Follow these tips for hassle-free online shopping: get the details, pay by credit
card, keep records, and protect your personal and financial information.
Get the Details
Know Who You Are Dealing With - Anyone can set up shop online under almost
any name. Confirm the online seller's physical address and phone number in case
you have questions or problems. And if you get an email or pop-up message that asks
for your financial information while you're browsing, don't reply or follow the
link. Legitimate companies do not ask for information that way.
Know What You Are Buying - Read the seller's description of the product closely,
especially the fine print. Words like "refurbished," "vintage," or "close-out" may
indicate that the product is in less-than-mint condition, while name-brand items
with bargain basement prices could be counterfeits.
Know What It Will Cost - Check out websites that offer price comparisons
and then compare "apples to apples." Factor shipping and handling into the total
cost of your purchase. Do not send cash or money transfers under any circumstances.
• Check out the terms of the deal, like refund policies and delivery dates-
Can you return the item for a full refund if you are not satisfied? If you return
it, who pays the shipping costs or restocking fees, and when you will get your order?
A Federal Trade Commission (FTC) rule requires sellers to ship items as promised
or within 30 days after the order date if no specific date is promised. Many sites
offer tracking options, so you can see exactly where your purchase is and estimate
when you'll get it.
New Rules for Gift Cards Effective Starting August 22, 2010
Money on a gift card cannot expire for at least five years from the date the card
was purchased, or from the last date any additional money was loaded onto the card.
If the expiration date listed on the card is earlier than these dates, the money
can be transferred to a replacement card at no cost.
Inactivity fees can be charged only after a card has not been used for at least
one year, and you can be charged only once per month. But you may be charged a fee
to buy the card or to replace a lost or stolen card.
The expiration date of a card must be clearly disclosed on the card, and fees must
be clearly disclosed on the card or its packaging.
Pay by credit card
If you pay by credit or charge card online, your transaction will be protected by
the Fair Credit Billing Act. Under this law, you can dispute charges under certain
circumstances and temporarily withhold payment while the creditor investigates them.
In the event that someone uses your credit card without your permission, your liability
generally is limited to the first $50 in charges. Some companies guarantee that
you won't be held responsible for any unauthorized charges made to your card online;
some cards provide additional warranty, return, and purchase protection benefits.
Keep Records
Print or save records of your online transactions, including the product description
and price, the online receipt, and the emails you send and receive from the seller.
Read your credit card statements as you receive them; be on the lookout for charges
that you don't recognize.
Protect Your Information
Do not Email Any Financial Information - Email is not a secure method of
transmitting financial information like your credit card, checking account, or Social
Security number. If you begin a transaction and need to give your financial information
through an organization's website, look for indicators that the site is secure,
like a URL that begins https (the "s" stands for secure). Unfortunately, no indicator
is foolproof; some fraudulent sites have forged security icons.
Check the Privacy Policy - Really. It should let you know what personal information
the website operators are collecting, why, and how they are going to use the information.
If you cannot find a privacy policy — or if you cannot understand it – consider
taking your business to another site that is more user-friendly.
How to Report Online Shopping Fraud
If you have problems during a transaction, try to work them out directly with the
seller, buyer, or site operator. If that does not work, file a complaint with:
the Federal Trade Commission at www.ftc.gov/complaint
your state Attorney General, using contact information at naag.org
your county or state consumer protection agency. Check the blue pages of the phone
book under county and state government, or visit consumeraction.gov and look under
"Where to File a Complaint."
the Better Business Bureau
More tips of how of how to become a smart online shopper, we invite you to visit
our Leisure section.
