Traveling for the Holidays? Here's How to Avoid Financial Fraud

Table of Contents

1. Protecting Yourself as a Holiday Traveler
2. Monitoring and Managing Your Accounts Remotely
3. What to Do if You Suspect Fraud

The holidays are meant to be a joyful time when you can focus on making precious memories with family members and friends. With many people heading home to celebrate with their loved ones, it's always one of the busiest travel times of the year. It should be about cherishing the season together – which is why it's important to protect yourself and your finances along the way.

Unfortunately, scammers often try to trick travelers who they can catch off guard. With so much going on, it's easy to become distracted. That's why it's so important to stay alert as you're making your travel plans this time of year. We want to help you understand how to avoid financial fraud when you travel, so you can enjoy every moment.

Protecting Yourself as a Holiday Traveler

When you are busy booking flights, reserving hotels, and leaving town, you might miss important warning signs of a scam. As a result, fraudsters can take advantage of your excitement. It's important to be careful about what you share and remain cautious when dealing with unknown people or businesses, especially if they offer deals that seem too good to be true. By following a few easy steps, you can lower your chances of falling for fraud during the holidays.

Securely Booking Travel Arrangements

When booking travel arrangements, always use reputable websites or apps. Look for secure payment options and official websites that have HTTPS encryption. Never click links from unsolicited emails or messages, as they may lead to fake, scammy sites. It's smart to verify any contact information, like the phone number associated with the booking service, before providing any personal information. Additionally, consider using a credit card for bookings, as they often offer better fraud protection than debit cards.

When it comes to flights and accommodations, be wary of deals that seem too good to be true, as they might be scams. Always verify the legitimacy of travel offers by checking reviews and ratings from other travelers. Finally, keep a record of all your booking confirmations and receipts in case of any disputes.

Keeping Your Credit Card Protected

As you're passing through busy airports, using rideshare programs, and more, it's important to stay on top of every transaction. While it's generally safer to use a credit card over cash or debit, you need to be cautious. This is especially true when sharing your credit card number, as you should avoid saving credit card information on any unknown websites or platforms. If possible, opt for contactless payments or mobile payment apps to minimize physical card exposure.

Immediately report any lost or stolen credit cards to your bank to prevent unauthorized transactions, and be sure to turn off your card to block any new transactions.

Staying Safe on Public Wi-Fi Networks

Using public Wi-Fi is often necessary when you travel. However, it's not always a trustworthy option. In some cases, scammers can steal data sent over public Wi-Fi, including login credentials, your bank account number, and other important information.

To stay safe, don't visit websites or apps that have personal or financial information while using public Wi-Fi, especially those that require you to enter sensitive data like email addresses. This means you should avoid online banking, shopping, and even social media accounts. If you need to access these websites, use a virtual private network (VPN). A VPN encrypts your internet traffic and provides extra security.

Make sure your devices are updated with the latest software and security features and turn on two-factor authentication for your accounts whenever possible for more robust protection.

Using ATMs Wisely

While ATMs are convenient for accessing cash while traveling, they can also be targeted by scammers looking to steal card information and money. To mitigate any fraud risk, it's essential to be vigilant. Always inspect the ATM for any suspicious devices like card skimmers or hidden cameras before inserting your card. If anything seems out of the ordinary, choose a different ATM.

Remember to always use caution when entering your PIN by covering the keypad to prevent prying eyes from capturing your personal information. Staying aware of your surroundings and taking necessary precautions can help ensure secure and hassle-free ATM transactions while in an unfamiliar place.

Monitoring and Managing Your Accounts Remotely

With online banking and mobile apps, you can check your bank statements from anywhere for immediate fraud detection. To enhance your financial security while traveling, you can also proactively set up alerts for any suspicious activity in your bank account. By enabling notifications for any unusual transactions or logins, you can stay informed and address potential threats in real-time.

Travel insurance can often be overlooked, but it can help protect you from financial fraud on the go. Some policies cover lost or stolen credit cards and fraud charges you may face during your trip. Before you invest in travel insurance, make sure to read the policy details. Find options that cover things like money lost to fraud, stolen travel money, or the costs of replacing lost documents.

What to Do if You Suspect Fraud

Discovering that you are a victim of identity theft can understandably add stress to the season. In this case, the best thing you can do is take action as soon as you notice any red flags. If you think there is unauthorized activity on your accounts or if you are a victim of a scam, report it to your financial institution right away. Give them detailed information about the incident, including the date, time, amount of money stolen, and any other relevant details. You can also report these types of scams to law enforcement, the Internet Crime Complaint Center, or another relevant government agency.

Keep Your Finances Safe This Season

It might not feel festive to think about scammers who want to steal from innocent travelers this season – but taking extra precautions to protect yourself can save you from a lot of frustration this holiday. Remember, stay aware of your surroundings, regularly monitor all transactions, and avoid sharing any personal details unless absolutely necessary. If you suspect any fraudulent behavior, promptly report it to the relevant authorities. Our hope is that you feel better informed on how to avoid financial fraud this season.

To give yourself peace of mind, choose a financial institution that values your safety as much as you do. Addition Financial offers a range of resources for members to protect themselves from fraud, with financial products that offer added security. For example, all of our credit cards include free fraud monitoring. Stay safe, and enjoy your holiday season!