Online shopping brings convenience, but it also opens doors for fraud. The Federal Trade Commission received over 2.2 million reports of online fraud in 2023, with consumers losing around $10.4 billion in total losses. Good news, adopting a few simple habits can block most scams.
Here are seven essential online shopping security tips to keep your personal data and finances safe whenever you browse or buy.
Use strong unique passwords
Why passwords matter
A strong password (a long mix of letters, numbers, and symbols) helps keep hackers out. Reusing the same password across sites can let attackers break into multiple accounts if one is compromised.
Tips for creating passphrases
- Aim for at least 12 characters (four or more random words works well)
- Include uppercase, lowercase, numbers, and symbols
- Use a password manager to store and autofill credentials securely (you only need one master password)
Good news, password managers can generate complex passphrases so you don’t have to memorize them all.
Set up two-factor authentication
Why two-factor authentication helps
Two-factor authentication (2FA) adds an extra step, such as a code sent to your phone, to verify it’s really you. A 2022 Microsoft study found that 2FA blocks 99.9% of automated account attacks.
How to enable two-factor authentication
- Visit your account security settings
- Choose SMS codes, authentication apps, or hardware keys
- Follow the prompts to link your device
Shop on secure websites
Spotting secure connections
Look for HTTPS at the start of a web address and a padlock icon in your browser bar. This indicates your data is encrypted as it travels.
Avoid fake domains
- Double-check URL spelling before clicking
- Watch for suspicious subdomains (shop.example.com is safer than example-shop.com)
- Hover over links to preview their destination (don’t click unknown links)
For more detail on these best practices see our guide to secure online shopping practices.
Prefer trusted payment methods
Why payment choice matters
Credit cards and reputable digital wallets often include fraud protection and easy chargebacks. Debit cards and direct bank transfers may lack these safeguards.
Recommended options
- Major credit cards with zero-liability policies
- Virtual or single-use card numbers issued by your bank
- Digital wallets like Apple Pay, Google Pay, or PayPal
Keep devices up to date
The role of software updates
Software patches fix security holes that scammers exploit. In fact, many breaches use known vulnerabilities with available updates.
Best practices for updates
- Enable automatic updates for your operating system and apps
- Use reputable antivirus or endpoint protection tools
- Restart devices regularly so updates can install fully
Beware of phishing scams
Recognizing phishing attempts
Scammers often send urgent messages asking you to click a link or share personal data.
Red flags to watch for
- Unsolicited emails or messages claiming issues with your order
- Generic greetings like “Dear customer” instead of your name
- Links that don’t match the sender’s official domain
- Requests for passwords or credit card numbers
For tips on steering clear of these tricks read about avoiding online shopping scams.
Monitor your accounts regularly
Why regular checks pay off
Catching fraudulent charges early can limit your losses. Industry data shows victims who report fraud within 24 hours lose about $100 less on average.
How to stay on top
- Set up real-time alerts for card and account activity
- Review statements at least once a week
- Freeze or cancel cards immediately if you spot suspicious charges
Quick recap and next steps
- Use strong unique passwords and a password manager
- Set up two-factor authentication on every account
- Shop only on sites with HTTPS and verified domains
- Prefer credit cards, virtual numbers, or trusted digital wallets
- Keep software and antivirus tools updated
- Watch out for phishing emails and suspicious links
- Check your bank and card statements regularly
If you’re new to safe browsing routines, see our article on how to shop online safely. For a broader list of smart online shopping tips, check our guide. You’ve got this and every layer of protection brings you closer to scam-free shopping.
