Watch out for January sales scams

If you’re hoping to bag a bargain in the January sales, then watch out for scams.  

What are January sales scams?  

•  Scammers set up fake websites to trick you into buying items that will never be sent. 

• They often pretend to sell products from well-known brands like House of Fraser and H&M. 

• Social media is frequently used to advertise these items at tempting discounts. 

• Clothing is the most common item targeted by these scams, followed by jewellery. 

Lloyds Bank reports that in January 2024, these types of scams were 140% higher than the monthly average for the rest of the year, making it clear that the post-Christmas sales is a prime time for scammers.  

The bank also noted a 40% rise in credit card transaction disputes during the same period.  

So, it’s important to stay alert when shopping at this time of year. 

Many missing out on getting their money back  

Fewer than 30% of people who fall victim to these scams contact their bank for a refund.  

By not reaching out, they could miss out on getting their money back. 

If you've been scammed, here's what you can do: 

• Contact the retailer first to ask for a refund. 

• If that doesn't work, get in touch with your bank. Many banks let you to report issues online through your mobile banking app. 

• If you used a credit or debit card, you might be able to request a chargeback. This is when your bank works to get your money back from the retailer's bank if you haven’t received the goods or services you paid for. 

• If a chargeback doesn’t work and you used a debit card, you could make a section 75 claim. This lets you claim against your bank if the retailer has breached the contract or misrepresented their goods or services.