Most of us can be considered digital buyers, having moved some or most of our shopping from brick and mortar to virtual.  From our homes, the beach or the bus, we can view catalogues, compare products and prices and reach decisions and purchase whatever we like in a matter of minutes.  Online shopping has become so ingrained in most of us, that we do not think twice about clicking on the buy, checkout and pay buttons. 

The obvious advantages of the digital shopping experience such as accessibility, convenience, comfort and above all instant gratification can very easily numb us to any potential risks that we may encounter in the online world.  Digital has become so ingrained in us, that we often fail to heed the risks associated with shopping through the internet.  We cannot eliminate them completely, but we can mitigate them. 

In any business deal, trust is crucial.  Online shopping is no different.  When a consumer is buying over the internet, payment needs to go through before the seller will mail the product. So the buyer needs to feel secure that the seller is trustworthy.  Fake e-commerce sites and fake online reviews are rife with many consumers falling into the trap of unscrupulous sellers, realising a tad too late when the purchased product does not arrive, their account is hacked or they are victims of identity theft. 

These sites tend to tempt would-be buyers with golden opportunities or offers that seem too good to be true.  Once they lure enough buyers, these sites often disappear, leaving no option for the buyers to get their money back or their product delivered. 

Doing business through unencrypted sites can lead to stealing of information, including credit or debit card information

Doing business through unencrypted sites can lead to stealing of information, including credit or debit card information.  Sellers may lure buyers to send payment outside legitimate services or payment platforms. On the other hand, serious online traders encrypt their websites to protect consumers against this type of risk, often utilising strong banking platforms and payment networks.   A product may seem like a bargain but it could carry hidden fees and charges including tax and shipping or it could also not be up to the safety standards as required by the EU.  Tempting offers, which may seem too good to be true, are more often than not exactly that... too good to be true.

Communication between the buyer and seller is at times conducted through e-mail.  This might be legitimately commenced by the buyer, at other times it translates into a multitude of intrusive promotional e-mails.  E-mails might be malicious containing malware such as viruses, worms and Trojans that change the behaviour of our devices by recording our activities or sending requests, including payment, on our behalf.

The chance of these risks materialising can be eliminated or reduced, if they are correctly mitigated.  So before you confirm a purchase, be aware of what you can do to protect yourself online: 

Always buy from trusted sites, look for the small padlock on the site and for addresses (URL) which use Secure Hypertext Transfer Protocols.  Such sites have their addresses starting with https.  Avoid sites that seem poorly designed and unprofessional and which do not contain a business address or phone number.

Avoid public Wi-Fi and internet café for your online shopping.  Do not provide more information than necessary such as card information at any stage other than when making a purchase and never allow a site to store your credit card information. Banks often send notifications when a transaction is effected with a bank card.  Contact your bank if you receive notifications of transaction that you did not effect and check your card statements for any unauthorised charges.

 Never send financial information via e-mail or pop-up messages, no bank will ever ask you for details in this way. Firewalls, antivirus software and regular updates of the software can also help protect you against malware. 

User accounts and passwords are often integrated within online stores. Passwords should not be written down or shared with others, including family and friends and should be changed frequently. Do not use dictionary passwords, instead use a combination of random characters (upper and lower case), numbers and special characters. 

We are living in the information age.  Fraudsters do not steal just money.  They are after information as well, because ultimately it can be sold and translated into money, usually through the dark web.  As much as we keep our keys secure, instal alarms and take other measures to secure our houses and cars, we also need to secure our online accounts and identity from unauthorised access and fraud.

May you shop online safely!

Aldo Mamo is a seasoned banker with over 25 years of experience in banking and information technology, an information technology trainer and senior manager at Bank of Valletta’s information security and data protection unit.

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