Excerpt from FC&A's Best-Kept Computer Secrets.

9 Must-Know Tips for Safe Online Shopping

The Internet is a shopper’s paradise. It’s like a giant mall that’s open 24 hours and features an unlimited selection of products. But, along with the convenience and choices comes risk.

Stick to big names. Sometimes, bigger is better. Large, established companies you know and trust, like Amazon, Target, or Wal-Mart, come with more safeguards and less risk than smaller, lesser known ones.

Spot security signs. Look for these two security indicators before giving your credit card number online. They mean the information you type will be encrypted, or coded, so no one will be able to view it except the receiving site.

✦ The prefix for the Web site in your address bar should switch from “http” to “https.”

✦ You should see a padlock symbol, either in your address bar or at the bottom right of your browser window.

Be careful, though. Sometimes scammers try to fake these wellknown safeguards. For example, scam Web sites can include “https” in their Web address. You might see “http://https.www.” Remember, a truly safe site begins with “https.”

Pay with a credit card. Debit cards can help keep you from spending money you don’t have. But there are times when you absolutely shouldn’t use one. Shopping online is one of them. When you use a credit card, you generally have zero liability for fraudulent purchases. And, because the money does not come right from your checking account — as it does with a debit card — it’s easier to dispute charges. Banks are quicker to settle disputes when it’s their money — not just yours — on the line.

Other safe options include third-party escrow services like PayPal or virtual credit cards, also known as single-use credit card numbers. These card numbers are usually limited to one transaction and often one merchant. See if your bank or credit card company issues these.

Track down the seller. While it’s safer to buy from big stores that you already know, that doesn’t mean you can’t give a smaller store a chance. Just make sure you can find a street address and a working telephone number posted on the Web site. Beware of sites with no contact information.

Do some research. If you’re unsure about an online retailer, check with the Better Business Bureau. Go to www.bbb.org to look for negative reports.

Keep a paper trail. Print a record of every transaction, including your receipt and any e-mails between you and the seller, in case of a dispute. E-mail with care. Never send personal financial information by e-mail.

Understand the terms of the transaction. Know the refund policy and the company’s privacy policy. Make sure you can return your item if you’re not satisfied and that the company will not be sharing your information with other parties.

Beware of suspicious questions. If a company asks for your date of birth or Social Security number during checkout, stay away. The company is probably up to no good — and could be planning identity theft.

© FCA Publishing