Protect Your Etsy Shop from Scammers: Tips for Sellers

Etsy is a thriving marketplace for creatives and small business owners to sell their unique products to a global audience. If you are one of them, you know that your Etsy shop connects you to customers around the world with just a click. But running a business online can also make you a possible target for scammers and fraudsters.

Whether you're just starting your Etsy shop or you're already an established seller, you must protect your store from scammers who often target Etsy sellers, putting your hard work and reputation at risk.

You can take simple but important steps to protect yourself and your business. Follow the tips and best practices in this checklist to keep your information safe and sound.

Real-life story

"First day using Etsy and I get scammed?

Hi everyone,

You probably seen 100s of these messages but I just wanted to make sure If I really got scammed.

It all started after posting my first few listings. I got about 4 private messages with the subjects "Support", "Technical Agent", "Etsy support" "Verification".

Each message notified me that I would receive an email to verify my store. True be said, I did receive a few links in my email which took me to a page. It seemed legit given the web address name and the Etsy logo next to the web address.

I started speaking to a lady called Adora. In order to verify my account I needed to run a transaction to prove my bank account is real. Silly me, I accepted. She then said, to get a refund and full verification on my store I would have to run another transaction. That's when the alarm bells started going!

I decided to end the chat upon being told that my store would be suspended. The transaction was just over £100 to a name called Hellcase.

Has anyone else experienced this?"

Source: Etsy Community Forum

The Most Common Etsy Scams Targeting Sellers

Scammers on Etsy use deceptive tactics to trick sellers into sharing sensitive information, particularly email addresses. These scams generally fall into two main categories:

Impersonating Customers: Scammers pose as buyers, claiming they need your email address to complete a purchase or resolve an issue.
Pretending to Be Etsy Support: Fraudsters send messages designed to mimic official Etsy communications, asking for your email address under the guise of resolving shop-related issues.

Here's a closer look at these scams, along with examples and tips to recognize red flags.

Scammers Pretending to Be Customers

In this type of scam, fraudsters pose as buyers and claim they need your email address to complete a purchase or resolve an issue.

Requests for Your Email Address

Example:

"Hello, I want to order from you, but I need your email. I contacted support; they said that because you have a new store, they have not yet connected the automatic ordering system, so the seller's email is required. Thank you."

Red Flags:

Buyers never need your email address to place an order on Etsy.
Etsy does not ask buyers to contact sellers to verify any information.

Fake Buyers Requesting Transactions Outside Etsy

Scammers posing as buyers may request transactions outside of Etsy or ask for personal details. They may even claim that handling the transaction off-platform will reduce fees. Keep all transactions and communication within Etsy for your protection.

Fake Overpayment Scams

In this scheme, a buyer claims to have "accidentally" overpaid for an item and requests a refund from you. They insist on using non-secure methods like wire transfers or gift cards, bypassing Etsy's secure payment system.

Chargeback Fraud

A scammer claims they never received the product and initiates a chargeback through their credit card company. This results in the payment being reversed, leaving you without the item or the money.

2. Scammers Pretending to Be Etsy Support

These scams involve fraudsters sending fake messages that look like official Etsy communications. They often claim there's a problem with your account or shop to create urgency and pressure you into sharing sensitive information.

Suspended Shop Scams

Example:

"Hello, your shop is currently unable to accept new orders. To restore your shop and view new orders in your profile, please provide your email address in the chat. You will receive a notification to complete a simple verification process. Regards, Etsy."

Red Flags:

Critical account updates, like shop suspensions, are communicated through your seller dashboard—not through customer messages.
Etsy does not require email address verification for account issues.

Request to Update Bank Details

Example:

"Hello! It appears that your bank details are outdated or need to be updated, which is preventing payments and orders from reaching you. To update your information, please reply to this message with your email address so we can create a request for you. You will then receive an email with further instructions. If you do not update your details, your account will be blocked within 24 hours of the email being sent. We apologize for any inconvenience. Thank you, Etsy."

Red Flags:

Etsy already has your email address, provided during account setup.
Official Etsy communications will never request sensitive details in this manner.
Etsy messages are sent to your official account inbox, separate from customer messages (unless using the Etsy Seller App).

Other Scam Tactics to Watch For

QR Code Scams. Scammers may send QR codes or images that direct you to fraudulent websites, where they can steal your information.

Tip: Avoid scanning QR codes from unverified sources.

Phone-Based Scams. Scammers might call, pretending to be Etsy staff, to extract sensitive information or access your account.

Tip: Etsy does not make unsolicited phone calls. If you receive a suspicious call, do not share any personal information. Etsy does not provide a support phone line—any numbers claiming to be Etsy support are fake. Use Etsy's Help Center to request assistance securely.

What Scammers Can Do with Your Email

When scammers get hold of your email address, they often send fake websites designed to mimic Etsy's official pages. These phishing sites can look highly authentic, tricking you into entering your email and password. Once they have this information, scammers can log into your account and cause significant harm, such as:

Changing your banking details to redirect your earnings to their accounts.
Accessing and stealing sensitive banking information linked to your Etsy profile.

Recovering your account after it has been compromised is not always straightforward. In many cases, Etsy may permanently close a hacked account for security reasons, making restoration unlikely. Additionally, if your banking information has been exposed, you'll need to contact your bank immediately to report the breach and secure your financial details.

How to Protect Your Etsy Shop

1. Strengthen Your Account Security

Enable Two-Factor Authentication (2FA):

Adding 2FA to your account provides an extra layer of security. When enabled, logging in will require both your password and a code sent to your phone or tablet. This ensures that even if someone has your password, they can't access your account without additional verification. You'll only need to enter the code every 30 days or when using a new device or browser.

Use Strong Passwords:

Hackers often exploit weak passwords to gain access to accounts. Follow these tips:

Create unique phrases with a mix of letters, numbers, and special characters.

Use at least eight characters, though longer passwords are more secure.

Avoid reusing passwords across accounts, and consider using a password manager to keep them organized.

Refresh your password every six months, and check for compromises using tools like Bitdefender Digital Identity Protection.

To change your Etsy password, visit your Account settings and scroll down to the password section.

2. Limit Access to Your Account:

Ensure only trusted individuals can access your account. Unauthorized changes, such as accidental password resets, can cause complications. Remember, as per Etsy's Terms of Use, you're responsible for any activity on your account.

3. Keep All Communications and Transactions on Etsy

Always use Etsy Messages to communicate with buyers. This allows Etsy to assist you in case of disputes or issues. Using Etsy Payments makes you eligible for Etsy's Purchase Protection program, ensuring refunds for eligible orders while you keep your earnings if disputes arise.
Avoid conducting transactions or sharing personal details outside of Etsy's platform. If someone asks for an off-platform transaction, report it and notify your bank of any potential fraud.

4. Recognize and Avoid Suspicious Messages

Scammers often use alarming language or create urgency to trick you into sharing personal information.
If you receive a suspicious message:
- Do not click on links or provide personal details.

Remember, Etsy will never ask for sensitive information via email, messages, or social media.

Always verify links by checking they lead to Etsy.com before clicking.

· Verify Official Etsy Messages:

Messages from Etsy staff will appear in the "From Etsy" section of your inbox with a verified badge.

If you're unsure about a message, mark it as spam or reach out directly to Etsy Support through their Help Center.
You can also use Scam Copilot, our AI scam detector, included in Bitdefender Ultimate Small Business Security.

5. Protect Your Devices

Update Software Regularly. Always use the latest versions of Etsy apps and keep your antivirus software up to date.
Clear Old Devices. When replacing a device, remove personal information and restore factory settings before disposal.
Review Account Activity:
Review sign-in history and check for third-party connections on your Etsy account (and other accounts and apps you may have). Sign out of any unrecognized devices and delete any connections that you did not add.

6. Maintain Up-to-Date Contact Details

Ensure your email address and phone number on file are current. These details allow you to:

Reset your password if needed.
Receive activity alerts for unusual logins or changes to your account.
Confirm your identity when contacting Etsy Support. To update your email address, visit Account Settings > Email.

7. Regularly Review Financial and Tax Information

Periodically check your payment and billing information to catch unfamiliar activity early.
Ensure your tax details are accurate and complete to avoid issues with Etsy's payment system. Keeping this information updated helps you prepare for tax filing season and prevents account flags.
You can view and update your financial information at any time by visiting Shop Manager > Finances > Payment Settings. Also make sure your taxpayer information is complete and accurate.

Small businesses face a wide range of cybersecurity threats, from phishing scams to data breaches, and having comprehensive protection like Bitdefender Ultimate Small Business Security is a must.

It's an all-in-one solution designed specifically for small businesses, offering advanced tools like email protection, anti-phishing and scam defenses, digital identity monitoring, and data breach prevention.

Check out the plans here.

How to Report Scammers on Etsy

If you encounter suspicious activity or believe you've been contacted by a scammer on Etsy, here's how you can report the incident:

1. Reporting Suspicious Messages:

On Etsy.com:

Go to your Messages.

Open the suspicious message.

Click on the "More" option (three dots) and select "Mark as Spam."

If You've Engaged in Off-Platform Transactions:

Etsy strongly advises keeping all transactions and communications within the platform. If you've made a payment outside of Etsy and suspect fraud:

Immediately contact the payment service you used (e.g., your bank or credit card company) to report the fraudulent transaction and seek assistance.

Please note that Etsy may have limited ability to assist with issues arising from transactions conducted outside its platform.

If you suspect that your account has been compromised:

Change your Etsy password immediately.
Enable two-factor authentication for added security.
Review your account settings for any unauthorized changes.
Contact Etsy Support for further assistance.

FAQs

How can I tell if a message from Etsy is legitimate?

Messages from Etsy will appear in the "From Etsy" section of your Messages inbox and will include a verified badge or label. Etsy will never ask you for sensitive information, such as passwords or payment details, via email, Etsy Messages, or social media. If you're unsure, avoid clicking on any links and contact Etsy Support directly through the Help Center to verify the message.

What should I do if I suspect my Etsy account has been hacked?

If you suspect unauthorized access to your account:

Immediately change your password to a strong, unique one.
Review your account's sign-in history and log out of any unrecognized devices.
Enable two-factor authentication (2FA) for added security.
Contact Etsy Support to report the issue and follow their guidance to secure your account.

Can I recover my Etsy account if it gets suspended or compromised?

If your Etsy account is suspended or compromised, reach out to Etsy Support through the Help Center. Provide detailed information about the issue and any supporting evidence to verify your identity. While recovery is possible, some compromised accounts may be permanently closed for security reasons, so it's important to act quickly. Keeping your contact details and security settings updated can help streamline the recovery process.