We’re officially into the silly season – or as some might call it, Black November, which has morphed from Black Friday into essentially a month-long shopping bonanza, thanks to Covid-19.
Everyone wants to cash in on the specials and consumers’ willingness to spend, which can also be an opportunity for fraud.
But while South Africans are only waking up to e-commerce in 2020, out of necessity, online retailers have moved to assure consumers that it’s safe and convenient – as long as you’re doing business with secure sites and do your homework.
Check it out
OneDayOnly.co.za spokesperson Matthew Leighton says e-commerce can seem intimidating to first-time shoppers, which is why it’s best to do some homework beforehand.
“If you haven’t heard of the site before, check them out first. If googling the site name doesn’t yield any results, try to contact the online company directly. Rule of thumb is not to proceed to ‘checkout’ unless you feel 100% comfortable. And to only ever type your card details into secure websites.”
Use strong passwords for all your online accounts and ensure the internet connection you are using is secure – never shop from an internet café or over public Wi-Fi.
Online security, though, is tight, Leighton says, because e-commerce vendors make use of third-party payment systems, which are operated by companies that specialise in keeping information highly secure.
“Skimming a card is much, much easier in real life, where you hand your card over to someone else. The beauty of online shopping is that you can’t do that,” says Leighton.
Cash is king? Not so much
E-commerce expert Warrick Kernes says online purchasing remains far safer than carrying cash: “When you’re spending with your credit card and something goes wrong, the bank will (usually) take your side. But when you’re buying with cash in a store, you don’t have that protection.”
Kernes, founder of the Insaka eCommerce Academy that trains entrepreneurs to start and grow online businesses, says one-time pins (OTPs) have changed the game, offering an added layer of protection for customers. So even if the website owner is a bit “dodgy” and they use data for fraudulent purposes, they would still need the OTP that would be sent to the customer’s cellphone.
There’s an app for that too? Mobile apps are typically the most secure, Leighton says, because they are housed on customer devices, as opposed to web apps, which “live on the internet and that can make them a bit more vulnerable by being more exposed. It’s also easier to use multifactor authentication in your mobile application to secure the application,” he explains.
“An app can have an embedded certificate, better than a browser for preventing man-in-the-middle attacks.”
Don’t bank on it
Banks advise that customers exercise caution because fraud has become so rife, which is why they are targets for fake deals.
Trish Ramdhani, head of FNB’s Card Fraud division, says restrictions in physical shopping activity since the start of the lockdown and consumers’ awareness about personal safety have driven online shopping in recent months. In line with the upsurge, fraudsters have also increased their attempts to defraud consumers through card-not-present (CNP) shopping activity or e-commerce shopping.
“Online shopping continues to rise across the world and with Covid-19, the upward trend is likely to continue. While we continue to encourage the use thereof, we advise consumers to familiarise themselves with the new ways that criminals are using to defraud unsuspecting people.
“More importantly, we urge consumers to always protect their personal information. For our customers, we remind them that FNB will never request their private information such as an OTP or their card PIN for any reason.”
Online shopping, Ramdhani says, is convenient from a customer perspective. “It also increases and gives a lot of variety for customers and is also extremely safe, especially during the current lockdown, and in light of the upcoming Black Friday campaigns that require customers to be vigilant at all times.”
Nedbank spokesperson Joanne Isaacs advises that if an online offer seems too good to be true, “it probably is”. “Rather restrict your online shopping to well-known, reputable sites where you know you won’t get tricked into fraudulent shopping deals.”
She says always use secure payment systems or consider using one card for online purchases only.
Also – read every “Approve-It” message carefully before you accept it, and don’t share your one-time password (OTP) with anyone.
“Make sure you have the latest, updated antivirus software on your device, and don’t ever do your online shopping or banking on a public or unsecured wi-fi network. They’re easy for fraudsters to hack into.”
Isaacs says a well-managed and carefully guarded debit or credit card can be a safer way to pay online than cash, thanks to their built-in protection measures, so if your card is compromised, you can stop it, and prevent fraudulent transactions.
And finally…
Another benefit to online shopping is your right to return goods within five days so even if you’ve changed your mind (which the Consumer Protection Act does not provide for). You don’t have to give any reason – just send it back. Not all stores will cover double shipping, so you might have to return the goods at your cost. And there’s an undisputed paper trail so you don’t need to worry about where you put your receipt.
Leighton says this is the beauty of online shopping: “Everything is saved and date-stamped, so if you bought it, and it’s still within your CPA warranty – we take it back, no problem. It’s future-proofed and easier.”
* Georgina Crouth is a consumer watchdog with serious bite. Write to her at [email protected], tweet her @georginacrouth and follow her on Facebook.
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