Festive scams to watch out for this weekend
Learn how to protect yourself from fraudsters.
The festive season is a time of joy and celebration. It’s also a prime hunting ground for scammers. Suspected digital fraud attempts were reported to be 127% higher in the US between Thanksgiving and Cyber Monday in recent years. It averaged 82% globally. While data for December is hard to come by, fraud is on the rise in general and some scams are more prevalent than others.
As the final weekend before Christmas approaches – the busiest time for shopping this month – so does your risk of falling victim.
To help, we’ve created a guide that explains how criminals exploit the season and, more importantly, how you can protect yourself. Here are four festive scams to watch out for this weekend.
But first – why are you more vulnerable at Christmas?
The US will spend nearly $1 trillion this Christmas Brits will spend around $46.4 billion. In both nations, the average household is expected to spend more than a week’s wages on top of their usual outgoings. That’s about $1,000 in the US (though Deloitte estimates suggest budgets could be nearly twice as much) and £923 in the UK. In other words, Christmas costs a lot.
That means many of us are strapped for cash and looking for bargains. Often, we’re still working so we try to squeeze in shopping where we can. But the closer we get to Christmas, the harder it is to find the things we want. And there’s an online delivery cut-off point in the days beforehand.
Scammers know this. And they exploit it. They lure you in with too-good-to-be-true opportunities. An investment scheme that promises instant wealth, a job offer that requires minimal effort for maximum returns. The more cash-strapped you feel, the more likely you are to fall for a “solution” that sounds too good to pass up. You’ll see “limited-time offers” and “urgent” messages that cloud your judgment. They want you to act fast and think later.
Online shopping surges this time of year, and scammers respond with fake websites, ads, and offers that are almost believable. In the rush to save money or grab that last-minute gift, you might hand over personal information or pay for something that never arrives. By the time you realize it’s a scam, it’s already too late.
And if you’re experiencing financial difficulties, they might convince you to become a money mule. This can have devastating consequences, as you could unknowingly help criminals launder their proceeds—a serious legal risk you don’t want to face.
Common festive scams to watch out for
Fortunately, knowing what to look for can help you to protect yourself.
1. Investment Scams
What is it?
Fraudsters promise quick and lucrative returns on fake investment opportunities. If someone reaches out with a can’t-miss offer, especially one involving cryptocurrency or immediate action, be wary.
What should you keep in mind?
Investment scams are everywhere. You’re most likely to find them online, usually advertised by fake online profiles on social media. Unfortunately, there are no get-rich-quick schemes.
Bitcoin may be soaring at the moment, but keep in mind that crypto fraud rose 45% last year according to FBI statistics. Not every opportunity is real. If it feels too good to be true, trust your instincts.
2. Romance scams
What is it?
Scammers use dating apps and social media to build trust and emotional connections, only to ask for money under false pretenses. They’ll play the long game, convincing you they’re genuine before dropping the request.
What should you keep in mind?
The golden rule here: never send money to someone you haven’t met in person. It doesn’t matter how long you’ve been talking or how believable their story is—it’s not worth the risk.
3. Elderly Exploitation Scams
What is it?
Scammers target older adults with fake emergency calls claiming a relative is in trouble or tech support schemes demanding immediate payments. These scams play on fear and a desire to help loved ones.
What should you keep in mind?
With AI deepfakes, it’s getting much harder to tell if someone is real or not. Scammers will create urgency and a need to hand over personal information on the phone. There is even technology to make it look like the call is coming from a recognized number. Do not give out personal information over the phone. Try to set up a password or safeword with loved ones to verify their identity if they do call in a crisis.
4. Money Mule Recruitment
What is it?
Offers to “earn money fast” by receiving and transferring funds are often covers for money laundering operations. You might think you’re helping someone or making quick cash, but you’re participating in illegal activity—even if unknowingly.
What should you keep in mind?
If you find yourself in this situation, ask yourself: why am I being asked to do this? Why would this person need me to hold onto their money? And why is that worth me getting paid?
By getting involved you may become complicit. And you could fall deeper into the criminal network. It’s not worth the risk.
Top tips to protect yourself from festive scams
- Verify Before You Trust : Do your homework on unsolicited offers, websites, and deals. Check reviews, URLs, and contact information before making payments.
- Beware of Urgency : If someone is pushing you to act quickly, pause. Take a moment to think before making a decision or transferring money.
- Stay Skeptical of Over-the-Top Offers : Too-good-to-be-true deals and job offers are usually scams. Avoid sharing your personal or financial details with anyone promising easy money.
- Protect Elderly Loved Ones : Talk to older family members about common scams and encourage them to verify unusual requests with someone they trust. Set up a safeword.
- Don’t Be a Mule: Never agree to transfer funds on someone else’s behalf. If someone approaches you with this kind of request, report it immediately.
The holiday season should be about giving, not losing. Stay vigilant, educate yourself and your loved ones, and report suspicious activity to protect what matters most. By staying one step ahead of scammers, you can make sure your festive season is filled with joy—not regret.
For more insights on fraud typologies, warning signs and ways to protect yourself visit:
UK: https://www.nafn.gov.uk/report/resources/
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Written by
Silvija Krupena
Director of Financial Intelligence Unit, RedCompass Labs
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