Canadians must do better to avoid deceptive marketing tactics when shopping online, study says

Visa today released its second annual Deceptive Marketing Survey.

It revealed that 17% of credit card holders from the Prairie Provinces have been the victim of unauthorized charges resulting from an offer they accepted online. This has also happened to 26% of British Columbians and 24% of Ontarians. 

Visa conducted its national survey of more than 1,000 Canadians to gauge awareness and educate consumers about the dangers of deceptive marketing practices. Up to 1 in 5 Canadians say they are aware of these tactics but the number of victims is "worringly high," says Visa.

"It's critical to stay observant when making purchases over the phone or Internet," said Gord Jamieson, Head of Payment System Risk, Visa Canada. "Although the majority of retailers are legitimate and trustworthy, it's vital that consumers review the terms and conditions of an offer before they commit to buy - remembering the adage that if it seems too good to be true, it probably is.

Deceptive marketing is easiest to execute online where so many users buy goods with credit cards and where less than 1 in 3 Canadians read terms and conditions of sales in full before purchasing, with 1 in 5 completely skipping it.

"On a positive note, 96% of all credit card holders review their credit card statements at the end of the month for unauthorized charges," said Jamieson.  "This is very good news, as reviewing statements is one of the most effective and easiest ways for cardholders to monitor their accounts and take action on suspicious activity."

 "Fortunately, it's fairly easy for consumers to get into the habit of recognizing and preventing fraud, simply by adhering to common sense tips for safe shopping," said Paul Proulx, RCMP Staff Sergeant in charge of the Canadian Anti-Fraud Centre. "When shopping online, always read the fine print before committing to buy and don't be afraid to ask the merchant for more information if something seems confusing or murky.  Never, ever provide financial or other personal information over to phone or via email, and remember to review your monthly credit card statement for suspicious or unfamiliar charges."

VisaSecuritySense.ca offers some tips, including often-overlooked basics such as looking for pre-checked boxes on payment pages and double-checking the terms for offers such as "free trials."