Scam Stores Online

22nd June 2023

The Scam.
According to recent analysis by Lloyds Bank, someone in the UK experiences a shopping scam online every seven minutes, costing consumers more than £27m a year.

In one recent case, scammers used the name and registered address of a dormant company (Machines UK Ltd) to sell industrial machinery via a website and Facebook page.

They asked for payments via bank transfer, but failed to send any goods to customers.

The address listed on the website is in Aberdeen, but Aberdeen Council have confirmed that no business is registered there.

There have also been reports of scam car dealership websites which have defrauded customers out of thousands of pounds.

One website listed an address in Fife, which belonged to a genuine repair garage which had no connection to the website and didn't even sell cars.

Hundreds of people purchased second-hand cars from the website and turned up at the garage in Fife, only to discover that the cars did not exist.

How to Avoid

Be wary when buying products from unknown websites or sellers, particularly if they are advertised at a price that is significantly cheaper than on official websites.

Pay by credit card or a secure online payment system for stronger protection. Be suspicious if a seller will only accept payment via bank transfer.

Check independent reviews of the seller/store on official websites rather than relying on reviews hosted on the website itself.

Make sure you have contact information for the seller in case something goes wrong. The website should list a valid return address and contact details - be suspicious if a UK website has a returns address overseas and check that the address is listed with Companies House.

Check the site's return policy and terms and conditions.

Look out for spelling or grammatical mistakes and poor-quality images - these could mean that a website is a scam.

Your consumer rights are generally the same whether you're shopping on the high street or online. When shopping online, you also have the right to a 14-day cooling off period for most purchases.

Get Safe Online have a Check a Website page - an easy-to-use online tool which helps you to determine whether a website is likely to be legitimate or a scam before you visit it.

Many Local Authorities have dedicated web pages where they list scams that have been recently reported in the local area, including scam websites that use local addresses. Find a list of these pages at www.tsscot.co.uk/local-scam-updates

Find out More

Advice from the National Cyber Security Centre: www.ncsc.gov.uk/guidance/shopping-online-securely
Advice from Which?: www.which.co.uk/consumer-rights/advice/how-to-spot-a-fake-fraudulent-or-scam-website
Advice on your consumer rights from Advice Direct Scotland: www.consumeradvice.scot/knowledge-centre

Source - Trading Standards Scotland Bulletin June 2023