Be Cyber-Safe for Shopping Success

November 7th, 2009

For Internet deal seekers, Cyber Monday is much anticipated because retailers offer their best online deals. This is the Monday following Black Friday, the day after Thanksgiving and the busiest shopping day of the year.  By shopping online, you can avoid crowds and stress and still find the best bargains of the season. From the comfort of your own home, you can research product reviews and comparison shop the best deals 24 hours a day, 7 days a week. You can sit in your pajamas and buy anything with the click of a mouse.

But it’s important to be sure that this online shopping experience is a safe one, and we have some tips to share with you.

1. Secure your computer – Make sure that you’ve installed the latest patches for your operating system and the newest version of your browser. You also need a firewall, as well as anti-virus and anti-spyware programs with the latest updates.  You can clean your computer with free online software that detects spyware (such as Spyware Doctor) and install a free version of Zone Alarm. When placing orders or creating accounts on shopping web sites, be sure to use different passwords for each site that are different from your computer or email login. Choose something unique that doesn’t contain your address, birth date, phone number, or recognizable words. For example, you can make a random string of characters based on the first letter of each word in a sentence that is memorable to you but is difficult for others to guess. You can test the strength of your password here, and read more about password selection here.

2. Check out the sellers – Unless you choose the online site of a store you already know, you must be careful to ascertain whether the site is reputable  and reliable. Anyone can set up shop online under almost any name. Good companies will provide you with plenty of information and make it easy for you to find. Avoid any seller’s website that doesn’t have the following key elements:

• a posted privacy and returns policy
• customer service and contact information, including a phone number and physical street address
• secure online payments with credit cards

Look for these clues to spot signs of possible online fraud:

• Flashing ads or pop-ups on the web site
• Poor or overly simple web site design
• No contact/about information
• No physical address or phone number
• Site does not accept credit cards
• URL is redirected from another site, and doesn’t match the name on the seller’s page

3. Verify security and validity of the site - Many web sites use Secure Sockets Layer (SSL) technology to encrypt the credit card information that you send over the Internet. These sites usually inform you they are using this technology, and you’ll see a closed padlock or unbroken key icon on the status bar at the bottom of your browser screen. Or, check to see if the web address on the page that asks for your credit card information begins with “https:” instead of “http:”; the “s” indicates that it’s a secure server. Avoid any site that doesn’t offer secure shopping, because savvy criminals can capture your personal and credit information that you enter onto a form on those sites.

Choose items with confidence when you order from sites like Amazon, Buy.com, or Yahoo, where performance of the participating sellers is monitored and feedback collected to determine the satisfaction level of customers. With imported electronics, especially cameras, you’ll want to find out if the company is an authorized reseller of the product you’re buying. Often items with surprisingly low prices are “gray market” and won’t have a valid US warranty from the manufacturer because they enter the country bypassing the licensed US importer.

If you’re not familiar with the name and reputation of a company, check out details or history of their web site at Whois or Godaddy, and look at their store ratings or reviews about them at ResellerRatings or PriceGrabber.  You can also validate a store you don’t know by checking its name in Hoovers, a site provided by Dunn & Bradstreet. Or you can google their website to find any bad press or complaints. If you don’t like what you read, shop somewhere else.

4. Choose the best payment type – Paying by credit card has the highest level of protection. It’s safer than paying by check, cash, or debit card, because, under federal law, your liability is limited to $50 if you have an unauthorized charge on your credit card. You can also dispute the charge if you don’t receive your items. Some credit card issuers grant you extended warranties or other advantages for purchases made with their cards. Others offer secure or “virtual” account numbers, randomly generated for each transaction that can’t be used for any other purchase. The Better Business Bureau suggests that you buy from US-based sellers, warning that if you buy from someone located in another country, you may not have the same rights or be able to enforce them as easily if the transaction goes wrong.

Consider dedicating a single credit card for online purchases so you can monitor the charges.  Another option is a disposable credit card, that works just like a gift card. You add a specified dollar amount to the card, and it’s good until it’s depleted. Then you can either add more to the same card, or purchase a new card. The bonus is that if the number from a disposable credit card is stolen, it’s anonymous, and criminals can’t gain access to anything more than the dollar amount that’s still available on the card.

5. Keep records – Once the transactions are complete, protect yourself by keeping dated records of your purchases. Print out the order form with your purchases and confirmation numbers in case there is a dispute later or the products are not delivered. Print out at least one copy of the Web page(s) describing the item you ordered as well as the page showing company name, postal address, phone number, and legal terms, including return policy. Keep it for your own records for at least the period covered by the return/warranty policy. If you receive a confirmation of your order by e-mail from the merchant, print that as well. Online purchases are protected under the Federal Mail/Telephone Order Merchandise Rule (unless the site says otherwise, merchandise should be delivered to you within 30 days.) Compare the charges with your credit card statement. You can view recent credit card transactions online to catch any problem even before your statement arrives.

The holidays bring out the spirit of giving, even in a tough economy. But it’s also the season for thieves and fraudsters.  Following these rules will help you have a safe and successful holiday shopping experience. And best of all, you’ll avoid road rage and fighting over parking spots.

Entry Filed under: General