Black Friday and Christmas fraud is a concern for shoppers and businesses. Here’s how to prevent it.

  • Black Friday is a time when businesses and shoppers are being warned about fraud 
  • Experian reports that fraud in credit card applications is expected to spike over the next few years.
  • These are our top tips to help you protect against identity fraud 

Warning to shoppers and businesses: Beware of fraudulent behavior ahead Black Friday and the Christmas rush.

According to Experian (which analysed data from National Hunter fraud prevention services), credit card fraud will likely peak during this time.

According to it, the credit card fraud rate grew by 33% over the previous three months. The trend was expected to increase and peak in November/December.

Shoppers and businesses are urged to be careful of fraud ahead of Black Friday this week

Black Friday fraud is a warning to shoppers and business owners.

It rose to 107 percent between December 2016 & December 2020, which is indicative of the severity of the problem.

Experian’s Head of Identity and Fraud, Eduardo Castro stated that “The UK is currently experiencing a severe flood of fraud and it shows no signs of slowing down. As many people go online to shop for Christmas this month, it is very likely that this trend will only get worse.”

Both consumers and businesses are at risk. There is a lot of data being transmitted online, so it is critical that organisations verify customers’ identities as soon as possible. Consumers should also do their best to safeguard their personal information.

Compare the Market conducted separate research and found that millions of Americans have been victims to financial fraud over the last 12 months. 

9 percent of respondents had their payment systems compromised in fraud over the last year. This equates to nearly 5 million people, if you extrapolate the national figures to the adult population.

In 90 per cent of cases, money was stolen via online fraud, and on average cost victims £608 each. The theft resulted in 50% falling into debt. 

Online payments made up 29 per cent of the frauds – up from 21 per cent two years ago – whilst 19 per cent were contactless payment scams and 17 per cent were phishing scams. 

Comparison site urges spenders to remain vigilant online, as Cyber Monday approaches. 

James Padmore (head of money, Compare the Market) stated:You should not fall for the trap of huge discounts or deals. 

“Some scammers are very clever at making fake websites and scams look real. With online fraud on the rise, it is vital to be vigilant.”  

Credit card application fraud is likely to peak over the Black Friday and Christmas period

Fraudulent credit card applications are likely to spike during the Black Friday/Christmas period

Protect yourself against ID fraud 

Experian offers tips to help you avoid identity fraud.  

• Don’t share too much personal information on social media, such as mother’s maiden name, home address or when you’re away. Your privacy settings must be up-to-date across all platforms.

• When you move address, always re-register on the electoral roll as soon as you can. It helps to ensure that your information is not registered at the previous address. You might also consider setting up mail redirection once in a while.

• Make sure you have an individual unique password for each online account you have. It makes it less likely that fraudsters can gain access to more than one account.

• Ensure your home Wi-Fi has a strong password, never sign in into password protected accounts on unsecured public Wi-Fi and make sure you have up-to-date antivirus software

• If you receive emails or text messages always be cautious about attachments, links or telephone numbers. For more information, please visit their website or contact them.

• Check your credit report, for free, on at least an annual basis to look for anything suspicious. You will see any new credit application. To monitor any changes in your credit score, you can also check it.