Trae Bodge, smart shopping expert at TrueTrae.com, explains how to save on back-to-school shopping this year on “Mornings With Maria.”
As parents and students board back to school seasonExperts warn that criminals are seizing sneaky opportunities to steal from Americans through a variety of scams, many of which have ties to education.
The Federal Trade Commission has also stepped in to warn consumers to be aware of these scams and to take precautions related to education scams to protect their money and safety.
Fox News Digital reached out to security experts to identify common traps where scammers try to prey on vulnerable families.
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Here’s an in-depth look at four scams to watch out for and what to know about them.
1. Deep discount purchase scams
Back-to-school supplies and equipment are expensive, and families are always looking for discounts and money-saving strategies.
This pursuit of frugality is on the radar of scammers, and they have developed creative methods to trick you.
Experts say to watch out for scammers trying to steal money from you during back-to-school season. (iStock / iStock)
“Right now, when everyone is trying to save on back-to-school items, be sure to take a closer look before you buy,” warned Terri Miller, consumer education specialist at the federal Bureau of Consumer Education Trade Commission based in Washington, DC
Many scams related to online shopping are present on social media, he said.
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“Scammers impersonate real companies with ads on social media, or offer what appears to be a great deal on expensive name-brand items,” Miller noted.
Search for the seller beyond the platform where you saw the deal.
So if you see tech items, for example, with heavily discounted prices, chances are it’s not a legitimate offer.
“Unusually low prices are usually the sign of a scam,” Miller warned.
To ensure you don’t fall for a scam, Miller suggested researching the seller beyond the platform you saw the deal on.
Back-to-school season is here and many families are looking for the best deals on school supplies. However, be wary of offers that seem too good to be true. (iStock / iStock)
“If you really want the item, check it out through the company website using a page you know is official, not the link in the social media ad,” he said.
Plus, for an extra layer of protection, use your credit card to pay.
“This gives you more protection, like contesting the charges if what you get is not what you ordered, or if you don’t get anything,” Miller told Fox News Digital.
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Also, stay away from sellers who ask you to pay with gift cards, bank transfers, payment apps or cryptocurrency, Miller noted.
“Sending money in these ways is like sending cash,” he said. “It’s almost impossible to get it back if there’s a problem.”
2. Textbook scams
Textbooks can be expensive for students.
That’s why many try to save money by purchasing textbooks from secondary marketplaces such as online classified ads, unverified third-party sellers or social media marketplaces, said Shawn Hall, Pindrop’s vice president of product, research and engineering , a cybersecurity company. , which is based in Atlanta, Georgia.
Textbook scams are also popular among unverified third-party sellers and more. (iStock / iStock)
“Scammers take advantage of this by offering textbooks at significantly reduced prices, but once payment is made, the books never arrive or counterfeit copies are sent,” he said.
To better protect your interests, Hall suggested that students purchase textbooks from reputable sources such as official university bookstores, verified online retailers such as Amazon, or established textbook rental services.
He also said to check online reviews and ratings on the platforms to make sure they are legitimate marketplaces and sellers.
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Another way to outsmart potential scammers is to use secure payment methods.
“Avoid wire transfers or prepaid debit cards. Instead, use credit cards or payment services like PayPal that offer buyer protection,” Hall also said.
3. Financial scams
Families and students faced with high tuition fees often fall prey to financial scams that claim to produce quick and high returns.
“Scammers target students and parents with promises of high-yield investments that can help pay for tuition — and these schemes often involve pyramid schemes or fraudulent investment opportunities that result in financial losses,” Hall said.
Avoid financial scams during back-to-school season. “The schemes often involve pyramid schemes or fraudulent investment opportunities that result in financial losses,” one expert said. (iStock / iStock)
Families need to understand that if an investment seems too good to be true, they should trust their instincts.
“Be wary of any investment that promises guaranteed high returns with little risk,” Hall said.
Also, check credentials to ensure the person or company offering the investment is registered with financial regulators, he noted.
A better route to take is to consult a financial professional before making any significant financial commitments.
4. Scholarship scams
Along the lines of get-rich-quick investment schemes, scholarship scams can attract students and parents who desperately need funds to cover college tuition.
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Scammers not only promise fake scholarships, but also use them to trick unsuspecting people into sharing personal information.
“Scholarship scams are a method of obtaining personal information from people, which can lead to identity theft or obtaining bank account details,” warned Dan Cusick, an anti-fraud and claims executive at Wells Fargo in Charlotte, in North Carolina.
According to some experts, scholarship opportunities can also be “get rich quick” schemes. (iStock / iStock)
Additionally, he said some scholarship scams invite parents and students to pay a fee to get advice on scholarship opportunities.
This payment arrangement is generally a scam.
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Additionally, Cusick said scammers may promise grants or financial aid packages and may ask for banking or personal information to “confirm eligibility” and then begin charging the account.
“A good mantra to follow in this space, and with all financial decisions, is that if it sounds too good to be true, it probably is,” Cusick told Fox News Digital.
With back-to-school sales and items to check off your to-do list, experts are warning of potential scams. (iStock / iStock)
To avoid scholarship scams, Cusick warned families to be wary of the following: unsolicited and unexpected calls, text messages, social media posts, advertisements, emails or postal mail advertisements requesting payment of an application fee for academic financial assistance or scholarships. ‘
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Anyone who pressures you to act or send money immediately, or asks for your account, personal information, or access to your device to process a scholarship application should immediately raise red flags.
Look for offers for “guaranteed” scholarships that you haven’t even applied for and services that say you’ll only be eligible if you provide an upfront payment.
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Additionally, when pursuing legitimate scholarship opportunities, it is best to consult reputable sources such as school guidance counselors or financial aid personnel to ensure you are accessing approved student financial aid websites, such as Federal Student Aid, Scholarship America, or College Board, Cusack said.