Don’t Fall for This Scam That Involves Buying Out-of-Stock Items.
Fraudsters often target shoppers looking for a bargain or a rare find (or both). Ahead of the holiday shopping season, the Consumer Protection Agency is warning shoppers about a scam in which scammers charge for out-of-stock items and then refuse to refund.
The out-of-stock scam is simple: after you purchase an item online, the scammers send you a notification that it’s no longer available, cancel your order, and promise a refund. Of course, the refund never arrives, and no one responds to further inquiries.
As the BBB (Better Business Bureau) notes, in most cases, the item you thought you bought likely never existed—scammers sell counterfeit goods, charge buyers, and disappear in the hopes you won’t notice you haven’t received your refund. Some consumers who submitted reports to the BBB’s fraud tracking system claimed they received items that were of poor quality or didn’t match what they ordered, and the refund was never issued.
Recognizing fraudulent schemes when purchasing out-of-stock products.
These scams may have the usual hallmarks of fraud, such as too-good-to-be-true prices, especially those advertised on social media. Personalized items, rare items, or collectibles are often targeted by scams. If you find a good deal from a company or seller you don’t recognize, search for “scam” and read reviews on Google and Reddit to identify patterns of suspicious activity (or poor product quality).
You should also be wary of insecure websites—those that don’t start with HTTPS or don’t have a lock icon in the browser address bar—as they are more vulnerable to hackers seeking to intercept credit card information and other personal data. Legitimate merchants accept payments securely.
Make purchases using your credit card.
Online shopping fraud is a compelling reason to use a credit card for online payments, as it provides protection against fraudulent transactions. If you haven’t received a refund from the merchant, you can file a chargeback —while it’s not a quick and easy process, you’ll likely eventually get your money back.
Always keep receipts, order confirmations, and any correspondence with sellers in case you need to file a claim for a fraudulent purchase.