Here are the top holiday scams to look out for

Some of the scams at the top of the list during this festive time of the year include fake merchandise and individuals who promise to sell goods or services online.

“Just a reminder to try to stick with merchants that you’ve maybe used in the past. And if you haven’t used them, then do your research on the company before providing your personal information or credit card information,” says Jeff Horncastle, a communications officer with the Canadian Anti-Fraud Centre.

Phishing emails and text messages that appear to come from a recognizable source and ask you to submit or confirm your information also happen frequently during the holidays.

“Charity scams are big around the holiday season: crypto investment fraud, romance scams. It could be a lonely time of year for many people,” said Horncastle.

It is also gift giving season, meaning gift card scams are high on the scam list. 

“What fraudsters do is that they place stolen gift card barcodes on ones that are not purchased in the store. And when the next person comes to activate it, they’re actually activating the gift card that’s in the fraudsters’ possession,” explained Horncastle.

Experts suggest that shoppers looking to buy a gift card should take their finger and rub it over the back of the card to check if there is a duplicate barcode.

According to Toronto police, there were more than 16,500 total fraud reports in the city this year, with total damages amounting to $365 million. Officials say that’s a 20 per cent increase compared to 2023. 

According to the Canadian Anti-Fraud Centre, as of October 31st of this year, over 40,000 fraud incidents were reported and over 28,000 victims of fraud, totalling a loss of over $500 million. It is estimated though that only 5 to 10 per cent of victims report this to law enforcement.

“Iif they have been victimized, they’re going to hesitate to report because they may be embarrassed based on that attitude that, oh, it’s just a scam, right? We hear that all the time,” Horncastle added. “It’s not just a scam because it’s beyond the numbers that you know, beyond that financial impact, a lot of victims are affected emotionally.”

Authorities say getting back these funds is another hill to climb.

 “It’s a significant challenge for any of those funds to be recovered, especially now you’re talking about the majority of those funds being sent off, cryptocurrency as well, which just adds to the layer of complexities,” says Detective David Coffey with the Toronto Police Financial Crimes Unit.

Advocates say it never hurts to triple, even quadruple-check sites and deals to confirm their accuracy.

“Fraudsters just prey on vulnerabilities, and they know that it’s a busy time for most people, and it makes us more vulnerable,” Horncastle explained.