Maryland Consumers Warned of Sophisticated Holiday Scams

As the holiday shopping season kicks into high gear, Maryland Attorney General Anthony G. Brown is urging consumers to exercise caution and vigilance against an evolving landscape of fraud. With the rise of sophisticated scams, including those leveraging artificial intelligence, and significant increases in reported consumer fraud losses nationwide, Marylanders are being advised to take proactive steps to protect themselves both online and when making charitable donations. The Attorney General’s office has provided a comprehensive list of tips to help shoppers avoid falling victim to deceptive practices during this critical period.

Consumer fraud saw a significant surge in the past year, with Americans reporting over $12.5 billion in losses, representing a 25% increase from the previous year, according to Federal Trade Commission data. The holiday season, characterized by the pressure to find gifts, the allure of enticing deals, and the volume of online transactions, presents an opportune time for scammers. Attorney General Brown emphasized the importance of verifying retailers and securing payment information, warning that deals that seem too good to be true often come with hidden costs.

A growing concern highlighted by the Attorney General’s office is the impact of artificial intelligence on scamming tactics. AI technologies, such as voice cloning, can be used to create convincing impersonations with minimal audio input, making traditional scams like fake websites, phishing emails, and fraudulent advertisements more dangerous than ever. These advanced methods can deceive consumers more readily, especially when they are rushing to make purchases. Common tactics employed by scammers during this period include the creation of fake websites designed to steal personal information, misleading advertisements on social media platforms, and various gift card scams.

To help Maryland consumers navigate the holiday shopping period safely, Attorney General Brown has outlined several key preventative measures. Consumers are advised to thoroughly research retailers by checking online reviews and verifying the availability of accessible customer service contact information. If a business lacks clear contact details, it may be prudent to shop elsewhere. When making online purchases, it is recommended to type the retailer’s web address directly into the browser rather than clicking on links from search results, which could lead to fake or look-alike websites. Furthermore, consumers should ensure that any website they use for transactions begins with “https” to confirm that their information will be transmitted securely.

The Attorney General also cautioned against clicking on advertisements, particularly those found on social media and in emails, as these can frequently lead to fraudulent websites designed to steal personal and financial information or to install malware on a user’s computer. Scams involving gift cards are also prevalent. Consumers are warned that gift cards purchased from individuals or auction sites may be stolen or counterfeit. It is best to purchase gift cards directly from the company’s website or a physical retail store. When buying in person, shoppers should ensure that the gift card packaging is intact and that the Personal Identification Number (PIN) has not been tampered with. Particular caution should be exercised with unsolicited offers of “free” gift cards, as these often serve as a method to collect personal information or credit card numbers.

In addition to shopping security, Attorney General Brown addressed the importance of charitable giving, especially with Giving Tuesday approaching. Scammers often exploit the generosity of donors during the holiday season. Before making a donation, individuals are urged to verify that the charity is registered with the Maryland Secretary of State’s Office. Consulting resources such as GuideStar and Charity Navigator can provide valuable insights into an organization’s financial standing and mission. Skepticism is also advised when encountering urgent appeals or high-pressure tactics from charities.

The Maryland Attorney General’s Consumer Protection Division (CPD) actively works throughout the year to safeguard Maryland residents from fraud and deceptive business practices. Recent actions by the CPD include securing a substantial settlement of $11.2 million in a landlord-tenant case, providing debt relief and financial assistance to hundreds of Marylanders. The division also compelled a Maryland home builder to pay over $1 million in penalties and restitution for operating a scheme that left families without homes or their savings. Additionally, the CPD recovered $314,000 from an athletic equipment seller who failed to deliver promised equipment after receiving payments from school teams and nonprofits, and achieved a settlement with a major retailer concerning deceptive membership practices and unauthorized billing. The CPD facilitates consumer complaint mediation, investigates fraudulent activities, and pursues legal action against businesses that violate Maryland’s Consumer Protection Act, having recovered millions of dollars for consumers in the past year. The division also disseminates consumer alerts and publications, which are available for download and sharing on the Attorney General’s website. Consumers who suspect they have been victims of fraud can contact the Consumer Protection Division hotline at (410) 528-8662 or the toll-free number (888) 743-0023. For ongoing updates on scams, fraud, and consumer news, the Office of Attorney General can be followed on Facebook, Instagram, or X, and consumers can subscribe to receive alerts.

Article by Mel Anara, based upon information from the Maryland Attorney General’s Office.

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