How to Protect Your Identity During the Holiday Shopping Season

Do one thing: Don’t click links for special shopping deals. It’s better to visit a trusted website to make online purchases rather than follow the breadcrumbs you see on social media or in an email, or text. Many links lead directly to scams.

Online Scams Are a Major Problem

As we navigate the online shopping landscape this holiday season, it’s essential to remember that scammers are always active. Identity theft rates absolutely soar come December, and research shows that online shopping and digital purchase fraud peak during the last few months of the year. So now is the time to make sure you and your friends and family are protected. 

Be Wary of Fraudsters

Unfortunately, not all of us are as skeptical as we should be. Online fraudsters have become incredibly sophisticated when it comes to how to steal money and your identity.

The FBI reports that non-payment and non-delivery scams cost people more than:

• $785 million in 2024, with credit card fraud.
• Adding another $199 million in losses during the same time period.

Earlier this year, the Pew Research Center surveyed nearly 9,400 U.S. adults to learn more about how widespread the problem of online scams and attacks is.

• More than 90% of respondents reported that online scammers are an issue in the U.S.
• 79% saying it’s a major problem.

An August 2025 survey from AARP reveals even more distressing details about the specific problems consumers are facing:  

• 89% of U.S. adults report experiencing some type of scam
• 42% admitted to sending money to someone they don’t know well
• 39% said they have been a victim of fraud after buying something on social media
• 30% report having a package swiped from their door

Tips for Avoiding Scammers 

Here are a few specific suggestions for steering clear of scammers this holiday season:

Beware of the Too-Good-to-Be-True

Some online platforms — like Facebook Marketplace — operate a little like the Wild West.  Particularly when you’re perusing these deals, Chris Diodato, CFA, CMT, CFP, founder and CCO of WELLth Financial Planning, reminds us that if something seems too good to be true, it probably is,  That means if someone is advertising a price that’s much lower than other companies, be suspicious, and check to make sure the website is on the up-and-up. You can do this by hovering over a link to preview where it leads you.

Stay on Your Guard With Phone Calls 

Many cell service providers now offer free apps that warn and filter potential spam or phone numbers associated with malicious intent, notes Diodato. Make sure your older parents and children understand the seriousness of spam calls and the issues related to criminals trying to sign you up for services you don’t need, including new credit cards, extended warranties, and bank loans. 

Text Scams Are Proliferating

Bogus texts are another way criminals are getting into your financial accounts or downloading malware onto your phone or other device.

• Never click on a link you were not expecting.
• Don’t click on texts that say they are from a delivery service such as the United States Postal Service, UPS, etc.
• Look up the number for the service and call them to see if they sent a link.  

Freeze Your Credit

Freezing your credit with all three of the major credit reporting bureaus – Equifax, Experian, and TransUnion – is a solid way to protect yourself from someone trying to steal your identity and open up new credit cards or other accounts fraudulently in your name.  “If you ever need to apply for a loan or a new card, submit a one-day thaw,” says  Samantha Mockford, CFP, AFC, a wealth advisor with Citrine Capital. After that, the freeze is put back in place until you need to unlock it again. “This is useful throughout the year– not just during the winter holidays.” 

Set Up Purchase Alerts

If you don’t want to freeze your credit, or even if you do, another layer of fraud protection you can add to yourself is to set up online credit card (and debit card) purchase alerts. This is typically a simple process to handle with a credit card issuer, and can often be taken care of online.

Once purchase alerts have been turned on, anytime you use a credit card for a purchase, the cardholder receives an email or text notifying them. Depending on the account, you can also set up a text alert to be sent after every transaction you make. Ideally, if someone uses your card without your consent, you’ll know about the purchase in real time and be able to contact your credit card issuer immediately to report the fraud.  

Store Credit Cards Securely

“Keep your cards physically secure in a spot designated for your plastic cards,” Mockford explains.

• Do not let cards swim loose in a big compartment of a backpack or purse.
• Do not carry it through a store in your hands.
• Do not leave it on your desk after buying something online.

She does not recommend carrying credit or debit cards in a pocket of your clothing because it’s so easy to lose them if you accidentally put them through the wash.

• Use a wallet, a sleeve, a clip, or a zippered pouch.
• Specifically designated for ID and payment cards.

With Reporting by Casandra Andrews