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Updated October 24, 2025 with a new BBB Scam Tracker report.
With the holiday shopping season nearing its close and buyers wanting to get gifts delivered on time, there's a crafty online shopping con being reported to BBB Scam Tracker. Scammers claim a product you purchased is out of stock, but they never process your promised refund.
What you'll learn:
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How scammers trick shoppers with fake “out of stock” notices and never-delivered refunds
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Warning signs to look for before making a purchase from an unfamiliar online retailer
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What to do right away if a promised refund never shows up on your account
How the scam works
You see a product online that you want to purchase (shoppers report encountering this scam through social media ads.) You click on the link to the company's website, find the product, and check out. Shortly after your card is charged, you receive an email saying the product is out of stock and they will refund your money. You wait several days for the refund to post to your account, but it never does. Then, when you try to contact the online shop, no one responds.
In a recent BBB Scam Tracker report, one person shared, "Scam posted to Instagram that a mother/daughter business was going out of business after so many years and they were liquidating stock. Went to the site that looked professionally made and purchased a mug, after which I got an order confirmation and a shipping confirmation stating delivery from China. I received the item and it is of very poor quality and very obviously not handmade."
Another consumer reported to BBB Scam Tracker, "I saw the ad of this company for a wet tshirt and I ordered that, after waiting for 2 months with poor contact from the team, they said "they were out of stock", finally they sent it and the package was lost. They sent me a second other as replacement and it was not the tshirt I ordered, I contacted them and they haven't respond my email nor social media post. Scam!"
Another shopper told BBB Scam Tracker, "The order went through and money was taken out of my account. After more than a week of long wait for my order to ship, the order got canceled (saying the size ordered was out of stock) and the money was never returned to my account."
The truth is, the product likely never existed in the first place, and scammers hope you'll never notice you didn't get your refund. However, if you used a credit card, you should be able to contest the charge and get your money back.
How to avoid online shopping scams
- Research before you buy. Always research businesses on BBB.org before you purchase, especially if you aren't familiar with the company. Read consumer reviews on other websites and do a quick online search for the business name along with the word "scam" to rule out any suspicious activity spotted by other consumers. BBB Accredited Businesses have agreed to abide by the BBB Standards, so look for the BBB Seal: It's The Sign of a Better Business℠!
- Watch out for social media scams. Con artists love using social media to promote their scams. Some red flags include deals that seem too good to be true, phony personalized products, fake coupons, and product links that lead to questionable websites.
- Make sure the website is secure. Don't make purchases from a website that isn't secure. How can you tell if a website is secure? It should have a tiny lock symbol in the browser bar and start with HTTPS, not just HTTP.
- Keep records of your purchase. Keep receipts, order confirmations, and any other correspondence you have with a company that has promised to deliver a product. These documents will come in handy later if you need to contest the purchase.
- Use your credit card. It's always best to use your credit card instead of a debit card to make online purchases. Credit cards offer more protection if you need to report a fraudulent charge.
For more information
Before shopping online, review the BBB Tip: Smart shopping online and our online shopping hub for more information on staying safe. See BBB's holiday tips for more advice. If you spot a scam while shopping online, even if you don't lose any money or information, report it to BBB Scam Tracker. Your report can help other consumers to recognize the signs of a scam.