How to Avoid Becoming a Victim of a Christmas Scam in 2007

This is the time of year where you want everything to go right. Family gets together, parents get time off work to spend with their families, and all you want is a good holiday to enjoy each other's company and join together in the holiday spirit. The problem is Christmas time is not only the most active season for shopping-it's also the most active season for scamming. Scammers love this time of year, and you'll want to be careful to make sure you don't become a victim. Nothing ruins the holidays like being the victim of a scam and possibly being out hundreds, if not thousands, of dollars.

The good news is there are some basic strategies you can employ in order to avoid these scams. For one, if you get called by a charity that you haven't heard of, either don't donate, or ask politely for a website or other reference. If the person calling gets belligerent, don't donate anything. Hang up. Never give sensitive information.

Another major scam to watch out for is the fly-by-night stores that claim to have a hot item, and then disappear. It can be hard to find these stores, but here's what to look for: if you do a Google search, does their name never appear...or even worse, appear on a scam website? Is their store only stocked with hot items real retail stores are running out of? When they ask for information, does it not redirect to a secure page? This could all be signs. It's best to stay with reputable dealers who you know are on the level. Many of these scam stores take your money, shut down, and are never heard from again-or even worse, keep your credit card info to rob you blind.

Phishing is another e-mail scam. If you get an e-mail congratulating you on an auction or prize you won that you didn't even bet on (these e-mails will often even say "if you did not bid on this item, please click on this link for dispute"), don't pay them, and don't even click on that e-mail! Often times just clicking there gives phishers and hackers the ability to get your personal information and steal your identity.