FTC warns of fake online stores, AI impersonation and gift‑card fraud ahead of 2025 holiday shopping
The Federal Trade Commission issued a consumer alert on November 25, 2025, warning shoppers about a surge in fake online stores, 'brushing' scams, and AI‑driven impersonation of brands and influencers heading into the holidays. The guidance lists practical steps for avoiding scams and directs consumers to ReportFraud.ftc.gov to report suspicious sellers and fraud.
In a pre‑holiday consumer advisory published on November 25, 2025, the Federal Trade Commission highlighted a marked increase in deceptive online retail activity, including standalone fake storefronts, 'brushing' schemes that send unsolicited items to inflate seller ratings, and AI‑enabled impersonation of brands and social media influencers. The FTC cautioned consumers to verify website URLs carefully, be wary of offers that pressure quick payment or use gift cards or cryptocurrency for transactions, and to research seller reviews outside the platform. The agency provided concrete, step‑by‑step prevention tips such as checking for secure checkout indicators, using credit cards for purchase protections, and confirming influencer endorsements through verified accounts. The alert also emphasized the importance of reporting suspicious sites and transactions at ReportFraud.ftc.gov so regulators and platforms can investigate trends and take action. The advisory reflects growing concern about how generative AI and automated tools are lowering the cost of launching convincing fraudulent storefronts during peak shopping seasons.