Scam alert: not all social media ads are legitimate

If you are on social media, you’ve seen the uptick in ads for amazing deals. Retailers know this generates a lot of insights and are flooding social media with their offerings. However, consumers need to be aware that not every retailer advertising on social media is legitimate.

Complaints, negative customer reviews and BBB Scam Tracker reports across the country find issues with placed orders from social media ads. Consumers allege everything from non-delivery of orders to poor material quality, wrong sizes, or no labels.

A consumer in Wolcott, Ind., reported to BBB Scam Tracker that stated they placed an order with a cosmetic company after being informed on Instagram that could be on their PR list if they made some purchases with a discount code. According to the report, the company did not deliver and refused to give them a refund.

When it comes to online shopping, BBB offers these tips:

  • Do your homework. Check out retailers at bbb.org before you shop. Do an online search of the business with the word “scam” or “complaints” to see what others are saying.
  • Think before your click. Be especially cautious about email solicitations and online ads on social media sites. Many sketchy retailers advertise great deals or trendy clothing that don’t measure up to the promotional hype.
  • Know the advertiser. Some of the best deals are only available online, but be careful. It’s easy for a fake site to mimic a famous retailer’s website, so make sure you are shopping with a legitimate site. A red flag is if the site is missing contact information.
  • Check a site’s security settings. If the site is secure, its URL (web address) should start with “https” and include a lock icon on the purchase or shopping cart page.
  • Shop with a credit card. In case of a fraudulent transaction, a credit card provides additional protections; it’s easier to dispute charges that you didn’t approve. Debit cards, prepaid cards or gift cards don’t have the same protections as a credit card.
  • Keep documentation of your order. Save a copy of the confirmation page or email confirmation until you receive the item and are satisfied. Be sure to know and understand the return policy and keep this documented with your purchase records.
  • Keep your device protected. Install a firewall, anti-virus, and anti-spyware software. Check for and install the latest updates and run virus scans regularly on your computer, tablet, and smart phone.

For more information

If you suspect you have fallen victim to this scam, report it to BBB.org/ScamTracker. Your report can help alert others to similar scams. Click here to sign up for BBB Scam Alerts.