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how to avoid holiday fraud

How to Avoid Summer Scams and Holiday Fraud

We all look forward to summer. Summer means days outdoors, BBQs, ice cream vans, and, most excitingly, holidays. It’s a time to relax with friends and family and explore new destinations.

Sadly, fraudsters take advantage of the increased demand for travel during summer, with everything from fake holiday rentals to ticket scams depleting tourists’ holiday funds. To stay safe this summer while you book your getaway, follow our top tips for avoiding scams. 

 

Why Does Fraud Increase During Summer Months?

Fraud increases during the summer months for a few reasons:

  • Higher demand for holidays
  • People are spending more than usual
  • An increase in days out
  • School holidays
  • People are looking for last-minute deals. 

 

With people spending more money on everything from eating out to a new holiday wardrobe, it’s the prime time for scammers to strike. 

 

Common Scams

Fake Holiday Deals

Fake holiday deals are one of the most common scams during the summer period. These scams tend to include fake holiday rentals or bargain package deals. If a price seems unusually low and you can’t find legitimate reviews of the company, it’s probably too good to be true.

 

Fake Flight Deals

Fraudsters might advertise super cheap flights on social media or through fake ads. If a fare looks considerably cheaper than usual and/or you don’t recognise the flight company, do your research before going ahead. Remember, even if you receive a booking confirmation, this too could be fake. 

 

Phishing Texts and Emails

Scammers will impersonate airlines or hotels and send messages saying there’s a problem with your booking. These messages and emails contain links that, when opened, often contain malicious software. 

Before opening links, always check the number or email address contacting you is official and contains the correct details for your booking. 

 

Social Media Scams

34% of holidaymakers have seen a rise in social media scams recently. Scammers will create fake social media profiles or pages and use them to advertise bogus flights or holiday rentals. These scams are often used to access personal information, such as credit card details. 

 

Ticket Scams

With summer meaning a rise in events, gigs, and festivals, scammers take advantage. In the last year alone, football ticket scams have increased by over a third. Fraudsters will advertise tickets that are fake, have already been sold, or never existed in the first place. 

 

The easiest way to avoid ticket scams is by buying directly from the event site or official resellers, not individual sellers on social media. 

 

How to Avoid Summer Scams

Book With a Credit Card

Wherever possible, book holidays, flights, and accommodation with a credit card – only if you’re sure you can repay it, of course. In the UK, credit card purchases of up to £30,000 are typically protected, making it easier to claim your money back in the event of a scam. 

Debit cards don’t offer the same level of protection, and bank transfers are particularly risky. A legitimate company wouldn’t typically ask for a bank transfer payment; if this happens, it’s likely an individual posing as a business.

 

Research Thoroughly

If you’ve never heard of the company offering you flights, accommodation, or sold-out concert tickets, don’t rely on a brief Google search for peace of mind.

Research any companies thoroughly, including as many reviews as possible. Sites like TrustPilot can help you identify the legitimacy and reliability of businesses. Check other details, such as how long the business has been operating, whether it’s authorised by any regulatory bodies, and whether there’s a clear digital footprint with proof of prior work. 

In the case of holiday rental listings, you can reverse image search photos to check they haven’t come from another source. You can even search terms such as ‘scam’ in the reviews to check for warning comments. 

 

Check Numbers and Email Addresses

Scammers typically impersonate companies using email addresses that look similar to, but slightly different from, the company’s URL. A fraudster trying to pose as Apple, for example, might subtly spell the company’s wrong, such as dropping a ‘p’. 

Search the email domain (the section after the @) to see if it appears as the legitimate company website. If in doubt, contact the company directly using the contact details on their site. 

 

Follow the ‘Too Good to be True’ Rule

If something looks too good to be true, it probably is. While deals and bargains are certainly possible, flights and accommodation that are significantly cheaper than the norm are immediate red flags. 

Be wary of luxury holidays for a fraction of the normal price, long-distance flights for less than £100, and deep discounts that have urgency attached, such as requiring instant payment. 

 

Only Use Official Websites

Always book through official sources. If you’re booking a hotel, for example, it’s best to book directly through the hotel’s site or a trusted, well-known third party, such as Booking.com. 

Type the web address directly into your browser rather than following links that are sent to you, and look for a secure connection with https:// at the start of the URL and the padlock symbol at the end.

 

Don’t Be Rushed or Pressured

One common technique scammers will use is to claim that a deal will be missed if it isn’t booked immediately. This is another red flag. If you feel pressured to go ahead with a purchase, don’t do it. Legitimate companies will give you time to consider a purchase before you go ahead; scammers want you to pay up immediately without giving you time to think.

 

Protect Your Belongings When Abroad

While many holiday scams are online, some fraudsters still do it the old-school way. Pickpocketing and distraction theft are common, especially in large European cities like Paris and Rome. 

Keep your valuables in a secured bag close to your body, don’t walk around with your phone in your hand, and take out only what you need for the day. Where possible, leave your passport in the hotel safe. 

 

Don’t Pay by Bank Transfer

Unless you’re transferring a friend (check it’s definitely them you’re speaking to first), a holiday booking is very rarely secured via bank transfer. Almost all legitimate companies – whether it be airlines, hotels, or package holiday providers – take secure credit card payments, which also protect your money against fraud. 

 

What Should You Do If You’ve Been Scammed?

Realising you’ve been scammed is extremely stressful, but there are a few ways to mitigate it, especially if you act quickly. 

  • The first thing to do is to contact your bank. Explain that you’ve been scammed and ask them to freeze the card, stop any pending payments, and investigate recent transactions that haven’t been made by you. If you paid by credit card, you might have additional protection and potentially be able to recover the money. 

 

  • Reporting the scam to Report Fraud is the next step, to help authorities track fraudsters and prevent others from making the same mistake. If the scam happened via a third-party app or booking site, report the scam directly to the site, so the team can look into it. 

 

  • If a scam involved a fake listing on Google, for example, consider leaving a review warning other consumers. You can also report the business to Google via their listing. 

 

  • Monitor your bank accounts carefully. After a scam, it’s important to keep an eye on all outgoings for anything suspicious. If you clicked a phishing link, for example, this could have allowed fraudsters to access your personal card details. 

 

The Bottom Line

Being scammed can be extremely stressful and leave you feeling powerless. Luckily, there are steps you can take to significantly reduce your chances of being taken for a ride by a fraudster, such as only booking through legitimate sites, checking reviews thoroughly, and paying by credit card. 

In the unfortunate scenario of being made victim to a scam, the best steps are to contact your card issuer, report the fraud, and leave warning reviews of the fraudulent business or individual.

 

We hope that you have found this article helpful and has provided you with the tools for spotting and avoiding potential holiday scams. Remember to check back soon for more tips and advice from Loans 2 Go.

This blog/article provides general information only and does not constitute financial advice.