China-based phishing groups blamed for non-stop scam SMS messages about a supposed wayward package or unpaid toll fee are promoting a new offering, just in time for the holiday shopping season: Phishing kits for mass-creating fake but convincing e-commerce websites that convert customer payment card data into mobile wallets from Apple and Google. Experts say these same phishing groups also are now using SMS lures that promise unclaimed tax refunds and mobile rewards points.

Over the past week, thousands of domain names were registered for scam websites that purport to offer T-Mobile customers the opportunity to claim a large number of rewards points. The phishing domains are being promoted by scam messages sent via Apple’s iMessage service or the functionally equivalent RCS messaging service built into Google phones.

An instant message spoofing T-Mobile says the recipient is eligible to claim thousands of rewards points.

The website scanning service urlscan.io shows thousands of these phishing domains have been deployed in just the past few days alone. The phishing websites will only load if the recipient visits with a mobile device, and they ask for the visitor’s name, address, phone number and payment card data to claim the points.

A phishing website registered this week that spoofs T-Mobile.

If card data is submitted, the site will then prompt the user to share a one-time code sent via SMS by their financial institution. In reality, the bank is sending the code because the fraudsters have just attempted to enroll the victim’s phished card details in a mobile wallet from Apple or Google. If the victim also provides that one-time code, the phishers can then link the victim’s card to a mobile device that they physically control.

Pivoting off these T-Mobile phishing domains in urlscan.io reveals a similar scam targeting AT&T customers:

An SMS phishing or “smishing” website targeting AT&T users.

Ford Merrill works in security research at SecAlliance, a CSIS Security Group company. Merrill said multiple China-based cybercriminal groups that sell phishing-as-a-service platforms have been using the mobile points lure for some time, but the scam has only recently been pointed at consumers in the United States.

“These points redemption schemes have not been very popular in the U.S., but have been in other geographies like EU and Asia for a while now,” Merrill said.

A review of other domains flagged by urlscan.io as tied to this Chinese SMS phishing syndicate shows they are also spoofing U.S. state tax authorities, telling recipients they have an unclaimed tax refund. Again, the goal is to phish the user’s payment card information and one-time code.

A text message that spoofs the District of Columbia’s Office of Tax and Revenue.

CAVEAT EMPTOR

Many SMS phishing or “smishing” domains are quickly flagged by browser makers as malicious. But Merrill said one burgeoning area of growth for these phishing kits — fake e-commerce shops — can be far harder to spot because they do not call attention to themselves by spamming the entire world.

Merrill said the same Chinese phishing kits used to blast out package redelivery message scams are equipped with modules that make it simple to quickly deploy a fleet of fake but convincing e-commerce storefronts. Those phony stores are typically advertised on Google and Facebook, and consumers usually end up at them by searching online for deals on specific products.

A machine-translated screenshot of an ad from a China-based phishing group promoting their fake e-commerce shop templates.

With these fake e-commerce stores, the customer is supplying their payment card and personal information as part of the normal check-out process, which is then punctuated by a request for a one-time code sent by your financial institution. The fake shopping site claims the code is required by the user’s bank to verify the transaction, but it is sent to the user because the scammers immediately attempt to enroll the supplied card data in a mobile wallet.

According to Merrill, it is only during the check-out process that these fake shops will fetch the malicious code that gives them away as fraudulent, which tends to make it difficult to locate these stores simply by mass-scanning the web. Also, most customers who pay for products through these sites don’t realize they’ve been snookered until weeks later when the purchased item fails to arrive.

“The fake e-commerce sites are tough because a lot of them can fly under the radar,” Merrill said. “They can go months without being shut down, they’re hard to discover, and they generally don’t get flagged by safe browsing tools.”

Happily, reporting these SMS phishing lures and websites is one of the fastest ways to get them properly identified and shut down. Raymond Dijkxhoorn is the CEO and a founding member of SURBL, a widely-used blocklist that flags domains and IP addresses known to be used in unsolicited messages, phishing and malware distribution. SURBL has created a website called smishreport.com that asks users to forward a screenshot of any smishing message(s) received.

“If [a domain is] unlisted, we can find and add the new pattern and kill the rest” of the matching domains, Dijkxhoorn said. “Just make a screenshot and upload. The tool does the rest.”

The SMS phishing reporting site smishreport.com.

Merrill said the last few weeks of the calendar year typically see a big uptick in smishing — particularly package redelivery schemes that spoof the U.S. Postal Service or commercial shipping companies.

“Every holiday season there is an explosion in smishing activity,” he said. “Everyone is in a bigger hurry, frantically shopping online, paying less attention than they should, and they’re just in a better mindset to get phished.”

SHOP ONLINE LIKE A SECURITY PRO

As we can see, adopting a shopping strategy of simply buying from the online merchant with the lowest advertised prices can be a bit like playing Russian Roulette with your wallet. Even people who shop mainly at big-name online stores can get scammed if they’re not wary of too-good-to-be-true offers (think third-party sellers on these platforms).

If you don’t know much about the online merchant that has the item you wish to buy, take a few minutes to investigate its reputation. If you’re buying from an online store that is brand new, the risk that you will get scammed increases significantly. How do you know the lifespan of a site selling that must-have gadget at the lowest price? One easy way to get a quick idea is to run a basic WHOIS search on the site’s domain name. The more recent the site’s “created” date, the more likely it is a phantom store.

If you receive a message warning about a problem with an order or shipment, visit the e-commerce or shipping site directly, and avoid clicking on links or attachments — particularly missives that warn of some dire consequences unless you act quickly. Phishers and malware purveyors typically seize upon some kind of emergency to create a false alarm that often causes recipients to temporarily let their guard down.

But it’s not just outright scammers who can trip up your holiday shopping: Often times, items that are advertised at steeper discounts than other online stores make up for it by charging way more than normal for shipping and handling.

So be careful what you agree to: Check to make sure you know how long the item will take to be shipped, and that you understand the store’s return policies. Also, keep an eye out for hidden surcharges, and be wary of blithely clicking “ok” during the checkout process.

Most importantly, keep a close eye on your monthly statements. If I were a fraudster, I’d most definitely wait until the holidays to cram through a bunch of unauthorized charges on stolen cards, so that the bogus purchases would get buried amid a flurry of other legitimate transactions. That’s why it’s key to closely review your credit card bill and to quickly dispute any charges you didn’t authorize.

The chairman of the Federal Trade Commission (FTC) last week sent a letter to Google’s CEO demanding to know why Gmail was blocking messages from Republican senders while allegedly failing to block similar missives supporting Democrats. The letter followed media reports accusing Gmail of disproportionately flagging messages from the GOP fundraising platform WinRed and sending them to the spam folder. But according to experts who track daily spam volumes worldwide, WinRed’s messages are getting blocked more because its methods of blasting email are increasingly way more spammy than that of ActBlue, the fundraising platform for Democrats.

Image: nypost.com

On Aug. 13, The New York Post ran an “exclusive” story titled, “Google caught flagging GOP fundraiser emails as ‘suspicious’ — sending them directly to spam.” The story cited a memo from Targeted Victory – whose clients include the National Republican Senatorial Committee (NRSC), Rep. Steve Scalise and Sen. Marsha Blackburn – which said it observed that the “serious and troubling” trend was still going on as recently as June and July of this year.

“If Gmail is allowed to quietly suppress WinRed links while giving ActBlue a free pass, it will continue to tilt the playing field in ways that voters never see, but campaigns will feel every single day,” the memo reportedly said.

In an August 28 letter to Google CEO Sundar Pichai, FTC Chairman Andrew Ferguson cited the New York Post story and warned that Gmail’s parent Alphabet may be engaging in unfair or deceptive practices.

“Alphabet’s alleged partisan treatment of comparable messages or messengers in Gmail to achieve political objectives may violate both of these prohibitions under the FTC Act,” Ferguson wrote. “And the partisan treatment may cause harm to consumers.”

However, the situation looks very different when you ask spam experts what’s going on with WinRed’s recent messaging campaigns. Atro Tossavainen and Pekka Jalonen are co-founders at Koli-Lõks OÜ, an email intelligence company in Estonia. Koli-Lõks taps into real-time intelligence about daily spam volumes by monitoring large numbers of “spamtraps” — email addresses that are intentionally set up to catch unsolicited emails.

Spamtraps are generally not used for communication or account creation, but instead are created to identify senders exhibiting spammy behavior, such as scraping the Internet for email addresses or buying unmanaged distribution lists. As an email sender, blasting these spamtraps over and over with unsolicited email is the fastest way to ruin your domain’s reputation online. Such activity also virtually ensures that more of your messages are going to start getting listed on spam blocklists that are broadly shared within the global anti-abuse community.

Tossavainen told KrebsOnSecurity that WinRed’s emails hit its spamtraps in the .com, .net, and .org space far more frequently than do fundraising emails sent by ActBlue. Koli-Lõks published a graph of the stark disparity in spamtrap activity for WinRed versus ActBlue, showing a nearly fourfold increase in spamtrap hits from WinRed emails in the final week of July 2025.

Image: Koliloks.eu

“Many of our spamtraps are in repurposed legacy-TLD domains (.com, .org, .net) and therefore could be understood to have been involved with a U.S. entity in their pre-zombie life,” Tossavainen explained in the LinkedIn post.

Raymond Dijkxhoorn is the CEO and a founding member of SURBL, a widely-used blocklist that flags domains and IP addresses known to be used in unsolicited messages, phishing and malware distribution. Dijkxhoorn said their spamtrap data mirrors that of Koli-Lõks, and shows that WinRed has consistently been far more aggressive in sending email than ActBlue.

Dijkxhoorn said the fact that WinRed’s emails so often end up dinging the organization’s sender reputation is not a content issue but rather a technical one.

“On our end we don’t really care if the content is political or trying to sell viagra or penis enlargements,” Dijkxhoorn said. “It’s the mechanics, they should not end up in spamtraps. And that’s the reason the domain reputation is tempered. Not ‘because domain reputation firms have a political agenda.’ We really don’t care about the political situation anywhere. The same as we don’t mind people buying penis enlargements. But when either of those land in spamtraps it will impact sending experience.”

The FTC letter to Google’s CEO also referenced a debunked 2022 study (PDF) by political consultants who found Google caught more Republican emails in spam filters. Techdirt editor Mike Masnick notes that while the 2022 study also found that other email providers caught more Democratic emails as spam, “Republicans laser-focused on Gmail because it fit their victimization narrative better.”

Masnick said GOP lawmakers then filed both lawsuits and complaints with the Federal Election Commission (both of which failed easily), claiming this was somehow an “in-kind contribution” to Democrats.

“This is political posturing designed to keep the White House happy by appearing to ‘do something’ about conservative claims of ‘censorship,'” Masnick wrote of the FTC letter. “The FTC has never policed ‘political bias’ in private companies’ editorial decisions, and for good reason—the First Amendment prohibits exactly this kind of government interference.”

WinRed did not respond to a request for comment.

The WinRed website says it is an online fundraising platform supported by a united front of the Trump campaign, the Republican National Committee (RNC), the NRSC, and the National Republican Congressional Committee (NRCC).

WinRed has recently come under fire for aggressive fundraising via text message as well. In June, 404 Media reported on a lawsuit filed by a family in Utah against the RNC for allegedly bombarding their mobile phones with text messages seeking donations after they’d tried to unsubscribe from the missives dozens of times.

One of the family members said they received 27 such messages from 25 numbers, even after sending 20 stop requests. The plaintiffs in that case allege the texts from WinRed and the RNC “knowingly disregard stop requests and purposefully use different phone numbers to make it impossible to block new messages.”

Dijkxhoorn said WinRed did inquire recently about why some of its assets had been marked as a risk by SURBL, but he said they appeared to have zero interest in investigating the likely causes he offered in reply.

“They only replied with, ‘You are interfering with U.S. elections,'” Dijkxhoorn said, noting that many of SURBL’s spamtrap domains are only publicly listed in the registration records for random domain names.

“They’re at best harvested by themselves but more likely [they] just went and bought lists,” he said. “It’s not like ‘Oh Google is filtering this and not the other,’ the reason isn’t the provider. The reason is the fundraising spammers and the lists they send to.”