Avoid losing $200: Ex-retail worker exposes gift card scams this holiday season
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With the holidays fast approaching, gift cards are a popular go-to gift. But a former retail worker’s confession warns of a scam that could cost you hundreds.
Don’t fall victim—find out how to protect your money before it's too late!
Juniper, who implies she worked for a large corporation similar to “Margarets,” likely referring to Target, has witnessed firsthand the dark side of gift card giving.
She recounts how scammers create counterfeit gift cards, sneak them onto store racks, and wait for unsuspecting customers to purchase what they believe are legitimate gifts.
The result?
The buyer is left with a worthless piece of plastic, and the intended recipient is deprived of their gift.
Gift card draining is a devious scam where thieves manipulate gift cards by copying or altering the card numbers, quickly using the funds, and then returning the tampered card to the store.
These altered cards often look untouched, making it nearly impossible for customers to detect the fraud until it's too late.
By the time the gift card is used or activated, the balance has vanished into the pockets of criminals.
A staggering 23% of U.S. consumers have fallen victim to purchasing drained gift cards, according to a 2022 AARP study.
Even more disheartening is that over half of those affected were unable to recover their lost funds.
The Federal Trade Commission reported approximately 49,000 instances of gift card fraud in 2022 alone, amounting to a whopping $228 million in losses.
The federal government is stepping up efforts to tackle this issue, with the Department of Homeland Security investigating the potential involvement of international crime syndicates.
These groups are suspected of using the stolen funds to support illicit activities, including drug trafficking and human smuggling.
Juniper's warning is clear: be extremely cautious when purchasing gift cards this holiday season.
She advises against buying cards that activate immediately upon purchase.
Instead, opt for those that require an employee's verification or are kept securely under lock and key.
Here are some additional tips to help you avoid falling prey to gift card scams:
1. Inspect Before You Buy: Check the gift card packaging for any signs of tampering. Look for scratches, signs of resealing, or mismatched barcodes.
2. Purchase Directly from the Source: Buy gift cards directly from the issuing store or its official website. This reduces the risk of encountering tampered cards.
3. Consider Digital Options: E-gift cards or gift certificates from local businesses are less likely to be targeted by scammers and can often be more secure.
4. Keep Your Receipt: Always keep the purchase receipt as proof of activation and value. This can be crucial if you need to dispute a drained card.
5. Register Your Gift Card: If the issuer allows it, register your gift card online. This can add an extra layer of security and make it easier to report and potentially recover from fraud.
6. Act Quickly: If you suspect that a gift card has been compromised, report it to the issuer immediately. The sooner you act, the better your chances of resolving the issue.
Remember, knowledge is power, and in this case, it could save you $200 or more. Don't let gift card grifters dampen your holiday cheer.
Stay alert, stay informed, and let's make this holiday season a secure and happy one for all.
Have you ever heard of scams involving gift cards before, and how did you protect yourself? What precautions do you take to ensure your gift cards are safe from scams? Share your insights in the comments below.
Don’t fall victim—find out how to protect your money before it's too late!
Juniper, who implies she worked for a large corporation similar to “Margarets,” likely referring to Target, has witnessed firsthand the dark side of gift card giving.
She recounts how scammers create counterfeit gift cards, sneak them onto store racks, and wait for unsuspecting customers to purchase what they believe are legitimate gifts.
The result?
The buyer is left with a worthless piece of plastic, and the intended recipient is deprived of their gift.
A former employee has warned against buying gift cards due to common scams resulting in purchasers and recipients losing money. Image source: JESHOOTS.COM/Unsplash.
Gift card draining is a devious scam where thieves manipulate gift cards by copying or altering the card numbers, quickly using the funds, and then returning the tampered card to the store.
These altered cards often look untouched, making it nearly impossible for customers to detect the fraud until it's too late.
By the time the gift card is used or activated, the balance has vanished into the pockets of criminals.
A staggering 23% of U.S. consumers have fallen victim to purchasing drained gift cards, according to a 2022 AARP study.
Even more disheartening is that over half of those affected were unable to recover their lost funds.
The Federal Trade Commission reported approximately 49,000 instances of gift card fraud in 2022 alone, amounting to a whopping $228 million in losses.
The federal government is stepping up efforts to tackle this issue, with the Department of Homeland Security investigating the potential involvement of international crime syndicates.
These groups are suspected of using the stolen funds to support illicit activities, including drug trafficking and human smuggling.
Juniper's warning is clear: be extremely cautious when purchasing gift cards this holiday season.
She advises against buying cards that activate immediately upon purchase.
Instead, opt for those that require an employee's verification or are kept securely under lock and key.
Here are some additional tips to help you avoid falling prey to gift card scams:
1. Inspect Before You Buy: Check the gift card packaging for any signs of tampering. Look for scratches, signs of resealing, or mismatched barcodes.
2. Purchase Directly from the Source: Buy gift cards directly from the issuing store or its official website. This reduces the risk of encountering tampered cards.
3. Consider Digital Options: E-gift cards or gift certificates from local businesses are less likely to be targeted by scammers and can often be more secure.
4. Keep Your Receipt: Always keep the purchase receipt as proof of activation and value. This can be crucial if you need to dispute a drained card.
5. Register Your Gift Card: If the issuer allows it, register your gift card online. This can add an extra layer of security and make it easier to report and potentially recover from fraud.
6. Act Quickly: If you suspect that a gift card has been compromised, report it to the issuer immediately. The sooner you act, the better your chances of resolving the issue.
Remember, knowledge is power, and in this case, it could save you $200 or more. Don't let gift card grifters dampen your holiday cheer.
Stay alert, stay informed, and let's make this holiday season a secure and happy one for all.
