1.26.21 – BBB
The top three most reported scams in Maryland evolved to target more victims, and each can be traced back to the pandemic. Online purchase scams are the most prevalent scam affecting local consumers. Total money lost rose from $61,671 in 2019 to $108,169.52 in 2020, an increase of nearly 43%.
Last year, Marylanders submitted 846 Scam Tracker reports to Better Business Bureau serving Greater Maryland, up from 586 reports in 2019. Behind this rise in scams is none other than the coronavirus pandemic, which contributed to a widespread shutdown of businesses, high unemployment, financial instability and social isolation. These challenges left Marylanders in desperate situations, searching for products to protect their families from illness or for a steady job to pay the bills. The top three most reported scams in Maryland evolved to target more victims, and each can be traced back to the pandemic.
Online Purchase Scams – 342 Reports
Online purchase scams are the most prevalent scam affecting local consumers. Total money lost rose from $61,671 in 2019 to $108,169.52 in 2020, an increase of nearly 43%. In March, brick and mortar stores sold out of soaps, disinfectants and hand sanitizers, and by April, reports of fake websites advertising the same products had surged. As online shopping became a necessity, scammers began targeting people shopping for pets, office supplies and even swimming pools. Ultimately, 72% of victims only realized they’d been conned when tracking numbers failed to work, accounts were compromised or orders failed to arrive.
How to avoid online purchase scams:
- Always research the seller. BBB’s Online Purchase Scams Report revealed 57% of consumers did not research a seller when shopping online, and 81% of those people lost money. Before buying, check out the seller on BBB.org and read customer reviews.
- Beware of fake websites. Watch out for red flags like misspellings and incorrect grammar. To ensure a site is secure, check for a padlock symbol in the address bar, and look for active contact information and clear return policies.
Employment Scams – 77 reports
Online purchase scams weren’t the only consequence of business shutdowns. Following the shut down, 42,000 Marylanders filed for unemployment. This sudden rise caused a major backlog in the processing of unemployment claims, leaving many Marylanders without income and bills fast approaching. As a result, BBB recorded a 79% increase in the volume of employment scam reports. Although only 22% of consumers who reported such scams lost money, those who did lost an average of $1842 while many others worked without compensation. On top of the high dollar amount lost, victims are also susceptible to identity theft since many provide scammers with private information and government IDs.
How to avoid employment scams:
- Beware of unsolicited job offers. Most employment scammers made initial contact via email, claiming to have obtained the victim’s information from a job listing website. Always research further when the offeror contacts you first.
- Some jobs are more likely to be scams. Work from home, reshipment and warehouse opportunities make up 65% of employment scams.
Phishing Scams – 76 reports
Along with the rise in online purchase scams came a new method of phishing. Prior to 2020, most phishing reports involved phone calls and government impostors. The rise in online shopping and vote-by-mail led to massive shipping delays across the country. Scammers then saw an opportunity to target people with “urgent package delivery notice” text messages, directing recipients to click a link to view shipment updates. Victims of text message and email phishing expose their devices to hacking, potentially compromising their login credentials for banking, personal and business email accounts, social media and more.
How to avoid a phishing scam:
- Verify who’s contacting you. Most phishing scammers want you to believe they’re someone trustworthy. Before taking any action, verify they are who they claim to be.
- Never click links in unsolicited emails or text messages. This exposes your device to hacking, which can allow scammers to gain access to your personal information.
If you encounter a scam, report it to the BBB Scam Tracker.
Last year, Marylanders submitted 846 Scam Tracker reports to Better Business Bureau serving Greater Maryland, up from 586 reports in 2019. Behind this rise in scams is none other than the coronavirus pandemic, which contributed to a widespread shutdown of businesses, high unemployment, financial instability and social isolation. These challenges left Marylanders in desperate situations, searching for products to protect their families from illness or for a steady job to pay the bills. The top three most reported scams in Maryland evolved to target more victims, and each can be traced back to the pandemic.
Online Purchase Scams – 342 Reports
Online purchase scams are the most prevalent scam affecting local consumers. Total money lost rose from $61,671 in 2019 to $108,169.52 in 2020, an increase of nearly 43%. In March, brick and mortar stores sold out of soaps, disinfectants and hand sanitizers, and by April, reports of fake websites advertising the same products had surged. As online shopping became a necessity, scammers began targeting people shopping for pets, office supplies and even swimming pools. Ultimately, 72% of victims only realized they’d been conned when tracking numbers failed to work, accounts were compromised or orders failed to arrive.
How to avoid online purchase scams:
- Always research the seller. BBB’s Online Purchase Scams Report revealed 57% of consumers did not research a seller when shopping online, and 81% of those people lost money. Before buying, check out the seller on BBB.org and read customer reviews.
- Beware of fake websites. Watch out for red flags like misspellings and incorrect grammar. To ensure a site is secure, check for a padlock symbol in the address bar, and look for active contact information and clear return policies.
Employment Scams – 77 reports
Online purchase scams weren’t the only consequence of business shutdowns. Following the shut down, 42,000 Marylanders filed for unemployment. This sudden rise caused a major backlog in the processing of unemployment claims, leaving many Marylanders without income and bills fast approaching. As a result, BBB recorded a 79% increase in the volume of employment scam reports. Although only 22% of consumers who reported such scams lost money, those who did lost an average of $1842 while many others worked without compensation. On top of the high dollar amount lost, victims are also susceptible to identity theft since many provide scammers with private information and government IDs.
How to avoid employment scams:
- Beware of unsolicited job offers. Most employment scammers made initial contact via email, claiming to have obtained the victim’s information from a job listing website. Always research further when the offeror contacts you first.
- Some jobs are more likely to be scams. Work from home, reshipment and warehouse opportunities make up 65% of employment scams.
Phishing Scams – 76 reports
Along with the rise in online purchase scams came a new method of phishing. Prior to 2020, most phishing reports involved phone calls and government impostors. The rise in online shopping and vote-by-mail led to massive shipping delays across the country. Scammers then saw an opportunity to target people with “urgent package delivery notice” text messages, directing recipients to click a link to view shipment updates. Victims of text message and email phishing expose their devices to hacking, potentially compromising their login credentials for banking, personal and business email accounts, social media and more.
How to avoid a phishing scam:
- Verify who’s contacting you. Most phishing scammers want you to believe they’re someone trustworthy. Before taking any action, verify they are who they claim to be.
- Never click links in unsolicited emails or text messages. This exposes your device to hacking, which can allow scammers to gain access to your personal information.
If you encounter a scam, report it to the BBB Scam Tracker.