10 Tips for Smart Holiday Shopping

Going online to shop for the holidays this year? Some of us do it to avoid crowds, some to save gas, and some for the convenience of shopping at any time of day or night. Experts are predicting that consumers will spend more online this holiday season than ever. In fact, a recent Forrester study reports that 11 percent of online shoppers said they would do three-quarters or more of their holiday spending online, translating to an estimated $33 billion in 2007, up from $27 billion in 2006.

The Federal Trade Commission (FTC), the nation’s consumer protection agency, and the National Cyber Security Alliance (NCSA), a non-profit organization devoted to cyber security education and awareness, want you to know that scammers follow the money and will be online this holiday season, too. To reduce the risk of a rip-off — and to protect your personal information and your computer from identity thieves and hackers — the FTC and NCSA offer these tips for safer and smarter online shopping this holiday season:

Check out the seller. If you’re thinking about shopping on a site with which you’re not familiar, do some independent research before you buy.

• If it’s your first time on an unfamiliar site, call the seller’s phone number, so you know you can reach them if you need to. If you can’t find a working phone number, take your business elsewhere.
• Type the site’s name into a search engine: If you find unfavorable reviews posted, you may be better off doing business with a different seller.
• Read the site’s privacy policy to learn how it uses and shares your personal information.
• Consider using a software toolbar that rates websites and warns you if a site has gotten unfavorable reports from experts and other Internet users. Some reputable companies provide free tools that may alert you if a website is a known phishing site or is used to distribute spyware.

Read return policies. Despite your best intentions, some gifts may need to be returned or exchanged. Before you buy, read the return policy. Some retailers give customers extra time so gifts can be returned or exchanged after the holidays; others give purchasers as little as a week — if they accept returns at all. A number of retailers offer shorter return windows for certain products and some charge “restocking” fees. Find out who covers the shipping cost — the customer or the merchant — on a return or exchange, and if your online purchase can be returned to a brick-and-mortar store.

Know what you’re getting. Read the seller’s product description closely. Name-brand items at greatly reduced prices could be counterfeit.

Don’t fall for a false email or pop-up. Legitimate companies don’t send unsolicited email messages asking for your password or login name, or your financial information. But scammers do. In fact, crooks often send emails that look just like they’re from legitimate companies — but direct you to click on a link, where they ask for your personal information. Delete these emails. They’re an attempt to get your information and to facilitate identity theft or other crimes. In addition, just clicking a link in a fraudulent email could install spyware on your computer.