Lloyds Banking Group customers have claimed approximately £2 million in card chargebacks between January and September this year, according to bank data. The average transaction value was £35, with common issues including purchases that failed to arrive, poor-quality counterfeit items, and unauthorised subscriptions.
A chargeback is a form of card payment protection that enables shoppers to recover money when transactions go wrong. As Black Friday approaches on November 28, spending is expected to rise, and Lloyds warned that scammers will target in-demand items such as Labubu dolls, Jellycat toys, high-end advent calendars, and perennial Christmas products like jewellery, perfume, and gadgets.
Fraudsters create websites purporting to sell popular goods, often with heavy discounts and pressure-selling tactics. Adverts on social media may also lure shoppers. After payment details are entered, items either never arrive or are cheap fakes. Lloyds customers can request a chargeback via the bank's mobile app; those paying by credit card may also claim under Section 75 of the Consumer Credit Act.
Liz Ziegler, fraud prevention director at Lloyds, said: “Everyone is busy hunting for the perfect Christmas gifts and, with so many deals, offers and choices popping up online, it is easy to feel overwhelmed – particularly when you’re trying to stick to a budget and get everything done on time. Scammers know how to blend in on social media and the warning signs of a dodgy website or advert can be easy to miss.”
Ziegler offered tips for safer online shopping: check website addresses carefully; be cautious with ads and social posts; be wary of deals that seem too good to be true; watch for hidden subscriptions in “free” offers; and report any suspicious activity to the bank immediately.
