The FTC is warning travelers about a rise in vacation scams, including fake travel websites, bogus toll texts, and fraudulent charter flights.
The Federal Trade Commission has warned consumers about scams targeting travel buyers as many Americans search for and purchase their summer vacations online. The FTC reports American consumers lost some $12.5 billion to all varieties of fraud in 2024.
Avoiding Online Scams
The FTC has specifically warned about an increase in paid ads from scammers posing as well-known travel companies. When consumers do a web search for a well-known travel company, similar websites run by scammers show up in paid ads that top search results, often above the search results themselves. The FTC warns consumers to either type in the website of the company they’re searching for, if they know it, or to pay close attention to the site they’re directed to when they do a web search.
These are called Imposter Scams, and the FTC operates a separate site with details on how to identify and avoid them.
Scammers can also respond to complaints posted on social media platforms such as X (formerly Twitter), Facebook, and Instagram. Scammers will often pose as representatives from the company the complaint is about, attempting to get confirmation numbers and other pertinent details from frustrated travelers. It’s worth noting that many travel companies have stopped handling consumer complaints on social media channels. If in doubt, travelers should lodge complaints with travel companies via their official websites.
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Avoiding Road Trip Scams
Another common text scam is to contact auto travelers claiming they have unpaid tolls. Travelers may not be aware of toll collection schemes while traveling, particularly if they’re outside their home state. These phishing scams are typically an attempt to harvest credit card numbers.
Travelers should be sure to research the toll agencies separately rather than clicking a link in an unexpected text. The best option is to contact toll agencies via their official website or customer service number to check for unpaid tolls.
Avoiding Air Travel Scams
Other scams involve fraudulent travel agencies selling charter flights that don’t exist. These flights can be harder to verify because they don’t show up in regular airline schedules, but legitimate public charters are registered with the Department of Transportation and maintained in an online database. The DOT also requires that tour operators collecting funds for public charters must hold the collected funds in escrow until the flight is completed, to ensure cash is available to provide refunds in the event flights don’t operate.
Scam Red Flags
Many scammers request payment via methods that are difficult to trace and impossible to dispute, such as wire transfers, cryptocurrency, and gift cards. Operators that only accept payment via payment apps are also suspect.
The FTC also points out that deal terms that aren’t fully disclosed or seem too good to be true are often scams. Legitimate operators will allow travelers the chance to read the full terms and conditions of a sale prior to providing payment, and will typically accept credit cards or debit cards, which have dispute processes available if providers are ultimately unable to deliver the end product.
Another recommendation is to check online reviews for the travel company or do a search with the Better Business Bureau. Travel companies without reviews, positive or negative, on third-party sites, or with little online presence, are also likely to be scammers. Finally, travelers should check pricing for comparable products at other companies in similar fields. Many travel scammers lure victims with the promise of deeply discounted travel products or other too-good-to-be-true promises.
The FTC has published a more comprehensive (but not exhaustive) list of travel scams on their website. Travelers who suspect they have been victimized by a scammer can report scams to the FTC or their state attorney general.