams

Taking advantage of the season of giving, some scammers pose as charities requesting urgent donations. They may pose as someone from a real organization or change the name just enough that you don’t notice the difference. For example, “The Salvation Church Army” instead of “The Salvation Army.”

Alternatively, scammers may create fake campaigns on sites like GoFundMe, using a sad story and stolen pictures to lure you in. 

How to avoid charity scams: Look for red flags like vague information, unusual donation methods (e.g., gift cards), and demands to donate immediately. And do some quick internet research to verify the organization is real, and that the person you are speaking with actually works with them.

 

4. Travel scams

From visiting family to taking a vacation, 119 million Americans were projected to travel during the holidays in 2024, according to AAA. With this many people traveling every year, demand for hotels, flights, and rental cars is high, and so are prices. So when a good deal pops up during your travel search, you are likely to snap it up, which is what scammers are counting on.

Using fake travel agencies, cloned websites, and fraudulent tour companies, scammers advertise deals on everything from flights and hotels to all-inclusive vacations. There’s just one problem: these deals don’t exist. Instead, when you book, the scammer takes your money and steals your payment info.

How to avoid travel scams: Only book travel through trusted sources and consider paying with a credit card for extra fraud protection.

 

5. Job scams

Fake jobs, or job scams, happen year-round, but fraudsters especially like to prey on those looking for a little extra cash during the holidays.

Scammers will advertise jobs with high pay, low effort, and zero requirements. They may promote these jobs as part-time, seasonal, and work-from-home positions. You may even go through a fake interview process and be formally offered the job. However, if you are asked for personal information, the interview seems unprofessional, or you are asked to purchase equipment up front, the job is probably a scam.

How to avoid job scams: If you are contacted out of the blue about a job that seems too good to be true, this could be a phishing scam. Research the company and the recruiter before agreeing to anything, and never, ever pay for equipment, training, or application fees.

 

6. Gift card scams

Gift cards are a hit during the holidays. From restaurants and clothing stores to groceries and travel, there are gift cards for nearly everything. Unfortunately, the prepaid and free-use nature of these cards makes them prime targets for scammers. Major holiday gift card scams include:

• Stolen card information - Scammers steal card and PIN numbers from unsold cards.
• Counterfeit cards - Fraudsters sell gift cards that are expired, have a $0 balance, or are completely fake.
• Gift card payments - Scammers request payments or donations made in gift cards because they are untraceable.

How to avoid gift card scams: Don’t buy gift cards from gift card exchanges, and only buy gift cards stored behind the counter at retail stores. For the best protection, try buying an e-gift directly from the retailer (i.e., buy a Walmart gift card from Walmart.com)

Learn more about fraud and how Empower FCU around-the-clock fraud monitoring can help protect your assets.