Festival Season Fraud: How to Spot and Avoid Online Scams

Online scams spike during festivals like Diwali, catching people off guard. From fake shopping deals to phishing messages and UPI frauds, cybercriminals exploit the festive rush to trick people. This blog highlights the most common scams during the season and shares quick, actionable tips to help you stay safe while celebrating during the festive season.

What are Festival Scams?

Festival scams are fraudulent schemes that primarily occur during the festival season, when online shopping, gifting, and digital transactions are at their peak. Scammers exploit the festive mood and create a sense of urgency to trick users into sharing personal or financial information, making payments, or clicking on malicious links. 

Common Diwali Scams You Should Look Out For

Here are some of the most common Diwali frauds done by scammers in India:

1. Fake Online Shopping Websites
During the festival season, numerous fake websites appear, luring buyers with unrealistic discounts and offers on products, only to disappear after payment is received. 

2. Lottery and Lucky Draw Messages
This festive season also brings a surge in fraudulent messages, where you receive a message informing you that you have won a gift, cash award, or a lottery prize. The next step is to claim your prize by paying minimal processing fees. Once you pay the fees, the scammer disappears with your money. 

3. False Charitable Donations
Festival season in India is closely tied to charity and donations. The scammers exploit this through false charitable donation schemes. These funds are not given to the needy but are used to support online fraud schemes.

4. Phishing Links
In a phishing scam, you will get an email, SMS, or WhatsApp message with an amazing Diwali offer. Although the URL may appear legitimate, it is actually a spoofed website. As soon as you provide your personal or bank details, the fraudsters either steal your money or use your information for identity scams.

5. Gift Card and Coupon Scams
Gift vouchers are in massive demand during Navratri, Diwali, and the New Year. During these seasons, large retailers, online stores, and FinTechs provide customers with digital vouchers and cashback coupons. Fraudsters capitalise on this trend by creating counterfeit gift cards and coupons that appear genuine but are actually designed to steal money or personal information.

How to Protect Yourself from Online Frauds This Diwali?

Now that you know the common online festival scams that people fall prey to, here's how you can protect yourself:

1. Verify Websites: Ensure that you only use a website that starts with "https". Besides the website, you must also avoid utilising offers that seem too good to be true.

2. Do Not Share Your Personal Information: Fraudsters always thrive on individuals' personal information. This may contain banking information, OTPs, passwords, Aadhaar numbers or UPI PINs. Be sure to keep your bank information, passwords and OTP private from anyone.  

3. Avoid Clicking Suspicious Links: Avoid clicking suspicious links from unsolicited emails or messages.

4. Check Before Donating Money: If you wish to donate, please consider donating only to verified organisations.

5. Enable Two-Factor Authentication (MFA): For online accounts and payment, activate two-factor authentication. This provides an additional security measure, making it more difficult for scammers to steal your personal details.

6. Use Strong and Complex Passwords: Use complex and strong passwords; they should include a combination of letters, numbers, and special characters. You must also change your password every 3-6 months.

7. Monitor Transactions: Regularly check your bank statements and SMS alerts. If you find any unauthorised deduction, report it to your bank immediately. Early action will reduce your loss to some extent.

3 Tips to Stay Safe and Smart This Festive Season

Here are 3 tips that will help you stay safe from online scams and Diwali scams:

●    Don't rush while you shop. Research into the website and seller to ensure that they are both legitimate.
●    Avoid sharing card details and personal information on random websites.
●    Use safe payment gateways every time you make a payment online to ensure you are protected against fraud.

To Conclude 

Online scams peak during festivals like Diwali, but with a few smart habits, such as verifying websites, avoiding suspicious links, and protecting your personal data, you can enjoy a safe and secure festive season. Stay informed, trust only verified sources and always think twice before clicking or making a payment. A little caution goes a long way in keeping online fraud at bay. 

FAQs

I got a Diwali offer link on WhatsApp. How can I check if it's real?
Always visit the brand's official website or app directly. Avoid clicking links from unknown numbers, even if they look genuine.

What should I do if I have already entered my card details on a fake site?
Contact your bank immediately, block the card, and request a replacement. Also, monitor your account for suspicious transactions.

Can scammers really copy genuine shopping websites?
Yes. Fraudsters often create sites that look almost identical. Minor spelling mistakes in the web address usually give them away.

Are QR code scams common during Diwali?
Yes. Fraudsters can send QR codes that appear to offer gifts or cash back. Scanning them can directly transfer money out of your account.

I received a call claiming to be from my bank's fraud department. How do I confirm?
Do not share details over that call. Hang up, and call the official customer care number listed on your bank's website.

Why do festival scams rise during holidays?
Scammers capitalise on the fact that consumers spend a significant amount of money, make impulsive purchases, and rush through online transactions during festivals.

What are typical forms of festival scams?
The most common scams are as follows:
●    Fake e-commerce sites
●    Gift cards or coupon scams
●    Phishing links
●    Fake charitable donations
●    UPI/QR code scams
●    Social media deepfake advertisements
●    Fake bank or fintech offers