Online commerce has revolutionized the way we conduct our
business on a day to day basis. Customers now have the opportunity to buy
anything online and have it delivered at their doorstep. From groceries to
expensive consumer gadgets, ordering through web based retail stores has made
shopping a whole lot simpler. Banks and credit card companies also empower
customers these days by providing secure and encrypted access to online funds.
And yet we constantly hear news about how people got ripped off through online
scammers. These cyber criminals have orchestrated a number of scams that has
resulted in losses worth millions of dollars every year. In order to protect
yourself from such scams, it is essential to first understand , “What is
internet fraud?”
What is Internet Fraud and How Do You Spot It?
Internet fraud usually constitutes a financial scam where as
a customer you are promised a certain product or service. Once you have made
your payment, all communications from the seller stops and end up being a victim
of an online.
When you ask the question what is internet fraud, you should
know that there are thousands of examples of fraud. If you take identity theft
for instance, there are many variations to it. But by far the most common is
credit card fraud where confidential log in details related to your account
ends up being exposed online. In such a position, the scammer can simply use
your stolen credit card to make purchases of his own and you might not have an
inkling of the scam until you see your monthly statement.
Now this type of fraud is usually carried out through
phishing practices where the scammers creates fake websites that have been
designed closely to resemble those of popular banks, credit card companies and
other payment systems. You would then receive a mail in your system stating
that your account has been frozen and you can reactivate by simply clicking on
the link provided below. This will then redirect you to the fake website where
you would end up sharing your password while trying to log in. The scammer will
not be in possession of confidential financial information and it is just a
matter of time before he starts to swindle you without you even knowing it.
For people wondering ‘what is internet fraud’ this is the
point where you need to be very careful. For starters, when you receive such a
mail, you should know no professional company will ever ask for your password
or log in details through the internet. If you receive a mail with such a
request, check the url, you would realize it was not sent by the company but
rather some cyber criminal. Worse, the id would even a public email id like
Gmail or Yahoo which should make it all the more easier to spot the scam.
Another aspect you need to consider while thinking about
‘what is internet fraud’ is the online platforms you use to make payments. This
is crucial. You should use online retail stores that best standards of
encryption to prevent their servers from getting hacked. This will ensure your
credit card details never get leaked online.
There are also other types of internet scams when we talk
about ‘what is internet fraud’. One online scam that has generated worldwide
notoriety is the Nigerian 419 scam where people get contacted out of the blue
for their help in moving large amount of money to a foreign country. If you
suddenly receive a mail from a family in Africa promising to pay you hundreds
of thousands of dollars in commission, you should frankly delete that mail immediately
and apply appropriate filters so that you do not receive such mails in the
future. People who responded to such mails out of greed, eventually had to pay
hundreds of dollars in ‘processing fees’. They never received any commission in
return and the scammers ended up having the last laugh. While learning about
‘what is internet fraud’, you should know that there are many variations of the
same scam.
You could be contacted by a travel company from abroad which
suddenly declares you as the winner of a trip to Europe. Here too you would be
required to pay the processing fee before you can get your hands on the ticket.
You should question yourself, “What is the probability of me winning a ticket
from a foreign company when I haven’t taken part in any contest?” That itself
should you tell that this another example of what is internet fraud. Then there is also
the scam where you suddenly see a pop up while browsing with the announcement
that you just won the latest iPhone or Samsung Galaxy phone. This scam too
works on similar lines and the best response is to not reply at all.
When it comes to knowing ‘What is internet fraud’, one key
attribute every online consumer must possess is a healthy distrust of the
internet. Every time you suddenly see an amazing offer or a call for help from
a random source, you should double check and triple check to ensure that it is
genuine. Look for the UrL extention. If the company looks solid, then do a
simple Google search to see what comes up. Stay away from sleazy sites that
have a bad reputation for being infested with scammers. Follow good browsing
habits and put a decent anti virus software on your system to protect it from
spyware. With these simple measures, you can greatly reduce the possibility of
online fraud.
