People In Minnesota, Wisconsin Warned Of New JOANN Fabrics Scam

Disappointing news arrived at the beginning of this year when JOANN Fabrics and Crafts, the popular retailer that has been in business for over 80 years, announced it was filing for bankruptcy and would be closing select stores throughout the country, including locations in Minnesota and Wisconsin.

The news got worse recently when the official announcement arrived that JOANN would be closing all of its stores and going out of business. They estimated stores would only remain open through May 2025.

Unfortunately, this news has opened the door to a new scam looking to take advantage of JOANN Fabrics and Craft's situation and prey on its customers and the general public.

New Scam Reported Related To JOANN Fabrics And Crafts Going Out Of Business

According to the Better Business Bureau, scammers have wasted little time attempting to make money off the recent JOANN Fabrics bankruptcy news.

They're doing this by setting up fake, and often very convincing, "going out of business" and liquidation websites featuring extremely discounted merchandise, as much as 80-90% off.

They advertise these sites online on social media and the ads look like they're from JOANN Fabrics. Once people click on the ad, they're brought to a website that looks just like the real JOANN website, even featuring the company’s official logo and other images.

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The site will feature products JOANN actually sells, so the big discounts seem legitimate, especially since it's common knowledge that they're going out of business.

Victims of the scam are offered an additional promotional discount as they add items to their cart which brings prices down even more.

However, a closer look would reveal that the website’s URL is not for the real JOANN website, it's a fake created by a scammer trying to steal personal or financial information. Once people submit payment and other personal information, it's too late.

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How To Avoid Fake “Going Out Of Business” Sale Scams

The Better Business Bureau says it has received numerous reports on its Scam Tracker about fake JOANN Fabrics closeout sales and they urge consumers to be diligent to protect themselves.

Here are things you can do to avoid becoming a victim:

• Always confirm the website’s URL. These scam websites look like the real thing, but a closer look would reveal the URL is either off by a letter or two or it could add extra words that still look convincing. For reference, JOANN’s official website is joann.com.
• Instead of clicking on ad links, go directly to the official website. In addition to fake websites, scammers can create fake social media ads. Don't click on ads, instead go to your web browser and visit the store’s official website.
• Be wary of deals that sound too good to be true. It's one of the oldest sayings in the book, but it's true that if it sounds too good to be true, it probably is. Verify the source and the deal before making a purchase online.
• Use your credit card for online purchases. Credit cards offer additional fraud protection that debit cards don’t. If you realize you've been scammed, notify your credit card company right away to dispute the charge.
• Be careful with what information is being asked of you. If you’re checking out after shopping online and are asked for additional information like your Social Security number, that is a major red flag.

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