Online Shopping Scams To Watch Out For In India

Scammers create counterfeit websites that mimic popular online stores. They lure users with massive discounts and deals that seem too good to be true. Once a customer places an order, their payment is taken, but the product never arrives. The site often disappears soon after.

Tip: Before shopping from website always check URL carefully. Fraudulent websites may have slight spelling differences. Look for HTTPS (the padlock symbol) in the website's URL to ensure a secure connection.

Phishing is one of the most common online frauds. Scammers send emails, SMS, or a message pretending to be from companies like Amazon or Flipkart. These messages often ask you to "verify" your details or claim you’ve won a prize. Which will direct you to a fake site where they collect your personal data and financial information.

Tip: Always remember true companies will never ask for sensitive info via emails or SMS. If you have doubts, contact the company directly using contact details available on their site.

Social media platforms like Instagram and Facebook have become popular places for scammers. They post ads for unbelievable deals on clothing, electronics, or makeup products. Once you pay, you will receive a cheap, counterfeit item or it never arrive.

Tip: When shopping from the new site, research the seller thoroughly. Look for reviews on online review sites. And avoid deals that seem too good to be true.

Scammers offer luxury or branded products at laboriously discounted prices. And you'll receive low-quality fake products instead of receiving genuine products.

Tip: Stay connected with authorized sellers or official brand websites when buying expensive products. Check product reviews to ensure authenticity.

In this scam, shoppers pay for products that are never delivered or receive fraudulent tracking details. Alternatively, during checkout, you will be redirected to a fake payment page. This will make you unknowingly transfer money directly to scammer's account.

Tip: Use trusted and secure payment methods like credit cards or PayPal. Always double check the payment URL. Also, ensure that you are on the correct site before completing any transaction.

1. Whenever you are getting scammed you get that feeling like wow I'm getting such a super deal, which is actually a red flag that you ignore. Here we listed some red flags that you need to recognize whenever you think 'this is such a great opportunity to save money' when shopping online. These red flags will help you identify that you are being scammed.
2. Unusually low prices are a common scam tactic. If you see luxury products being sold at fraction of their actual price, stop right there and do some research about that site. Compare prices across different platforms. The major price difference is a red flag.
3. Professional websites invest in good design and security. If a site looks poorly designed or lacks HTTS (the padlock symbol), it's often a sign of fraud. Always check for the padlock icon in the URL and avoid websites with poor grammar or broken links.
4. Legitimate platforms offer multiple secure payment methods, including cash-on-delivery. Scammers often ask for wire transfers or direct bank deposits, because they are harder to trace. Avoid making payments through wire transfers or unfamiliar methods. Prioritize paying with trusted payment gateways or credit card options.
5. Scan sites mostly have no reviews or some overly positive fake reviews. Be wary if all the feedbacks look perfect, with no details on user experience. Look for reviews from different websites, not just on the seller's website.
6. Legitimate websites have a customer service number, address, or contact form. Fraudulent sites either don't provide contact information or provide fake or non working phone numbers. So, verify the company's contact details twice before buying.

In 2023 the phishing attacks increased by over 33%. The prime targets of these attacks are the e-commerce and tech sectors. Scammers send fake emails or SMS pretending to be from trusted companies like Amazon or Flipkart. These messages often include links that will direct you to fraudulent websites, where they stole personal and financial details.

During big shopping days like Diwali or Black Friday, scammers take advantage of high demand and create fake sales on fraudulent websites. These sites offer discounts, and after the payment is done product is never delivered.

There has been a sharp rise in social media shopping frauds on platforms like Instagram and WhatsApp. Scammers use attractive ads and posts and offer cheap products at discounted prices. Once you pay the the product never arrives, or a counterfeit item is delivered.

With the rise of online shopping scams, India's legal system has implemented several measures to protect users. Knowing how to utilize these legal protections and report fraud can help you safeguard your rights as an online shopper.

The Consumer Protection Act (CPA), 2019 offers powerful safeguards to e-commerce buyers. It includes provisions that hold sellers accountable for misleading advertisements, faulty products, and online fraud. This act allows users to claim compensation for financial loss, late delivery, or product non-fulfillment. It also empowers regulatory bodies to address e-commerce complaints swiftly. You can approach Consumer Dispute Redressal Commissions for fraudulent activities and claim refunds or compensations.

If you’re a victim of online fraud, reporting it promptly can help you recover lost funds and stop the scammer. Here are steps to 'how to report scams':

• First file a complaint at the National Cyber Crime Portal. For this visit cybercrime.gov.in to report online fraud.
• Each Indian city has dedicated cybercrime units to investigate digital fraud. So, contact local Cyber Crime Cell.
• If you are unsatisfied with the company’s response, you can file a case at Consumer Courts. These courts handle disputes related to e-commerce, fake products, and fraudulent sellers.

Digital Personal Data Protection (DPDP) Act was introduced to safeguard personal dara and curb phishing and data theft in India. It requires organizations to take explicit consent from users before processing personal data. The act enforces stricter penalties for data misuse. This offer better protection for e-commerce buyers to identify theft, phishing scams, and data breaches.

Always be cautious when sharing personal information online, and check a website’s data privacy policy.

Online shopping has become a part of everyday life, but so have the risks. Wariness and informed decision-making are crucial in avoiding scams. By verifying websites, using secure payment methods, and staying cautious of too-good-to-be-true deals, to avoid being scammed. Did you find this article helpful? Let us know in the comment section.

1. What are the warning signs of online shopping scams?

Warning signs include significantly lower prices than market value, unprofessional website design, lack of customer reviews, and suspicious payment methods. Always look for HTTPS in the URL and verify the seller’s contact information.

2. How to avoid online shopping scams?

To avoid scams, research sellers thoroughly. Use secure payment methods, and be careful of deals that seem too good to be true. Enable two-factor authentication for added security on your accounts.

3. How to know if you've been scammed online?

Signs of being scammed include unauthorized charges on your account, not receiving purchased items, or receiving fake products. If you suspect fraud, check your financial statements and contact your bank immediately.

4. Do banks refund scammed money?

Banks may refund scammed money if you report the fraud quickly and can provide evidence of the scam. Each case is evaluated individually, so it's important to act promptly.

5. What to do if you get scammed in online shopping?

If you get scammed, report the incident to your bank and any relevant authorities, such as local cybercrime units. Document all communications and file a complaint with consumer protection agencies.

6. Where to report online shopping frauds in India free?

You can report online shopping frauds in India at the National Cyber Crime Reporting Portal (cybercrime.gov.in) and local consumer forums. On both platforms, you can report scams for free.

7. What to do after getting scammed online?

After getting scammed, secure your accounts by changing passwords and enable two-factor authentication. Keep records of all communications related to the scam and report it to the relevant authorities.