What is an E-Commerce Scam?

An E-Commerce scam involves fraudulent activities conducted online where scammers deceive consumers or businesses into making purchases, sharing personal information, or transferring money for goods or services that are never delivered or misrepresented.

How to spot an E-Commerce Scam? (Common Warning Signs)

  1. Prices Too Good to Be True: Items are sold way below market value to lure buyers.
  2. No Physical Address or Contact Info: The seller avoids sharing real contact details or only uses WhatsApp/social media.
  3. No Reviews or Fake Reviews: Either no customer feedback or suspiciously perfect reviews.
  4. Payment via Personal Account: You're asked to transfer money to a personal bank account instead of using secure platforms.
  5. Rush to Buy: You're pressured to “book fast” or are told there’s limited stock to rush your decision.
  6. Poor Website Quality: Low-quality design, bad grammar, and missing company details are red flags.
  7. Goods Never Arrive: You pay, but the item is never delivered, and the seller disappears.

How to prevent E-Commerce Scams?

  1. Buy from Trusted Platforms or well-known e-commerce websites with buyer protection policies.
  2. Verify the seller by checking reviews, ratings, and customer feedback before buying.
  3. If the price looks too good to be true, it probably is.
  4. Poor website quality, lack of contact information, or only using WhatsApp can be warning signs.
  5. Don’t share personal Info or give out your banking details or OTP via chat or message.
  6. Confirm the seller's identity, bank account, or phone number using Semak Mule.
  7. When in doubt, it’s better to skip the purchase than risk being scammed.

Example of an E-Commerce Scam Scenario:

Lisa saw an advertisement on Instagram promoting a limited-time sale on branded sneakers for only RM150, much cheaper than the original price. The seller’s page had photos, a few comments, and a link to WhatsApp for fast orders. The seller told her the promotion was ending soon and asked her to transfer the money directly to a personal bank account to “lock in the deal.” Lisa made the payment and was told the tracking number would be sent soon. Days passed, no update, no tracking number. Lisa never received the shoes.

What Went Wrong:

  1. Lisa trusted an advertisement on Instagram without verifying the seller’s credibility.
  2. She was pressured to act fast due to the “limited-time” promotion.
  3. She transferred money directly to a personal bank account. Legitimate businesses usually use official payment gateways, not personal accounts.
  4. She didn’t check the seller’s background or the account number before making payment.

Lesson Learned:

  • Always verify the seller before buying online, especially if the price seems too good to be true.
  • Avoid making payments to personal bank accounts.
  • Use secure payment platforms and check suspicious accounts on Semak Mule beforehand.
  • Be cautious of advertisements that pressure you to act fast as scams often rely on urgency and emotion to trap victims.