How Businesses and Consumers can Stay Safe this Black Friday

Black Friday and Cyber Monday bring record online sales each year, but they also attract scammers looking to exploit the rush. From fake websites and phishing emails to payment fraud and counterfeit listings, online shopping scams are on the rise. Both businesses and consumers play a role in keeping transactions secure. This guide breaks down the most common scams and offers practical advice for both sides of the checkout screen.

1. Phishing and Fake Websites

For Consumers: Shoppers are often lured in by emails or ads that look like real promotions from trusted retailers. These messages can lead to counterfeit websites designed to steal payment information or login credentials. Before entering card details, verify the URL starts with “https,” double-check spelling, and avoid clicking links from unfamiliar emails.

For Businesses: Cybercriminals frequently clone real brand websites to defraud customers. Companies should monitor for impersonation attempts and use domain monitoring services to flag look-alike URLs. Educating customers through official channels about legitimate website addresses can also help prevent confusion.

2. Payment Fraud and Card Testing

For Consumers: Always use credit cards or secure payment systems like PayPal or Apple Pay rather than debit cards. Credit cards offer better fraud protection, allowing you to dispute unauthorized charges. Be cautious when saving payment information on multiple sites.

For Businesses: Retailers often see increased card testing attempts during the holidays. Fraudsters use stolen cards to make small purchases to see if they work. Implement fraud detection tools, AVS verification, and transaction velocity limits to flag suspicious activity before it escalates.

3. Counterfeit Products and Gift Card Scams

For Consumers: Deep discounts on high-end products can be a trap. If a deal seems too good to be true, it usually is. Only purchase from reputable websites and avoid third-party gift card sellers on social media or unknown marketplaces.

For Businesses: Protect your reputation by tracking third-party listings and reporting counterfeit sellers that use your branding. Use digital watermarking and serial tracking on products to verify authenticity. Communicate clearly on your website about where genuine products can be purchased.

4. Account Takeover and Identity Theft

For Consumers: Reusing passwords across sites makes it easy for hackers to break into your accounts. Use unique passwords for every retailer and enable multi-factor authentication when possible. Keep an eye on your bank and email accounts for signs of unusual activity.

For Businesses: Compromised customer accounts can lead to fraudulent orders and lost trust. Enforce strong password policies, require two-factor authentication for logins, and monitor for multiple failed login attempts. Consider using behavioral analytics to detect unusual user patterns.

5. Chargeback and Refund Scams

For Consumers: Always keep receipts and proof of purchase in case you need to dispute a legitimate transaction. Be aware that scammers may also pose as refund agents asking for payment information to process a fake return.

For Businesses: Chargeback fraud, where customers falsely dispute legitimate transactions, is growing. Use detailed transaction records, proof of delivery, and clear return policies to protect your business when challenging disputes.

How to Respond If You’re a Victim of a Scam

Consumers: Contact your bank immediately to report unauthorized transactions. Change your passwords, enable alerts for future activity, and file a report with the FTC or local law enforcement if necessary.

Businesses: If your company experiences fraud or a data breach, isolate affected systems, notify your IT or cybersecurity partner, and inform customers promptly. Preserve logs and review how the incident occurred to strengthen future defenses.

Stay Secure This Holiday Shopping Season

The holidays should be about savings and celebration, not scams. By staying informed and taking proactive precautions, both businesses and consumers can protect their data and finances.

Business Information Solutions (BIS) helps Gulf Coast businesses strengthen cybersecurity with proactive monitoring, compliance support, and incident response planning. This Black Friday, keep your customers and your bottom line safe with BIS.