How to shop online safely and avoid scams

Understanding online shopping scams

Before you shop online, it is important to be aware of some common online scams:

• Counterfeit websites: They look a lot like real online stores, but they may sell fake items or not ship anything after you've paid.
• Phishing: You might receive an email that looks like it's from a trusted company, asking you to click a link and enter your personal information. The link can lead to a fake site designed to steal your information, which can then be used for unauthorised transactions.
• False advertising: Sometimes a website advertises products at surprisingly low prices to hook you in. After purchasing these items, they either don't arrive or you may receive poor-quality goods.

What to check for before you checkout

Before you tick off your online shopping list, make sure you’ve ticked off this scam-safe checklist.

1. A secure website

Look for a padlock icon and ‘https://’ in the URL as this means the site uses SSL (secure socket layer) which protects your data. 

Watch out for misspelled domain names, unusual extensions (like .net instead of .com) or pages that look unprofessional. These can all be signs of a potential scam.

You can also boost your protection with Device Security Essentials, free in the MyTelstra app for Telstra customers. It helps block threats before they reach your mobile device.

2. Read store reviews

Reviews offer insight into the store’s credibility. Look for consistent complaints like slow delivery, poor quality or bad service.

Be wary of only positive reviews as they could be fake. If there are no reviews or only negative ones, think twice before buying.

3. Be realistic about deals 

If a deal seems too good to be true, it probably is.

Scam websites often lure shoppers with unusually low prices on popular items to get you to spend quickly. If a deal looks suspiciously cheap, do some extra research before buying.

Trust your instincts - it’s safer to skip it than get scammed.

4. Limit how much personal info you give

Online privacy starts with limiting how much personal information you share. If a field isn’t marked as mandatory, like your phone number, consider leaving it blank.

The less you share, the less there is to steal.

5. Use secure payment options

Check that the online store offers secure ways to pay like credit cards, PayPal or platforms like Apple Pay and Google Pay.

Avoid direct bank transfers or PayID. These are often irreversible and may not be covered by your bank if something goes wrong.

6. Be prepared 

Things can go wrong, so it's important to plan for it. Many major financial institutions reimburse fraudulent credit card transactions if you report them quickly - usually within 30 to 60 days. Check your bank’s terms and conditions to understand what’s covered. Direct transfers like PayID or BSB payments are often not protected and may not be eligible for reimbursement.

Some banks that offer fraud protection include:

• ANZ
• Commbank
• St. George
• Westpac

Other payment providers such as PayPal reimburse fraudulent payments similar to banks, but check with your financial providers to ensure you are covered.

Telstra also helps protect customers by blocking millions of cyber threats every day, adding another layer of defence while you shop online.

Have you been scammed? Here's what to do

If you’re affected by identity theft or cybercrime, act quickly. Report the incident to your bank and local police.

You can also contact IDCare, a respected government service that supports victims of cybercrime and identity theft.