Grandma's $100K Click: An Online Shopping Oops!

Newsletter Topics: Grandma Mary’s 100K Accidental Purchase, Advantages of Using Credit Cards for Online Payments

🗞️ In the News:  Has your grandma made a one-time accidental purchase worth $100,000? We know one that has!

Last week, we posted our “Shop Smart: A Guide to Online Shopping” to protect our community from product ads that direct to fraudulent websites. However, we want to share a personal story from one of our Grandkids in the GGH community and reiterate the importance of paying with credit cards and reviewing order summaries before completing purchases.

👀 Today’s Focus: Grandma Mary’s 100K Accidental Purchase

Let's dive into the tale of Grandma Mary (not her real name—her secret is safe with us). Grandma Mary was on a mission: to buy a $26 custom book as a gift for her son. Since this was a print-to-order deal, she could order as many copies as she wanted.

In her rush to check out, Grandma Mary made a little oopsie. Instead of entering the number of books she wanted, she accidentally typed the first four digits of her credit card number (3725) into the "number of units" box. The website then asked her to input her payment details and billing address, which she did without a second glance. She hit "Proceed to Purchase" faster than you can say "Wait, what?"

Now, let's do some quick math: 3725 units at $26 each equals a jaw-dropping $96,850.

In the blink of an eye, Grandma Mary had almost flushed her life savings down the virtual toilet. But here's what happened next:

• Grandma Mary's credit card, probably with a built-in Grandma Safety Mode, said, "Whoa there!" and blocked the transaction. Phew!

• Realizing her slip-up, Grandma Mary immediately called the online bookstore to cancel the order and make sure her account was safe. Crisis averted, right?

Well, not quite. A few weeks later, her son found a UPS truck in the driveway, unloading what seemed like the entire inventory of the bookstore. The company's quality control must've been on vacation because even though the payment was stopped and the order was canceled, the books were printed anyway. Thankfully, Grandma Mary wasn’t on the hook for this blunder—her credit card company had her back, and she’d taken swift action to cancel the order. Disaster dodged!

😎 Grandkid Tip of the Day:  What is now a funny story triggered an almost panic attack at the time it happened. We hope this personal experience helps reiterate two important points when shopping online:

1. Reviewing and verifying order details when placing orders online

2. Paying with a credit card

⚠️ Why is paying with a credit card online considered a best practice?

Take Grandma Mary’s experience, for example. Her credit card declined a transaction due to the sudden, high amount. A debit card or other payment method might have done the same. But imagine the transaction was for $1,000 instead of nearly $100,000—it likely would have gone through.

In that case, your first step would be to contact the online store to cancel the transaction. But what if you couldn’t reach the store? This is where using a credit card proves invaluable. Since the payment hasn’t been fully processed, you can contact your credit card provider promptly who can then help you cancel the transaction from their side.

Paying with credit cards provides other protections for online purchases:

• Fraud Protection: You're generally not liable for unauthorized charges if reported promptly, reducing the risk if your card details are stolen online.

• Chargeback Rights: If your order is incorrect, damaged, or doesn't arrive, you can dispute the charge and potentially get a refund.

• Purchase Protection: Many cards cover items that are damaged or stolen shortly after purchase, ideal for high-value items.

• Extended Warranties: Some cards extend the manufacturer’s warranty on purchases, offering extra security for expensive items.

• Record Keeping: Credit card statements make it easy to track spending and verify purchases, simplifying disputes or returns.

• Zero Liability: Most credit cards ensure you won’t be held responsible for fraudulent charges, keeping your finances safe.

⭐ Share a story by replying to this email! - If you or someone you know has been hacked or compromised, share your story! We are always looking to raise awareness within our community!

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