For winter 2025–26, the UK government reversed its earlier decision to restrict the Winter Fuel Payment (WFP). Around 9 million pensioners in England and Wales with annual incomes of £35,000 or less will receive the usual £200–£300, fast-tracked automatically. Higher earners will still get it initially, but may need to repay via HMRC in their tax return.

Chancellor Rachel Reeves emphasised:

“No lower‑income pensioner will miss out”

Meanwhile, Treasury experts warn that restoring these payments will cost around £1.25 billion, likely to be offset later by tax rises or cuts elsewhere in the upcoming autumn Budget.

Why now is prime time for scammers

When any large benefit changes—especially one previously scrapped and now reinstated—it creates confusion and concern. Criminals exploit this unrest every winter. Here’s a breakdown of current scams targeting WFP recipients:

Scam Snapshot: Fake texts and sites

Trend Micro warns of mass phishing campaigns where spoof SMS messages claim you haven’t “applied” yet for your WFP.
These often link to polished fake websites asking for your “bank details to process payment.” Once entered, your money is quickly drained.

A typical scam text reads:

“D.W.P. Notice… you still haven’t handed in your subsidy application for 2024–2025… submit by 30 March 2025”

Warning signs—know them & spread the word

1. Urgency: Scammers pressure you with tight deadlines (“only 24 hours left!”).
2. Bank details by email: Genuine WFP is automatic—you don’t need to share banking info via email or SMS.
3. Suspicious URLs: Look out for non-apex domains (e.g., winterpaymentdu.top instead of gov.uk)
4. Poor language or grammar: Government messages tend to be well-written.
5. Unexpected messages: If you didn’t receive an official letter in September/October, you’re probably not missing anything.

Real-world scam examples

• “Winter Heating Subsidy Reminder” SMS:
  “Since you are eligible to apply, please update your information in the link…” — directs victims to a convincing fake site asking for card data
• DWP impersonation phishing:
  “Final notice from the Department of Work and Pensions… ensure you receive £300 subsidy by April 1” — one of several repeated scam patterns using fabricated authority

Expert warnings

Baroness Jenny Altmann (former Pensions Minister) described these as “utterly abhorrent,” and warned:

“Some pensioners will be so desperate… they might be less careful.”

Labour MP David Smith added:

“Please do not follow links in messages sent by unknown or odd numbers… the Government does not announce major payments through text messages.”

How to stay safe—your WFP survival toolkit

Do’s	Don’ts
Expect a GOV.UK letter around Oct/Nov	Don’t click SMS/email links
Only share bank info if you initiated contact	Never reply to messages saying you “must apply”
Look for “.gov.uk” domain	Avoid urgent, fear-driven language
Cross-check with GOV.UK or call DWP	Don’t call back unknown numbers in spoofed messages

If something feels off: report it—text to 7726 (UK phishing), call Action Fraud or visit citizensadvice.org.uk. Also, check in with vulnerable loved ones regularly.

Final thoughts

The reinstated Winter Fuel Payment is welcome news during a cost-of-living squeeze. But it’s also a scammers’ golden opportunity. With confusion around means testing and repayment thresholds still fresh, it’s the perfect storm for fraudsters. Awareness, vigilance—and passing this guidance on—can be the difference between a warm winter and a costly mistake.

The post UK Winter Fuel Payment Changes for 2025—and Why Scammers Are Lining Up appeared first on MoneyMagpie.

Recent news articles reveal horror stories like the pensioner conned out of £4,000 – thinking she was helping the police. Fraudsters are now so convincing and easy to believe, it’s hard to spot if you’re dealing with a legitimate company or if you’re a scam victim.

Here are the most sophisticated scams to surface in 2025 – and how to make sure you’re not conned.

The Social Media ‘Ghost Store’ Scam

The Whisky Investment Scam

• The courier scam
• The Accidental Transfer scam
• The Amazon Prime scam
• Keep yourself safe from scams
• If you’ve been the victim of a scam

The Social Media ‘Ghost Store’ Scam

There is a huge rise in ‘ghost stores’ on social media. They often steal product images and videos from legitimate companies and run adverts to drive traffic to their own site instead. They’ll accept payment for your order – and then a few days later, the website or Shopify store no longer exists.

In fact, of 71,000 cases of online shopping fraud in the UK in 2023, almost 68% were linked to social media. The problem has only continued to grow.

Henson Tsai, CEO of SleekFlow, says: “Ghost stores game the system. They plug into the same tech real brands use—ads, shipping tools, payment systems—and that’s what makes them so convincing. The platforms are built to look seamless, not to verify what’s real.”

How to Avoid the Ghost Store Scam

First, don’t click on an advert on social media. If you like the look of a product, Google the name separately. You can also Google ‘product name + review’ or ‘product name + scam’ to check out other online reviews and possible red flags people have posted about whether it is a scam.

Second, check the contact details on the website. If they only offer an online contact form, or their social media presence is Instagram-only with comments turned off, steer well clear. You can also check if a company is registered in the UK with Companies House.

Always check confirmation emails and tracking information. If a Gmail or other non-business email address is used for the contact information, immediately cancel the order (if you can) and contact your payment provider to prevent payment or begin a refund request. Keep an eye on your payment option for further unsolicited payments or transactions you don’t recognise, too.

The Whisky Investment Scam

This one hit the news at the end of March: people scammed into investing their life savings into whisky barrels, then the company disappearing. Investors were either told to invest in barrels that didn’t actually exist, were sold multiple times to different investors, or charged five times the actual worth of the whisky.

Now, whisky investment IS legitimate. However, like any investing opportunity, scammers will be trying to take advantage of people. The first sign that this is a scam is being pressured into investing most or all of your available savings. You should never invest everything into one asset or opportunity: diversifying your portfolio is the best way to secure against scams as well as the ups and downs of various investment markets.

Second, these scammers will promise abnormally huge returns, like 30%. Nobody can promise returns on investments, as their value is always at risk of going down as well as up. A suspiciously high return is also unlikely; you might end up getting lucky on an investment that does big numbers on returns, but even a 5% return is a solid investment over a period of time.

How to avoid the whisky scam

Ask your whisky investment company to provide details of cask storage. Contact the storage company directly to ask if they store casks for that company, as this seems to be one of the best ways to determine if your cask is not only real but legitimate.

The known scammer in this particular case is already serving prison time for fraud. He went by the name of Craig Arch at Cask Whisky Ltd, but his real name is Craig Brooks (and he was already disqualified from being a company director). He and his brother ran Cask Whisky Ltd but also appear to have run another scam under Cask Spirits Global Ltd under the name Craig Hutchins.

Another company, Whisky Scotland, appears to have been a similar scam, but the directors cannot be traced and the company is dissolved.

If you have already invested in Cask Whisky Ltd or Cask Spirits Global Ltd, contact the City of London Serious and Organised Crime team.

The Courier Scam

This is a convincing scam that’s easy to fall for.

Fraudsters will call pretending to be from your bank. They’ll advise you of a suspicious transaction on your account.

The sophisticated bit comes next: we all know that we shouldn’t give out our details to cold callers on the phone. So, they’ll tell you to hang up and call 999 to report to the police.

However, the fraudsters use technology to keep their end of the phone line open. So, when you call 999, you think you’re talking to a police operator. In fact, you’re still talking to the fraudsters.

They’ll advise you that they believe someone at the local bank is scamming people. They want you to help solve the investigation: you’ll be asked to take out a large sum of money from your bank account.

When you return home, someone posing as a police officer or detective will come to visit your address and collect the money “as part of the investigation”. In fact, they’re just stealing it from you!

How to avoid the courier scam

There are a few simple ways you can stop scammers like this in their tracks.

1. If someone calls and tells you to hang up and call the police, don’t. Instead, hang up, and use an alternative phone line to call the police and report the call you’ve received.
2. Never give out your address or personal details to unknown callers on the phone.
3. Your bank will never ask you to confirm account details if they’ve called you.
4. The police would not request your assistance over the phone like this. If you’re called by someone claiming to be from the police, ask for their police number and their office location. Hang up, and use a different phone to call that office and request that police member by their official number.

The key thing to remember is that the police would never ask you to take money out of your bank account. Similarly, any other organisation that requests you to withdraw cash and have it collected is also operating fraudulently.

The Accidental Transfer Scam

This is a relatively new banking scam that’s catching a lot of people out. You will receive a transfer of money into your account – and then a message asking you to refund it to the sender. They’ll tell you it’s an accident and they meant to send the cash to someone else, but they got a digit wrong on the bank details!

Do not send any money!

This is because once you have sent the ‘refund’, they will also claim to their own bank the payment sent in error and get it refunded by the bank’s legitimate system. Or, they will cancel a payment if it is still showing as pending on both sides. This means they get their original money back AND the money you sent them.

If someone does make a legitimate error like this (which is very rare because of Payee Confirmation security steps), they can raise the issue with their bank, who will sort it with your bank. You don’t need to get involved.

And think about it this way: someone getting something wrong on a bank transfer wouldn’t mean they also have your contact details… unless they were using stolen information about you. So, a genuine error would mean the individual couldn’t actively contact you! Only someone using your stolen identity details would have that information.

The Amazon Prime Scam

Amazon Prime scams have been floating around for a while, but a new and more sophisticated one has recently surfaced.

People receive phone calls supposedly from Amazon to tell them their Prime subscription has renewed. Some people have reported this as a ‘robotic’ voice, while others have had human callers.

The call instructs the recipient to ‘Press 1’ if they didn’t request their account to be renewed, so that they can receive a refund of the charge. They then ask for sensitive account information to ‘process the refund’ when, in reality, they’re stealing this information for future fraudulent activity.

Instead of being asked for account information to process a refund, some people have reported that they were asked to log into their Amazon account (or provide details for the scammers to do so).

Once the fraudsters have your information, they can use your bank details and/or Amazon account to spend your money!

How to avoid the Amazon Prime scam

Much like the courier scam, the main thing to remember is that Amazon won’t ever call you to confirm your account details.

If you’ve received a suspicious phone call from ‘Amazon’:

1. Don’t give out any personal information to the caller.
2. Hang up straight away.
3. Report the phone call to Action Fraud.

You might also receive emails asking you to share your personal details or to click on a link to your account. If you’re not expecting communication from Amazon, treat any email from them as suspicious.

You can forward any suspicious email to spoofing@amazon.com and make sure you don’t click anything inside the email – links, buttons, or images! If the email is, in fact, legitimate, Amazon will be sure to let you know.

Keep Yourself Safe from Scams

These are just two examples of how easy it is for fraudsters to trick even the savviest people into sharing their personal information. Once your financial information is shared, it’s easy for scammers to use it to steal lots of money from you.

In general, to keep yourself safe from scams:

1. Install an antivirus and firewall on your computer and smartphone. This will let you know if you’re about to visit a malicious website and also helps prevent hackers from getting into your device to steal information.
2. Never give your personal details to a cold caller. If they’re pushy or you’re in any doubt, hang up.
3. If you’re not sure whether a call is legitimate, ask for a number to call back on and then hang up. If you can, Google the number to find if it’s real. Always use another phone to call this number back – not the phone they called you on.
4. Shred your paperwork before you throw it away.
5. Never give out your passwords to anyone.
6. Use different passwords and PINs for each card, online account, or banking app.
7. Report suspicious activity immediately to your bank and Action Fraud.
8. Don’t click links on emails you don’t recognise or aren’t expecting to receive.
9. Google the company name or the phone number to find out if other people have reported it as spam or if it’s a legitimate company.
10. Never let cold callers enter your home or pressure you into buying something. If you’re interested in what they’re offering, contact other companies to get comparison quotes before acting on your decision. Someone who insists the deal only exists while they’re stood, uninvited, at your door is not to be trusted.

If you’ve been the victim of a scam

If it’s too late and you think you’ve been conned out of your money, take action. Many people feel ashamed they’ve fallen victim to a scam – but it happens all the time and is easily done.

First, file a report with Action Fraud. Next, if you know money has been stolen from you, make a police report.

You should also contact your banks and credit card providers to make sure they’re aware. Check your credit record each month, too – this’ll show any identity theft activity (someone opening credit accounts in your name, for example). If this happens, report it immediately and send a notice of corrections to the credit agency to make sure providers can see you’ve been a victim of identity theft.

The post How to avoid the latest sophisticated scams in 2025 appeared first on MoneyMagpie.

Although having everything in the palm of our hands can be useful, quick and easy, scammers can take advantage of our virtual worlds. They find new ways to trick us and take our personal information and money.

Hackers and scammers can carry out cyber-attacks by targeting people and businesses using email and website scams and malware. Malware is software that can allow hackers into your device. This means hackers can access private information and bank accounts.

One of the easiest ways to protect yourself is to use a VPN which helps keep your online privacy.

But what other ways can you protect yourself?

• Step 1: Use a strong and separate password for your email
• Step 2: Create passwords using three random words
• Step 3: Save your passwords in your browser
• Step 4: Use two-factor authentication
• Step 5: Update your devices
• Step 6: Back up data

Step 1: Use a strong and separate password for your email

If hackers can access your emails, they can use it to gain access to other accounts and websites. They are also able to find out personal information which have may been emailed to you. For example, being emailed a utility bill or tenancy agreement means hackers have access to your address and phone numbers, making it easier for them to steal your identity for their own gain.

Step 2: Create strong passwords using three random words

Cyber Aware suggest creating a password made of three separate words. This makes your password stronger, but still easy for you to remember. It is also recommended you do the same for important accounts, such as online banking apps, to ensure they are secure.

Make sure the words you used and totally random, so they are far less likely to be guessed. Using your first, middle and surname, for example, is something that can be guessed easily. Similarly, using the names of your three pet cats would not be an appropriate choice.

Use a password that involves quite a number of characters, capital letters, numbers and, ideally, odd characters like ?, !, @ or & to fox the scammers.

Step 3: Save your passwords in your browser

Not only does saving your passwords allow you to log into websites even if you’ve forgotten your password but is much safer than using weak or duplicate passwords. Saving passwords to browsers such as Google Chrome or Microsoft Edge can protect you against certain types of cybercrime too. These types of crimes include fake websites that may ask you to give personal information.

Make sure you protect these passwords in case your device is lost or stolen. There are a few ways you can do this. Turn off or lock your device when it is not in use. Use a password to protect your device at login, as this is extremely beneficial, and adds an extra layer of protection. Similarly, if your device supports fingerprint or facial recognition, this is an even better way to protect your device and your passwords.

Step 4: Use two-factor authentication

Two-factor authentication is an easy way to add an extra layer of security to any accounts you may have which contain your personal information. This is particularly useful for online banking, social media and your email account.

This works by asking you to prove your identity. Many websites ask you to provide a phone number, and they will text you a code for you to type in when you try and gain access to an account from a new device or location. This ensures it is you trying to access your account, and not someone else.

Step 5: Update your devices

Software and apps which are out of date can become weak and easier to hack. If your devices are in need of an update, consider taking the time to update everything you can, in order to protect yourself.

Some devices automatically update new software, and some apps will update themselves. This is beneficial as you don’t have to remember each time. Some devices, on the other hand, require manual updates.

Step 6: Back up your data

Last but not least, it is important to always back up photos, documents and other important files. You can also back up your data onto another device, such a portable hard drive or USB stick. Unplug the device when it’s not in use. Additionally, the use of cloud storage is popular nowadays. Cloud storage in online storage.

As with updates, you can opt to automatically back up your device periodically, to ensure you always have a recent copy of your data.

We encourage you to follow these crucial steps and ensure you stay safe online. Keeping your personal and financial data safe is essential in today’s online world.

You can read all about Cyber Aware and read all the latest tips and tricks to ensure your online safety on the National Cyber Security Centre website. Plus, learn all about other ways to stay safe online, such as how to avoid phishing scams and shopping online securely.

Trust us, you’ll thank yourself for protecting your information in every way you can!

The post Online safety: the six Cyber Aware steps you need to be aware of! appeared first on MoneyMagpie.

So take a deep breath, step back and think about your holiday of a lifetime. We have everything you need when it comes to smart spending for your holiday. With a bit of thought you won’t make false economies on holiday, particularly if you take up the tips below…

• • Saving on flights
  • Saving on hotels
  • Saving on insurance
  • Saving on currency

Saving on Flights

This is an area where you can make great savings if you time it right and do a bit of research. However, you can also get caught out with annoying extras and end up kicking yourself for being so cheap! In fact, a survey by Sainsbury’s Bank Travel Insurance found that 15% of people regretted buying cheap plane seats but then paying more for allocated seating. Men were more likely to regret this (17%) compared to women (14%) and 18-34 year olds more likely to regret this (23%) compared to 35-54 year olds (14%) or those aged 55+ (10%)

They also found that 11% of people regretted not buying enough baggage allowance for a flight and then paying for additional allowance at the airport. Men were more likely to regret this (13%) compared to women (8%) and 18-34 year olds more likely to regret this (20%) compared to 35-54 year olds (9%) or those aged 55+ (4%)

So here are tips for not paying extra:

1. Weigh and measure your luggage if you’re taking a low-cost airline. It’s boring but they do mean it when they give weight and size restrictions.
2. If you need a lot of luggage, pay the extra before or go with a non-budget airline. Quite often the ‘cheap’ airline with extra luggage and nice seating can end up being more expensive than the normal airline – particularly if you have to travel miles to get to their out-of-town airport too.
3. Get clever with your packing. There are lots of ways you can condense your packing. Think about the clothes you can mix and match. Also buying a few temporary bits of toiletries at your destination this can be the cheapest and lightest way to travel.
4. Take light luggage. You’d be amazed at how much wasted weight there is in many suitcases, especially those with wheels or expansion sides or fancy handles. Ultra-lightweight luggage like Gomatic Method, Samsonite, and Antler might be costly but will last a lifetime – and save you on excess luggage weight every time.

Book Direct With the Airline

We are all, rightly, excited by the flight comparison sites. There seem to be so many ways to get cheaper flights through them. Now that Google has got in on the act we have a huge choice of ways to compare.

However, these comparison sites don’t always give you the best deal.

You could be better off going direct to an airline’s own website. Feel free to use the comparison site to compare prices, but once you find a journey you like the look of, try checking out the airline’s own site to buy it. If your journey is complex you may be better doing it over the phone or in person in a travel agency.

Travel expert Simon Calder says: “I am constantly being contacted by people who have made false economies by going for what’s cheapest online. The number of complaints and requests for advice coming in to me would be halved if people didn’t book the cheapest flight they find on fare-comparison websites, only to discover they’re dealing with a firm in Sweden or Switzerland or Bangalore that really doesn’t have customer service at its heart.”

Save on Travel from the Airport

Don’t rely on finding a taxi when you arrive at the airport! While it seems like the easiest thing to do, it will almost guarantee a rip-off fare – and that’s if you can even get a taxi.

If you’re planning on a full-on sightseeing holiday, it could be more efficient to rent a car than get taxis everywhere. If your driving licence allows it, book a rental car (and if you’re going somewhere hot, make sure it has air con!). This will give you plenty of freedom while you’re away and means you know the set price of all travelling while you’re away.

If you don’t want to rent a car, book a taxi service in advance. Look online for good deals. Alternatively, you could look into train and bus routes from the airport. Booking in advance will slash your costs and guarantee you a seat, too. Remember that transport could be unreliable, so leave plenty of time when you’re returning to the airport at the end of your holiday! You could also ask your hotel if they have a recommended transfer service – some will even bundle in the price into your accommodation booking for an extra discount.

Saving on Hotels

You would think that using one of the many hotel comparison sites would get you the best deal around.

Not always so.

You may get a cheap deal but what regular travellers know is that when hotels see you’ve come through one of those sites, they can sometimes give you the worst rooms. You could find yourself overlooking the bins or with a room right next to the main reception. So your ‘deal’ isn’t nearly as good as you thought.

Having said that, it’s worth seeing what is available on these sites and then contacting hotels direct to see if you can get the same or a better price. If you book directly on the hotel’s website, or on the phone, you are likely to get a better room for your money.

Quite often you are also better off avoiding hotels altogether and using one of the peer-to-peer sites like Airbnb instead. However, be careful here. Airbnb can be good, particularly if you book well ahead, but in very busy and popular places like London and New York you can find yourself in a poky and noisy room with traffic, people, and even nightclubs right outside. Read the reviews very carefully before booking.

Saving on Insurance

Travelling abroad without insurance has to be the daftest of false economies, particularly if you’re in America. Smart spending on a holiday abroad certainly includes travel insurance.

Sadly, though, many of us still do it. Travel insurers do pay out, too. In 2023, there was an astonishing £511m in claims just from British travellers – with £291m of that being for medical expenses. The average non-medical claim was £518 (rising to £1830 for travellers aged 70-75), with medical expense claim averages of £1724, but this was as high as £25,000 for medical repatriation.

So, you can see how sensible it is to have some sort of travel insurance when you travel abroad.

Even if you are over 65 or you have pre-existing medical conditions you can still get reasonably-priced insurance.  If you travel abroad more than once a year you would be better off getting a well-priced annual multi-trip policy. Check whether your bank account or home insurance offers travel cover, too.

Saving on Currency

Smart spending is imperative for your holiday when it comes to currencies. There are a few mantras to remember when it comes to travel money:

• Consider a mix of cash and card. It can be helpful to have a bit of cash when you’re abroad. Some places don’t take cards so, if only for safety, it’s a good idea to have some cash with you.
• If you take money out of an ATM abroad, go for the ‘local currency’ option as it tends to be better value.
• Don’t exchange at the airport. The currency converters at airports always have expensive rates. You could book it beforehand online and then pick it up at the airport, but don’t leave it until the last minute and change your pounds into foreign money just before you get on the plane. You will lose out.
• Consider a prepaid card. These can be a good way of spending abroad as you lock in the exchange rate before you go and if you lose the card you can stop it immediately.
• Use a comparison site a few days before you leave so that you can have the money delivered if you need it.

Sainsbury’s Bank has a handy Online Rate Calculator to work out how much foreign currency you’ll get for your holiday spending money.  You can check rates and place your order in just a few, simple steps.

You can also use a multicurrency card, like Revolut. This is also a good way to protect your finances if your card is lost or stolen, because you can transfer cash to the card without leaving access wide open to your bank account.

Disclaimer: MoneyMagpie is not a licensed financial advisor and therefore information found here including opinions, commentary, suggestions or strategies are for informational, entertainment or educational purposes only. This should not be considered as financial advice. Anyone thinking of investing should conduct their own due diligence

The post Smart spending: how not to make false economies on holiday appeared first on MoneyMagpie.

Nothing spoils that chilled-out mood more than when you’re ripped off, so we’ve put together 12 holiday rip-offs scams to look out for on your travels.

• The taxi trap: surprisingly overpriced trips
• Rental cars: cheap offers could result in expensive bills
• Tip trap: pay more for less service
• Credit card trap: dodgy devices that spy on your data
• Valuables can get stolen from your hotel room
• Internet: protect your data
• Change: big banknotes are sometimes worth less
• Cover charge: paying too much for a snack
• Watch out for pickpockets
• Tea-house rip-off: don’t get fleeced for a so-called tea ceremony
• Hotel Scam
• Fraudulent booking sites

1. The Taxi Trap

Taxis can be a cheap way of getting about when you’re on holiday. However you need to be careful that you don’t get taken for a ride in more ways than one: unnecessary detours, excessive prices and shady additional charges are the most common ways to raise the price for a taxi ride.

To avoid such rip-offs, settle the destination and a fixed price before departure. You should also ask the driver to show his licence and a taximeter. Prepare yourself for a journey by finding out the normal taxi prices of the region you’re travelling to. Use Google Maps to set the journey on your phone and follow along – if the driver appears to be going the long way around, speak up to ask why they aren’t taking the most direct route. There is sometimes a legitimate reason, such as roadworks, but it is always best to check.

If possible, pre-book a taxi using an app like Uber. This will set the price for you ahead of time and help you see the route that is planned.

2. Rental Car Rip-Offs

A rental car’s a decent alternative to taxi fares if you’ll be doing lots of moving around. It helps you stay in control of your trip and means you can take detours to explore less touristy places.

When renting a car, watch out for so-called ‘full-empty offers’. Here, you’re offered to rent a fully-fuelled car and return it with an empty tank.

Of course, what normally happens is that you don’t use the full amount of fuel and return their car with an half-empty tank, leaving you out of pocket and the rental company laughing all the way to the bank. Always choose to return the car with a full tank – that way you’re only paying for the fuel you use.

You should also thoroughly check the car before driving away. Ask for a document noting any damage (dents, scratches, broken locks etc) if it isn’t offered. Take photos or a video of the car when you pick it up, before you drive it away.

Ask about breakdown cover and insurance, too. Sometimes the excess is ridiculous, or simple things aren’t covered. For example, in Iceland, car doors often aren’t covered because strong winds will commonly blow them so hard when they’re opened it can damage them. The same goes for windscreen cover.

Finally, check the deposit terms. Some places might seem like a cheap hire but insist on a £1500-or-more ‘holding deposit’ on your credit card. This is to cover the insurance excess if something happens. However, the amount will be deducted from your credit card before you leave. You then need to request the refund when the car is returned. It can take several weeks to get the refund processed.

3. Tip Trap

Know how much your bill ought to come to and make sure you check it before you pay. The ‘free’ bread basket often isn’t, and many places in Europe make you pay for tap water too. If a charge isn’t advertised on the menu, dispute it on the bill. Hidden service charges are the most common. Check how many drinks you ordered and were added to the bill – this is a common scam to add one or two extra glasses of wine or beer, as alcohol has the highest profit markup.

It’s also advisable to research the ‘tip rules’ of the country you plan to travel to so you know how much you’re expected to leave as a gratuity.

4. Credit Card Spies

If you don’t want to get into trouble by paying with cash in foreign currency then you can easily pay by debit card. Watch out, though. Rigged card readers may spy on your data and fraudsters could go shopping at your expense. And NEVER leave your credit card unattended! If the buttons on a card machine seem to be stiff to push, you struggle to get your card in or out, or it looks like there is something stuck over the card reader, go somewhere else or use cash.

When you’re standing at an ATM, make sure nobody is standing close behind you to see your PIN.

Most credit card companies offer a service notifying you of any transactions by text message. Ask for a receipt after every payment, check it and keep it.

Keep your card PIN and your phone unlock PIN different from each other. It is a known scam to watch tourists as they unlock their phone and then trail them until they can steal your wallet and use the PIN at the cash machine.

5. Hotel Room Thieves

Never leave valuables in your hotel room lying around; always use a safe for storage. We recommend you take a photo of the things you put in the safe.

If you don’t have a safe in your room, ask the receptionist for a hotel safe and get a receipt of the valuables you put in there. Keep copies of important documents like your passport and save these to a cloud server like Google Drive or iCloud, so that if you’re robbed you can still access them in an emergency.

When you’re in your room, use a handle lock to secure yourself. If you can’t find one, place your suitcase against the door. This will alert you if someone is trying to enter your room while you’re inside.

At check-in, don’t say your room number out loud enough for anyone standing nearby to hear it. This helps reduce the risk of someone clocking your designer luggage or diamond rings and knowing which room to find them in.

6. Internet Scams

It used to be that we’d go on holiday and leave our computers (and sometimes even phones) at home. These days, we’re all busy uploading our snaps to Insta and checking emails on our days off. But connecting to public internet can put you at risk.

Always check you’re on a secure connection and if you’re unsure, install an app like NordVPN to use a VPN service. You can also protect your passwords with two-factor authentication to make sure someone can’t steal your data.

If you suspect your data has been leaked, change your passwords IMMEDIATELY.

Many hotels now have Netflix and other services on smart TVs for you to log into. Always, ALWAYS log out if you’ve logged in at any point during your stay, as it’s an easy way for someone to get your personal data.

7. Check Your Change

Familiarise yourself with the local currency, including the coin value. Always check your change while you’re at the counter as it’s too late once you’ve left the shop.

Bureaux de change, though offering attractive exchange rates, also charge horrible fees. Don’t go into exchange offices as they offer attractive exchange rates but make their money with extremely high extra charges. Take your time to find a reliable exchange office. Also, be wary of requests for change from locals – as a tourist you’ll stand out a mile and be vulnerable to potential con tricks.

Most places now accept spending on debit or credit cards. Look for a travel-specific prepaid card to protect your data and money, while getting a good exchange rate. We like Revolut, which is an online account with fee-free currency conversion. You can transfer money in like a normal bank account, but this lets you limit how much can be accessed. It is also easy to freeze the card if you lose it or it’s stolen.

8. Cover Charge Catch-Out

After an extensive sightseeing tour you may be hungry and thirsty. However, some restaurants have sneaky ways to make a bit extra from you, so look out for well-hidden ‘information’ about cover charges on the menu.

Before ordering, check the menu and look for service surcharges. If you’re not happy, walk out.

A recent scam is to add an automatic tip to simple things like buying a bottle of water from a shop! Always check your receipt and refuse a tip if you don’t want to pay it.

9. Watch Out for Pickpockets!

Pickpockets are rife and so easy to miss. Keep your bag zipped closed at all times, and never walk around with your phone in your hand or back pocket. You can keep things close to your chest (literally) with an under-shirt belt that holds your passport, cards, and phone if you’re in a particularly risky area. Phone lanyards are also popular these days, which allow you to clip your phone to your belt loop to keep it safe in your pocket, or wrap it around your hand so it prevents someone snatching it from your hand while you’re using it.

Public transport and busy shopping streets are the most common places to lose something to a pickpocket. Be aware of anyone standing too close to you. They often operate in groups, so be wary of a group entering a train carriage and standing around you – they’ll appear to be talking but one will be trying to get into your bag. Keep eyes out for cyclists and scooters that are in pedestrian areas, too.

Here’s a pickpocket scam to be aware of: in tourist areas you might by approached by strangers asking you to buy souvenirs. After the transaction they then hug you, apparently to express their gratitude. But it’s really a cover to grab your purse or wallet. In any case, try to avoid such approaches, keep your distance and never leave valuables unattended!

Make sure you write down the information of your banks, bank account numbers (not passwords!), and have copies of your passport all uploaded to a cloud server. This will make it easier to contact your banks in an emergency to freeze your cards, and arrange for an emergency passport if that gets stolen.

10. Tea-House Tacky: Ceremony Charlatans

If you’re visiting China you might want to watch out for this hoax exploiting the country’s tea heritage. Fraudsters approach you and offer to take you on a city tour, which ends at an allegedly historical tea house. Often these ‘tea houses’ are just decorated back rooms! After tasting some tea, you’re asked to pay hefty bills, often more than 100 euros for only a few cups. Our advice: don’t go anywhere with strangers!

The same happens in other countries where you might stand out as a tourist. Tuk-tuk rides might take you via their ‘uncle’s shop’ and force you to buy some overpriced tat before they’ll finish your journey, for example. Always try to travel through reputable tours and services.

11. Hotel Credit Card Scam

When you arrive at a hotel and check in you are usually required to leave your credit card for charges to your room.

The scam starts when you get a call from someone who appears to be a receptionist at the front desk. They’ll call you in your room and make up a plausible story that will go something like: “Our database has crashed and we need you to help us to reconfirm your credit card details.”

In quite a few cases the con artists have called up the hotel guests in the early hours of the morning to catch them off their guard and a bit confused – it’s more likely guests will hand over their details instead of going down to the front desk to sort any issues out.

People who have been victim to this type of hotel scam have said that it is very believable as the con artist sounds so professional. They’re very apologetic and polite, acting sorry for the inconveniences caused.

Most of the scam artists have managed to call up hotel guests because they’ve been able to break into the hotel’s phone system and contact guests directly. Never give your financial details over the phone – it might be an inconvenience, but tell them you’ll go to the front desk to sort it out. They will usually hang up or try to persuade you to stay on the line – but go downstairs and talk to reception about it. They will need to know that someone is doing this on their phone systems, too.

12. Fraudulent Holiday Booking Sites

Even before you’ve gone on holiday you can fall prey to a holiday scam – the actual booking site.

A report by the City of London Police’s National Fraud Intelligence Bureau (NFIB) estimated that British holidaymakers were scammed out of £7m by fraudsters in 2015, with £2.2m of this being lost to fake online sites and reviews.

What they do is set up copy-cat websites offering all-inclusive services including flights, hotels, transfers and travel insurance.

These fraudulent sites look normal and they’re pretty easy to set up. As they use a credible domain name it’s even easier for them to sucker us in.

There’s also the issue of trusted established websites like TripAdvisor which can also be plagued by bogus reviews recommending fake holiday companies or websites.

How can you protect yourself?

1. Shop around – if one particular website, that isn’t one of the big travel companies, is offering a deal much lower than the rest then think twice. If it looks too good to be true, it probably is!
2. Unless you have 100% verified who you are dealing with, do not pay for your holiday by bank transfer, Western Union or cash.  Use your credit or debit card that at least offers a level of consumer protection.
3. Only use websites that have a verified identity. If you are asked to hand over personal details or credit card numbers don’t do it unless you are in a website protected by SSL (look for a green browser bar or the padlock to left of the web address). Quickly check the details of the domain name of the website at who.is – when was it registered? If it was only set up in the last year be suspicious. Also if their details are hidden be very suspicious!

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The post Top 12 Holiday Scams and rip-offs appeared first on MoneyMagpie.

Black Friday is a phenomenon that hit our shores back in 2010 and has grown bigger every year. In fact, 30% of all annual retail sales happen between Black Friday and Christmas: it occurs on the last Friday of November.

This year, with so many of us worrying about our finances, retailers are pushing Black Friday ‘deals’ very hard, both in store and online. But how do you know if you’re going to get a real bargain, rather than wasting your cash?

Jasmine says, “It’s so easy to be taken in by clever marketing tactics. They make us think that we’ve nabbed ourselves a bargain and stop us checking to see if it really is the cheapest – I know I’ve done it! The problem with Black Friday is that there’s a weight of advertising and hype around the whole event that makes us think that anything we get in a Black Friday sale is definitely going to be a bargain. It isn’t. In fact, some studies (like ones from Which?) have found that in most cases you’re likely to be able to buy that item cheaper somewhere else than in a Black Friday sale!”

Although we love a good bargain, we also want to make sure you’re getting the best deal possible. So, before you head out shopping, read our 4 reasons to beware of Black Friday below.

1.Beware of Brands You Don’t Know

The best offers aren’t always provided by the big brands. Small retailers often jump in on the act too and provide some really good deals. If you do, however, get tempted by an offer on a site you don’t recognise, you should check their authenticity before you buy.
Impartial reviews are available to read on sites such as Reevoo where you can run a background company check online, which includes their credit score. If you are buying online, always pay with credit card or Paypal to make sure that your transaction is protected.
Also remember that Black Friday products do not guarantee extended return policies either, so if you’re buying for Christmas, do check in advance. This is especially important right now when many shops might offer a full Black Friday closing down sale – so you won’t be able to return the goods when the shop is closed permanently.
One thing to keep in mind, though, is that major card providers such as MasterCard and Visa will reimburse you the cost difference if an advertised Black Friday price is lower than the price you recently paid for the same item.
You need to send your receipt, the ad and a claim form within 60 days of the ad’s publication.

2. Beware of Losing Money

If you’re a small (or big) business taking part in the Black Friday frenzy, you could actually end up losing money.
In the last few years, customers have gone into serious spending mode online with bargain buying, and as a result, many businesses failed to cope as their websites struggled to handle the demand of traffic.
An example of this is Argos which saw its website go down for two hours in the 2014 Black Friday sales because it simply wasn’t prepared for the high quantities of traffic. Research by Six Degrees Group estimate that this website fault could have cost them around £5m.
Research by Deichmann in 2020 revealed that most people haven’t a clue when it comes to bagging a bargain, either. Of almost 6,000 adults surveyed, only 9% worked out that a ‘buy one get one free’ offer isn’t as good value as a “buy one, get a discount on second item” offer. Make sure you’re up-to-scratch on your maths before you make any big purchases!
So it’s important if you’re a small business to prepare properly in order to avoid losing out on revenue on this day. Take a look at this useful guide on how to prepare your website for the Black Friday frenzy…or just decide to ignore the day and do your own flash sale in December to pull in the crowds!

3.Beware of Scams and Fraudsters

Black Friday is a great day for fraudsters and scammers to take advantage of shoppers, so make sure you’re extra cautious when looking for deals.
Just because someone uses the words ‘cheap’ or ‘discount’ doesn’t mean that it’s always a good deal. Usually, where the prices seem too good to be true, it means the goods may also be fake or faulty. If a deal seems too good to be true, it probably is!
This also means you MUST make sure you know the returns policy on what you are buying, especially electrical and other expensive items. Reputable sites and retailers will have no problem being upfront about the ins and outs of their policies so check before you buy.
Faced with the right pressures, we’re all vulnerable. Fraudsters put people into what psychologists call a ‘hot state’. This is when we think less clearly if we are eager to spend during the frenzy of deals and sales. We tend to lose the ability to do due diligence and the hope of getting a bargain can be a compelling lure.
As we shop online more than ever, it’s easy to fall victim to a scam.
Make sure to beware of scam emails, too. Fraudsters will send emails under the guise of being a popular high street retailer offering amazing discounts. Clicking on the links may leave you vulnerable to fraud. Always check the email address from which a message is sent, to make sure it is legit.

4.Beware of Impulse Buying

Do you actually NEED the thing that’s on an amazing Black Friday deal? Or do you just WANT it?
Black Friday can offer significant savings on really good products, so make a list of what you know you need or want to buy as gifts, and scope out the costs and where the goods are available beforehand.

It’s easy to get lost in the excitement of the sales on Black Friday, so carefully consider if you are making a sensible purchase that you’re going to get use from. This is important even if you don’t go into the shops but just go online. It’s still too easy to be sucked into buying something you don’t need or want. Research your items in advance too – so you can spot a fake discount!

A previous survey by TopCashBack has found that nearly half of UK consumers are waiting for Black Friday sales to buy big ticket items they’ve been wanting for a while and more than a quarter have been holding-off since August. On average, consumers are planning to spend around £421 in the sales but hope to save £228, i.e. they’re hoping to get a 35% discount on their purchases.

Of course, they might get some good discounts if they have researched the items beforehand and know how much they should be. But it’s all too easy to be made to think you’re getting a bargain when you’re not.

Jasmine reminds us all that her “biggest piece of advice when it comes to Black Friday is to ignore it…unless there is something specific that you know you need (and I mean ’need’) which you have already researched and you know how much it is normally. If you then look around at the ‘offers’ on this item and find a genuine price drop in the sale then go for it, but otherwise I would just ignore the Black Friday so-called deals.
The vast majority of them are not good offers and, worse than that, the hype and hypnotism around this supposed sale time could potentially mesmerise you into spending money on things that you don’t need or even want using money that you can’t actually afford to spend. This happens to loads of people every year at this time and I suggest that you protect yourself by simply keeping away from the websites and shops around this time. Really, if you don’t go in (physically or online) you won’t be tempted. That’s the way I operate and I recommend it to everyone else!”

Much of the same applies to Prime Day – read more about that here. 

The post How to Safely Navigate This Black Friday appeared first on MoneyMagpie.

Things have improved over the last few years (see the section below about a landmark case in 2011 that helped this) but you still have to be careful with potentially unfair gym contracts. Gyms are businesses and, particularly in January and the run-up to the summer, they have lots of people trying to get in, so there is still the possibility of sharp practices going on.

• Cancelling a gym membership
• Is your gym fit to join?
• How to cancel unfair gym contracts
• Is your contract unfair?
• Ashbourne Management Services
• Be careful with any contracts

Cancelling a gym membership

It used to be a major problem for consumer organisations, but cancelling gym memberships has become a more transparent and somewhat less-fraught operation than it used to be.

There’s good advice on the Citizens’ Advice Service website about how to cancel your membership, and also on the Which website, so check those out.

Also, if you have taken out a gym membership and realise a couple of months’ in that there’s a problem with the gym, or the contract, or your situation, read on!

Is your gym fit to join?

Photo by: www.localfitness.com.au

Thanks to new(ish) guidelines from the Office of Fair Trading, gyms and fitness centres now have to have fairer terms in their contracts so that people are not trapped for years paying for overpriced and under-performing gym memberships.

With many gyms, you can now even cancel if you have moved away and cannot visit their premises regularly. You can also cancel if you get ill and are not able to do the movements you used to be able to.

The Office of Fair Trading has some guidelines here to show you if the gym you’re thinking of visiting is ‘fit to join’ – i.e. what to look out for in their membership contract. Take a look at it here.

How to cancel unfair gym contracts

Sadly, as with other contracts, if you decide you don’t want to go back to your gym after a few months, you are likely to have to pay a fee, usually equal to the amount you would have paid for the remaining months.

So, if it costs you £100 a month and you cancel after four months, they will probably expect about £800 from you. Contracts vary of course so check yours. But be prepared.

In some cases, gyms allow you to transfer your membership (for a fee) to someone else. Again, it depends on the contract, but if you want to offload it to a friend, or you find someone on Facebook or Gumtree perhaps who wants your membership for cheaper, then speak to your gym about it.

However, if your gym contract is worded unfairly then you can cancel it without penalty.

Is your contract unfair?

There are various things that could make your gym contract unfair – and therefore void. For example the contract could include one of the following:

• It will allow the contract to be automatically renewed without your say-so
• There is a minimum contract term that’s longer than a year
• The gym facilities are allowed to change in a major way while you are there
• It allows the gym fees to change significantly mid-contract

Any of these factors could mean you’re the victim of unfair gym contracts and it will nullify your membership. If that’s the case then you can cancel your membership without having to pay a fee.

Ashbourne Management Services

Back in 2011 the Office of Fair Trading took one gym company to court over their unfair gym contracts and won.

A company called Ashbourne Management Services Ltd drew up membership agreements and collected payments from about 300,000 customers of small gyms in the UK. These contracts tied people into membership of clubs for between one and three years. They also demanded immediate payment of the full sum – often hundreds of pounds – for the whole minimum period if people left after a few months.

They were really heavy-handed in their dealings with people who needed to leave because they left the area or just didn’t want to go anymore. If people refused to pay for the minimum term, Ashbourne threatened to damage their credit rating by referring the debt. The firm had registered nearly 17,000 defaults with credit reference agencies by July 2009.

The Office of Fair Trading (OFT) brought an action against the company after they had loads of complaints about their unfair gym contracts. Happily, the judge agreed with them. He said that the ‘minimum period’ was a trap the consumers could easily fall into. He said it was also unfair of them to demand payment even when the member had a genuine dispute about the quality of the gym.

He ordered that Ashbourne stop using or relying on its current standard unfair gym contracts and refrain from using unfair terms in the future, insisting that they should make the contracts no longer than 12 months long. Ashbourne has been told they may not report or threaten to report consumers to credit reference agencies if their terms continue to be unfair.

The judge decided that the contracts couldn’t be treated as credit agreements – if they were classed in this way then Ashbourne would need a license.

Be careful with any contracts

So, as always, be very careful about the contracts you sign, particularly unfair gym contracts. Avoid any leisure centres that insist on anything more than a six-month contract unless you are a total gym-bunny and you know you will go at least three times a week. These contracts are often nasty and they will continue to be nasty until more court cases like these stamp on them!

In fact, if you check out our article on how to cut the price of your gym membership, you will see that there are loads of cheaper alternatives, including PayAsYouGym, which gives you the option of one day and one month bundles enabling you to use gyms all over the country, not just a single one you have to keep going back to.

The post Don’t become trapped by unfair gym contracts appeared first on MoneyMagpie.

Your online safety is something you need to be aware of – big time!

• Over 50% of Britons have experienced online crime
• over half of those affected said they felt violated and were emotionally distressed by the experience.

Cybercrime is something we all need to be conscious of and vigilant against.

It comes in a variety of forms including

• online fraud,
• ID theft,
• hacking,
• intentional distribution of viruses
• online abuse,

and is something we should be taking every bit as seriously as crime in the real world.

Here are our top ten ways to protect yourself from Online fraud

• Use a password. Whether it’s your phone, laptop or social media account, it’s vital that you have it password protected. Never use the same password more than once (yes, we know it’s a pains!) and don’t choose obvious passwords such as the name of your pet or your mother’s maiden name. Cyber Streetwise have released government guidance on creating a strong password.
• Keep your accounts private. Make sure only your friends can see your social media accounts. This will stop anyone from just nabbing personal information about you from your profiles (plus it’s something you should be doing anyway. Do you really want your prospective employer seeing all your drunken photos?… Didn’t think so!)
• Password protect your home WiFi. Without a password anyone can use your network which means they may well be looking at everything you’re doing.
• Be very careful using open WiFi. Easier said than done this one, particularly when you’re desperate for internet, but you shouldn’t be using hotspots that you don’t know is secured. Some nasty fraudsters even create hotspots that sound legit so make sure you know the exact name of the network.
• Make sure there’s a padlock. If you’re shopping or banking online, look out for the padlock symbol – this lets you know it is secure. Also make sure the web address begins with ‘https://’, the ‘s’ (standing for ‘secure’) being the most important part.
• Use anti-virus software. Make sure you have anti-virus software on all your devices that are connected to the internet. These do a great job keeping you safe!
• Bid smartly. If you’re using an auction site then don’t transfer money directly to a bank account or hand over personal details. Make sure the auction site itself is legit and follow its guidelines to the letter – they’re helping you avoid these fraudsters!
• Log out and log off. When you’ve finished using an account then log out and when you’ve finished using the computer log off. Not doing so is the equivalent of leaving your house door open (and even if you’re not affected by cybercrime, a cheeky family member may take advantage of the situation!)
• Be cautious about what you put online. Don’t put information that could endanger you or the lives of others. Once it’s online you can’t take it back.
• Be careful with your messages. Don’t open or forward on suspicious emails and NEVER open attachments unless you’re certain they’re safe. Fraudsters throw countless numbers of these emails out there and are looking for poor souls to take the bait.

If you think you’ve been a victim of cybercrime you should report it to Action Fraud, the UK’s national fraud reporting centre, by calling 0300 123 20 40 or by visiting www.actionfraud.police.uk.

If you’re a victim of online abuse or harassment (a growing trend today, sadly) then contact your local police force.

For general advice on how to stay safe online visit Get Safe Online.

The post 10 ways to protect yourself from online fraud appeared first on MoneyMagpie.

Trick One: Introductory Discounts

Trick Two: Subscription Models 

Trick Three: Free Gifts

Trick Four: More Items, More Discount

Trick Five: Scarcity Illusion

Save With Delivery Passes

Look for Comparison Websites

Get Group Discounts

Search for Discount Codes

Use a Cashback Site

Online Retailer Trick: Introductory Discounts

How many times have you visited a website for the first time, to get pestered by a pop-up advocating a 10% discount on your first purchase? And how many times have you signed up to the newsletter to get your discount?

Not only are you likely to find bigger discount codes for the same site online, the discount also won’t apply to things like sale items or multibuy offers. So, you’ll add things to your cart and not necessarily realise they aren’t being discounted when you check out.

Signing up to newsletters can be a good way to spot upcoming deals but only from retailers that you know you like and will shop regularly from for your essentials or as somewhere you like to buy gifts from. Otherwise, you’ll be on the receiving end of lots of emails promoting things you don’t actually want or need – but their limited time discounts for newsletter subscribers can look so tempting…

Only sign up to receive a newsletter once you have used an online retailer more than once and have been happy with their service. Otherwise, it’s easy to get sucked in to deals for things you weren’t planning to buy in the first place!

Trick Two: Membership Subscription Models

This is a particularly big one for womenswear, for some reason. Fabletics is a great example – their introductory offer is two pairs of leggings for £24, instead of around £70 each. Sounds like a bargain, right? Except, you’re also signing on to pay for a monthly ‘membership’ that gives you access to unique prices. Memberships for websites like this can easily be £40 a month – and they might say that includes a ‘free’ item of clothing each month or ‘huge discounts’ on their usual prices. However, unless you’re in constant need of athletic gear or want to buy a bra every month (Shapermint, we’re looking at you), it’s not worth the price.

Play the game by signing up and getting your two pairs for £24 (or whatever the subscription introductory offer is for the online retailer you’re looking at) and then CANCEL YOUR MEMBERSHIP as soon as your order arrives. Always check the fine print too – make sure you’re not getting yourself into an annual membership contract before you place an order.

Trick Three: Free Gifts and Free Delivery

This is as common a trick in real life as it is for online retailers. You’re encouraged to spend over a certain amount in one shop to qualify for a ‘free’ gift. Usually, this does not work out as value for money!

The only times these offers work is when you were planning to spend that amount anyway, and the ‘gift’ is something you would use anyway (or can use for a present for someone else). A good example of where this can work is with Boots around Christmas time. They will run the ‘Buy Two, Get One Free’ model on many of their gift ranges. If you’re buying Christmas presents anyway, this can be a way to save money.

But if you don’t actually want that makeup set ‘Worth £70’ or similar, think twice about spending more money just to receive it. These free gift values are also usually based on the full size version of cosmetics (as an example) rather than the sample size, which is only evident in the fine print.

Free delivery tricks

Free delivery is also a culprit in this online retailer trick. How many times have you decided to add one more item to your shopping basket just to qualify for free delivery – but the item cost more than the delivery fee? This is, for some reason, an easy mental trick to play on ourselves, because we see delivery as a service and the extra item as a physical thing. So, it feels like it’s value for money when we receive an extra item than we’d planned to buy, even if it cost us more.

There are two easy ways around this: first, don’t bump up your order price just to qualify for free delivery (unless it is with items you want and use regularly). Second, Google ‘Retailer + free delivery code’ to find a free delivery discount voucher to apply to your basket to save money.

Trick Four: More Items, More Discount

The mentality behind this online retailer trick is similar to that of ‘buy one, get one free’: the discount is only worth it if you want and use the items enough to warrant buying more of them.

This is a particular trick (or some might say, scam) for online retailers selling via social media platforms like Instagram. It’s very easy to click on the social post, go to the shop – an untried, untested, never heard of before retailer – and see a deal that says something like: “£15 for one, £25 for two, £30 for three”. But do you really need three knee massagers? Probably not. And, not only is this a buying trick, it can lead you to spending more money with scammers that won’t send you the item or process a refund.

The way to beat this trick is twofold: only visit legitimate online websites, rather than those through social media posts. Check online reviews of the stores too – independent review sites, not the ‘five star review’ testimonials anyone can make up and put on their own website. Secondly, only get multi-item discounts if you know you want and need the item. It would be prudent to order just one item the first time to try it out, and then if you like it you can re-order in multiples.

Trick Five: Scarcity Illusion

BUY IT NOW! 24 HOURS ONLY! How many times have you seen this on an online retailer website? Often accompanied by a ticking clock counting down to when the exclusive offer ends. If you log back on in two days’ time, chances are you’ll see the same offer still going.

The scarcity illusion is used by retailers all over the world, both in real stores and online. It drives the part of our brain that is also responsible for FOMO (Fear Of Missing Out) – we can’t miss the chance to get the thing at a great price. In reality, things are usually not ‘last chance’ or ‘last ones left’, as this is a selling tactic.

The exception is with seasonal sales from reputable retailers, where you would expect to see your clothing size run out or a popular gift item on a 24-hour special before a holiday like Christmas. These are still selling tactics, but more likely to be a way to genuinely save on an item.

How to beat it

Once again, the trick here is to recognise if you actually need (not want) the item in question. Would you pay full price for it? If not, why not? (Another trick you’ll see is a ridiculously inflated price before the ‘mega discount’ – if you wouldn’t pay the inflated price, it’s because you know the item isn’t worth it, and so the discount isn’t a saving anyway).

Retail expert Stephanie Hood from TheCMO.com says: “Beat the brands at their own game. If you have the patience, try adding items to your shopping cart and then leaving the website. Within hours, it’s likely you’ll receive an email nudging you back with a small discount. Retailers know that once you’ve shown interest in a product, you’re more likely to buy if you feel you’re getting a deal. This strategy effectively turns browsers into buyers by exploiting a common weakness—the fear of missing out.”

Save With Delivery Passes

The first way to beat online retailers at their sneaky games is to join them: many will offer an annual pass that is a one-off payment and covers all delivery (next day is usually included) for a single fee between £10-£20. If you have a particular favourite clothing retailer, for example, and you’re likely to order more than twice a year from them, a delivery pass can save you money. The same goes for supermarket deliveries – if you’re always getting your groceries delivered, a pass can save a lot across the course of a year.

Use Comparison Websites

We’ve all heard of a certain meerkat related comparison site, but did you know there are online tools to help you find the cheapst price for the item you’re looking for?

CamelCamelCamel is a reputable site that can track the price of any item on Amazon. Set alerts for price drops and also track the price history to see if you are actually getting a good deal or if it’s been falsely inflated prior to the ‘discount’ period.

PriceRunner, PriceSpy UK and Idealo are all price comparison sites for thousands of items, so you can find the online retailer offering the best discount on the product you’re after. This is a great way to save with your online shopping, even though it takes just a few minutes longer, as the website does the legwork for you.

Get Group Discounts

Did you know that you can buy online with strangers to save money? It’s true – and it’s legitimate! Just as we have co-ops in real life for things like buying heating oil in bulk to reduce the overall price, and splitting the cost with your neighbours, you can do similar online. We have a whole article about it here.

Search for Discount Codes

Before you buy anything online, add everything you want to your basket and then open a new tab. Search ‘Retailer discount code’ and check out the offerings available. Click on the code to copy it and paste in the ‘promotional code or voucher’ box at checkout. You might have to try a few different ones to find one that works, but it can save you a lot of time.

Try an internet browser extension that will find codes for you to save the legwork, such as Honey which is operated by PayPal.

If you’re a regular customer at a retailer, you can also create an account, fill your basket, and then abandon it. Many online retailers will send you an email in a few hours’ time asking if you found everything you wanted, and include a discount code to entice you back. This is a less common approach than it used to be, as retailers have cottoned on to the fact customers do this, but it’s worth a try if you can’t find any valid online discount codes.

Use a Cashback Site

We love cashback sites like TopCashBack and Quidco, because it’s a way to get a little something back each time you spend online. The great thing is that they will often have exclusive discount codes for you to use which means you’ll still qualify for cashback AND get an immediate discount on your purchase.

Remember that if you shop via a cashback site and use a discount code that’s not approved by them, you might not qualify for cashback. So, it’s worth weighing up the cashback amount versus the discount percentage if you’re using an off-site discount code. For example, if you found a 5% discount code but could get 10% cashback, it makes more sense to not use the code and claim the cashback. But if you found a 10% discount code and only get 5% cashback, it’s worth using both (and risking not getting the cashback).

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The post Five Sneaky Online Retailer Tricks to Avoid appeared first on MoneyMagpie.

A new cyber threat has been discovered which has targeted politicians and diplomats and spans 60 mobile networks.

The threat was discovered by Blue Coat, an internet security company, who described it as ‘”one of the most sophisticated malware attacks” that they had ever seen.

Quite insidiously, the malware is sophisticated not because it can get on your phone, which is quite easy, but rather because it is able to remain hidden without you knowing it is there.

In this instance the threat was extremely advanced and attacking high profile targets by sending app updates and multimedia messages, but it does raise an important point for all smartphone users.

TK Keanini, Lancope CTO, said: “People need to realise we are computing and communicating much more on our Smartphones than we are on our PCs these days. It is for this reason that adversaries will spend time and resources developing technology for these platforms.”

We’ve already written about potential threats to your Smartphone in the past, but it’s important that we stay vigilant against further dangers.

Here are some general things to be aware of to keep your phone safe:

• Set a password – without a password anyone can pick up your phone and use it.
• Encrypt sensitive data – there is software available which will allow you to password protect information.
• Switch your wireless off when you’re not in a secure area – As with a laptop, connecting to unknown wireless networks can leave you vulnerable to attacks.
• Be cautious when downloading apps – Don’t download an app unless you know what it is, and always read the terms and conditions so you know exactly what the app is able to access.
• Get security software – Just like with your PC, you can now get security software for your Smartphone. Thankfully this isn’t as expensive as PC security software and you can even get free apps to help keep your Smartphone safe.

Share with your friends to let them know the risk and let us know in the comments below if you’ve been the victim of any nasty hackers.

The post Is your Smartphone vulnerable to attack? appeared first on MoneyMagpie.