Courses
Cloudwards Video Courses New

Cloudwards.net may earn a small commission from some purchases made through our site. However, any earnings do not affect how we review services. Learn more about our editorial integrity and research process.

how to avoid online scams

How to Avoid Online Scams in 2025: Black Friday & Other Frauds to Watch Out For

As the holiday season approaches, the risk of being targeted by online scams increases. The best way to avoid scams is knowing how to recognize them. In this guide, we’ll look at the most common scams and how you can protect yourself online.

Kate HawkinsSamuel ChapmanIgor Kurtz

Written by Kate Hawkins (Writer)

Reviewed by Samuel Chapman (Writer, Editor)

Facts checked by Igor Kurtz (Fact-checking editor)

Last Updated: 2024-12-12T19:03:05+00:00

All our content is written fully by humans; we do not publish AI writing. Learn more here.

Key Takeaways: How to Avoid Online Scams
  1. Be skeptical of online offers and unsolicited messages, especially if the offers are too good to be true or are asking for your personal information.
  2. Verify the authenticity of websites and deals before you enter your personal or financial details.
  3. Use safeguards like malware protection, two-factor authentication, a VPN connection and updated software, and don’t use public WiFi for sensitive tasks like making purchases.

Facts & Expert Analysis: Online Scam Warning Signs

  • Don’t give in to the pressure to act immediately: Scammers create a sense of urgency or fear to make you feel pressured into acting right away — make sure you think critically about the situation first.
  • Look out for errors: Fake emails and online deals may seem convincing, but they often contain generic greetings, spelling mistakes or unusual links that take you to shady websites.
  • Experts warn against using unconventional payment methods: If you’re asked to pay through a crypto exchange or with gift cards, it’s likely a scam. 1
Best VPN for Public Wifi

Online scams are rife during the holiday season, with scammers desperate to get hold of your information to access your bank account, Social Security number and other sensitive data. Though there are ways to boost your security, such as using 2FA and a top VPN to encrypt your connections, the best defense is knowing what a scam looks like.

Scams are increasingly difficult to detect — it’s easy to click on a link that takes you to a shady website or that installs malware on your device. We’ve created this in-depth guide focused on helping you spot common online scams so you don’t fall victim to identity theft or fraud. 

  • 12/12/2024 Facts checked

    We’ve rewritten the article with an expanded list of common scams, and added more vital tips for avoiding scams.

Definition: What Are Online Scams?

Online scams are fraudulent schemes that take place on the internet. They’re designed to lure individuals into sending the scammers money or sharing personal or financial details. Scams can target anyone and are more prevalent during the holiday season. Scammers use tactics like phishing messages, fake sites and pop-up ads to find victims.

Types of Internet Scams 

1. Black Friday Scams

Black Friday is a prime time for scammers, who will create fake websites, ads or social media posts with deals that seem too good to be true. If you fall victim to this scam, you may end up paying for counterfeit items or products that don’t exist, or might hand over your financial and personal data to the scammer.

Protect Your Privacy. Get Our Free VPN Guide Now!

  • Comprehend the essential role a VPN plays in safeguarding your digital life
  • Gain a deep understanding of how VPNs function under the hood
  • Develop the ability to distinguish fact from fiction in VPN promotions
Please enable JavaScript in your browser to complete this form.

How to Avoid Black Friday Scams

Shop only on trusted and verifiable websites. Look for “https://” at the beginning of the URL, as this lets you know the connection is secure. Avoid clicking on links in emails or ads unless you can verify the source, and use secure payment methods like credit cards — don’t pay by money order, wire transfer, cryptocurrency, gift card or payment app.

2. Phishing Scams

Phishing attacks are fraudulent attempts to obtain personal data such as account logins or credit card details. They can appear as unsolicited emails or a text message claiming to be from official sources, requesting urgent account verification or promising an exclusive deal. 

If you click the link, you may be directed to a fake login site and prompted to provide your details, which hackers can use for identity theft and fraud. Clicking phishing links can also download malware onto your device, like ransomware or keyloggers, even if you do nothing else after clicking.

How to Avoid Phishing Attacks

Use a secure email provider to detect and block scam emails. Verify the source of the message to avoid phishing links. Read the message carefully — look for spelling errors and generic greetings. Don’t share sensitive details unless you are 100 percent sure it’s legitimate. If you’re unsure, reach out to the official source using verified contact details. 

If you have emails or texts that are phishing scams, you can forward them to the Anti-Phishing Working Group. This organization collects phishing emails and other phishing attacks for analysis and shares information on how to identify email scams and prevent cybercrime.

3. Online Shopping Scams

Fake websites boom during the holidays, when customers turn to online shopping. Scammers make copycat sites that get shoppers to part with personal or financial information like passwords and card numbers. Scammers lure visitors with phishing emails or URLs that are a simple typo off from popular sites — a practice known as typosquatting.

How to Avoid Fake Websites

Check the URL closely to see if it’s correctly spelled and the right length. Phishing emails can contain links with shortened URLs that direct you to a fake site. Also look carefully at the site itself for unusual fonts or logos, poor grammar and spelling, and a noticeable lack of contact information for the site owner.

4. Tech Support Scams

Scammers pose as technical support agents claiming to contact you from reputable companies like Microsoft or Apple. They’ll tell you there’s a critical error or malware on your device and pressure you to grant remote access, pay for fake repairs or download fake security software that installs ransomware or steals your data.

How to Avoid Tech Support Scams

Don’t trust an unsolicited phone call, pop-up or unexpected email claiming your device has an issue — a legitimate company won’t contact you this way. If in doubt, get in touch with the company yourself using verified contact information from its official website. You can also install a high-quality antivirus to block malicious pop-ups and software downloads.

5. Dating and Romance Scams

In romance scams, a scammer sets up a fake profile on social media or a dating app, typically using images of someone conventionally attractive — also known as “catfishing.” As the scammer encourages a false romantic relationship, they will refuse to meet in person and demand money from their victim on various pretenses.

How to Avoid Dating and Romance Scams

Verify the identity of the person you’re talking to. Try to video call the individual or perform a reverse-image search online to see if the pictures are genuine. Never share financial information with someone you don’t know, and don’t send money via wire transfer, money order or in any other capacity, even if the requester seems genuine.

6. Cryptocurrency Investment Scams

A cryptocurrency investment scammer approaches victims with a “once-in-a-lifetime opportunity” to invest their money and get a high rate of return. Trust is built through social media posts or fake endorsements that sound convincing. Once you send your money, the scammer disappears and the investments turn out to be inaccessible or worthless.

How to Avoid Cryptocurrency Investment Scams

You should be skeptical of any investment that guarantees high returns, especially when cryptocurrencies are so volatile. Use only official platforms for investment transactions, and don’t share your cryptocurrency wallet keys with anyone. If in doubt, contact a financial advisor for investment advice.

7. Gambling Scams

Gambling scams involve promises of big wins, generous payouts or deposit bonuses when you sign up for an online casino account. However, the casinos are fraudulent, with games that are rigged to lose and a refusal to honor payouts should you win. Not only will you lose your money, but you’ll also give scammers personal information like your bank details.

How to Avoid Gambling Scams

Use only reputable casinos that you can verify are legitimate — they’ll be licensed by the appropriate gambling authority. Avoid sites that promise huge bonuses or unrealistic payouts from games, and use only secure online payment methods to make deposits and receive funds.

8. Employment Scams

Fraudsters pose as potential employers, offering jobs with great benefits like flexible hours and high rates of pay. However, they might ask for details like your name, address and Social Security number for “onboarding purposes”; have you pay a fee in order to start work; or give you tasks to complete and refuse to pay.

How to Avoid Employment Scams

Check out the employer to see if it’s a legitimate company. Try contacting a hiring manager on LinkedIn or reading reviews from other employees. Be wary of vague job postings with too-good-to-be true benefits or employers that ask for too many details, and avoid jobs that ask you to pay an upfront fee to start your employment.

9. Fake Loan Scams

Fraudulent loan scams target vulnerable individuals who may have difficulty getting a traditional loan. They’ll guarantee a loan with low interest rates, even if you have poor credit, and immediate transferral of funds to your bank account. They’ll ask for your personal details and usually charge a fee for the loan — but you’ll never get the money.

How to Avoid Fake Loan Scams

If you need a loan, source it from a bank or moneylender with verifiable credentials. You can find this information using your local financial services register, which will list the lender if it’s legitimate. An authentic moneylender won’t ask you to pay upfront fees or pressure you to act immediately.

10. Gaming Scams

Scammers target the gaming community by creating fake valuable items, rigging in-game trades or faking “hack tools” to install malware on your device. They’ll ask gamers to share login information or pay real money to gain rewards and rare items. However, the items don’t exist, and the login details are used to steal data from the account.

How to Avoid Gaming Scams

Never share your gaming account details with anyone, and enable two-factor authentication in case your login information is compromised. Trade items using the official trading platform only, and check that any offers, tournaments or hack tools are legitimate before engaging with them.

11. Real Estate or Rental Scams

Real estate scams work by targeting victims who urgently need affordable housing. Scammers pose as landlords or create property listings that aren’t real. They’ll ask for your information and for a fee or deposit for the property before you can see it — only for you to discover that the listing was fraudulent.

How to Avoid Real Estate or Rental Scams

Before giving money for a deposit, visit the property in person or have someone you trust pay a visit. Use a legitimate real estate company to search for a property and check that the agreement you sign is legitimate — you won’t have to pay any fees before signing the purchase or rental agreement.

12. Charity Scams

Charity scams involve scammers pretending to represent a legitimate charity to secure funds or personal information from potential victims. You might receive a phone call or text message, or see posts on social networking sites asking for monetary or material donations. However, these donations are used only for personal gain and won’t reach the charity.

How to Avoid Charity Scams

Be cautious of any unsolicited charity requests, especially by phone, text message or email. Research the charity first; if it’s legitimate, it will be registered with the appropriate authority. Don’t feel pressured to make a donation immediately, and make donations through secure portals — avoid wire transfers and payment apps.

How to Spot Online Scams: Examples

No matter how sophisticated online scams get, there are some simple ways to spot a scam and avoid identity theft and fraud. Watch out for the following clues:

  • Offers and deals from unsolicited sources that are too good to be true
  • Messages that are poorly written, with spelling and grammatical errors
  • Language that creates a sense of urgency and pressure to act quickly
  • Requests to share personal details or send payment

Online Scam Example: Phishing Email

Here’s an example of a fake email that encourages the recipient to click on a phishing link. The email uses an authentic-looking sender address, applies pressure to act immediately — “before your chance runs out” — and includes an odd external link and spelling mistakes. In a secure testing environment, the link was blocked by malware protection due to riskware.

how to avoid online scams example one fake email
The email appears to come from a legitimate
source but has telltale signs of a scam.

In the image above, the email domain “JohnLewisrewards.com” is worded to look legitimate, but a quick check reveals that it’s not actually associated with John Lewis.

Online Scam Example: Funding Scam

This email is a great example of a deal that’s too good to be true — offering a huge amount of money from a fake grant fund in exchange for your personal data. The email is poorly written, with incorrect grammar, and doesn’t include a name in the greeting — clear signs of a scam.

how to avoid online scams example two scam email
This email asks you to respond with your private
details to claim from a fake grant fund.

How to Protect Yourself From Online Scams

1. Use a Unique, Strong Password

Using the same password across multiple websites makes it easy for hackers to access your accounts. A unique and strong password for each account prevents brute-force hacking and protects most of your data, even if one login is compromised. We recommend a password manager like 1Password to create and store unique passwords.

2. Enable Two-Factor Authentication (2FA)

Two-factor authentication stops unauthorized logins if your account details are compromised. Adding a second step before access is granted means you’ll be alerted to someone trying to log in, so you can deny permission and change your password.

3. Avoid Clicking Links in Unverified Emails

Scammers use phishing emails as one of the key ways to obtain private information by taking you to a fake website that looks real. A link in an unexpected email could also download malware to your device that puts your security at risk.

4. Don’t Share Personal Information Online

Avoid divulging data like your full name and address, Social Security number, date of birth or bank account number. This can help scammers build a profile they can use to impersonate you and fraudulently use your information to make purchases, take out loans or credit cards, or even access medical services or government benefits.

5. Update Your Software and Devices

Scammers can use malware in phishing emails to exploit gaps in outdated software, deploying programs designed to steal your personal details. Regularly updating your software and devices means you’re using the latest version, which includes patches and fixes for bugs or vulnerabilities that compromise your security.

6. Use Trusted Antivirus and Security Software

If you do click on a suspicious link or pop-up, using a strong antivirus solution can block malware downloads or access to scam websites. We recommend Bitdefender as the top choice, which regularly blocks 100 percent of known and zero-day malware in tests. 2 Secure cloud storage is another great way to protect your data.

You can also add protection with a VPN, which encrypts your internet connection to stop hackers from seeing your online activity — useful when you’re on public WiFi. Some VPNs include malware protection and extra features to further boost your protection. We like NordVPN the best. You can read more about it in our full NordVPN review.

7. Do Your Research

Take the time to look at websites, read reviews and verify credentials before making any purchases or sharing information. Find trusted sources and forums online or talk to experts to get their opinion on the legitimacy of the offer or site.

8. Don’t Use Public WiFi for Sensitive Transactions

Public WiFi is often a target for hackers, as connections are typically not encrypted, making it easy to see your online activity — including personal details or financial information. If you must use public WiFi, a VPN can encrypt your connection so potential hackers can’t see what you’re doing.

9. Don’t Feel Like You Have to Act Immediately

Scammers create a sense of urgency to get you to send a payment or make a purchase without having time to think critically. Instead of rushing, take the time to consult with experts, do your research and think about the situation. Legitimate companies may have deadlines for deals, but they won’t pressure you or demand immediate payment.

10. If It Seems Too Good to Be True, It Usually Is

Deals that promise enormous discounts or guaranteed high-return investments are designed to entice you to act immediately for fear of missing out. However, it’s vital to check trusted sources and ensure legitimacy before acting, as more often than not you’ll discover that it’s actually a scam.

Final Thoughts

We hope you’ve now got a solid understanding of the tactics fraudsters use to get you to part with your information and money. Remember to be on your guard, especially over the holidays — it’s the perfect time for scammers to strike.

Have you been the target of an online scam? Do you feel confident that you know how to identify online scams? How would you protect yourself from a scammer? Let us know in the comments and, as always, thank you for reading.

FAQ: Prevent Online Scams

  • To avoid being scammed when shopping online, make sure to use trusted and reputable websites and avoid deals that seem too good to be true. Use only secure payment methods such as a credit card to make purchases.

  • You may get your money back if you report the transaction to your bank or credit card company and dispute the charge as a scam. You can also report the scam to your local authority, which should have an agency for reporting scams, such as Action Fraud in the U.K. or the FTC (Federal Trade Commission) in the U.S.

  • A buyer may be trying to scam you if they offer to overpay and have you refund the excess amount — it’s likely the initial payment will fail or be charged back. If you’re using a selling platform like eBay, be cautious of buyers who want to make purchases off-platform or refuse to follow the terms of service.

  • You can find out if a company is legitimate by verifying the business credentials using a government or industry database. You can also research the company — look at the official website and note anything unusual (like a lack of secure payment methods or clear contact information) and seek reviews from trusted sources.

Sources:

  1. How to Avoid a Scam – Federal Trade Commission Consumer Advice
  2. AV-TEST Product Review and Certification Report – Jul-Aug/2024 – AV-TEST
↑ Top