NORTH TEXAS (CBSDFW.COM) – A warning as the holidays are approaching and many Texans are starting to make vacation travel plans.
From October to December 2019, more than 260 million passengers flew domestic or international flights in the US, down 64% over the same period in 2020.
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Historically, the Better Business Bureau receives a large influx of reports of travel fraud related to the holidays.
- In 2019, more than $ 428,000 was lost to travel fraud from October through December.
- In 2020, reported losses dropped to $ 305,000 from October through December. However, the reports did not decrease the same percentage as the travel rates, showing that scammers were also active in a reduced travel environment.
- In 2021, more than $ 720,000 has been lost to travel fraud nationwide, with nearly half (49%) of the losses occurring during the busiest travel season of the year, the May-August summer season.
In addition to the threat of scammers posing as legitimate travel companies or car rental companies, potential travelers are also grappling with airline labor shortages, increased oil prices, and reduced fleets of rental vehicles from reputable lenders.
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“It is recommended that you book and plan your travel plans as far in advance as possible to avoid a sense of urgency that can distract you from thoroughly researching a company’s claim, advertisement or business to determine its legitimacy investigate, “said BBB Vice President of Communications Heather Massey.
To help consumers identify and avoid the most common travel fraud cases, the BBB provides the following brief descriptions of the top five travel fraud cases:
- Apartment con. These scammers lure vacationers in with the promise of low fees and great amenities. The “owner” creates a false sense of urgency – for example by telling potential customers that another vacationer is interested in renting out – to receive payment before doing enough research or questioning the legitimacy of the ad.
- “Free” vacation fraud. If a cruise or travel company advertises a vacation as “free”, it does not necessarily mean that the trip is free or restricted. Look out for additional fees for air transportation, port fees, taxes, tips, and other unlisted fees.
- Fraud in the hotel. When staying in a hotel, beware of scammers who use various techniques to obtain credit card information, including fake front desk calls, “free” Wi-Fi connections, and fake food deliveries.
- Third party booking site fraud. If you are booking your airfare, hotel, or other travel through a third-party website, be careful. BBB Scam Tracker continues to receive reports of scammers posing as online airline ticket brokers. The most common type of fraud, travelers pay with a credit card and shortly after paying they receive a phone call from the company asking them to verify their name, address, bank details, or other personal information – something a legitimate company would never do .
- Cons of Timeshare Resale. A timeshare owner trying to sell receives a call from someone claiming to be a real estate agent or broker. These scammers claim they specialize in timeshare resale and promise to have buyers ready to buy. In order to secure this service, the scammer pushes the target to pay an upfront fee. The timeshare owner pays, but the reseller never delivers.
To avoid falling victim to travel scams this holiday season, the Better Business Bureau recommends prospective travelers to follow these guidelines:
- Get the trip details in writing. Before you make the final payment, get all the details of the trip in writing. The details should include the total cost, restrictions, cancellation fees, and the names of the airlines and hotels. Also, read and retain the airline and hotel’s cancellation and refund policies, and the travel agent’s or booking site’s cancellation policies.
- “Too good to be true” offers. As is common with various scams, it is likely that the offer or discount is too good to be true. Scammers often use this tactic to attract potential victims and use aggressive language for “limited time” to trick travelers into paying before looking for the deal.
- Avoid transferring money or using a prepaid debit card. These payments are the same as sending cash. Once the money has been sent there is no way to get it back. Paying with a credit card can be challenged and drastically reduces liability for a fraudulent purchase.
- Call the landlord. Unless you’re using a property and owner verification service, don’t negotiate a rental solely by email. Many scammers do not live on site. Speaking to the owner on the phone and asking detailed questions about the property and local attractions will clarify whether the listing is genuine. An owner with vague answers is a clear red flag.
- Unsolicited offers. Use extra caution if you “win” a free ride without entering a competition or sweepstakes. This applies in particular if the offer is time-sensitive and requires the consumer to accept the offer immediately and pay for it or risk that it will go to another “winner”. Check the official website of the company who made the offer to make sure it is legitimate.
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For more tips on avoiding travel fraud, visit BBB.org/Travel.
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