As Christmas approaches, watch out for gift card scams

With Christmas right around the corner, many are grabbing last-minute gift cards — but scammers are counting on that.

Washington State Attorney General (AG) Nick Brown, along with attorneys general from 13 other states, launched a public service announcement (PSA) campaign on gift card fraud.

Check for signs of gift card tampering

Gift card tampering is a common issue. Thieves will steal inactive gift cards from retail stores, obtain the card and PIN number, return the gift card to the store, detect when the card is purchased, and then drain the funds from the card by buying items that are later sold on the secondary market, according to the Gift Card Prevention Alliance.

Brown advised consumers to inspect gift card packaging to ensure it’s sealed and the PIN is covered.

Only check balances at official websites

He also said to only check balances at the official retailer’s website.

Never pay a debt or claim a prize with gift cards

Lastly, he recommended never paying a debt or claiming a prize with a gift card.

Scammers will contact victims to buy gift cards

The AG’s Office stated gift card scams often involve fraudsters impersonating trusted organizations or individuals who pressure victims to purchase gift cards and share the codes.

A scammer will contact a victim through an unsolicited phone call, text, or social media message, claiming to be a trustworthy figure. The scammer will then warn of dangerous consequences unless the victim buys a gift card and provides the card number and PIN as payment.

If this happens, the Gift Card Prevention Alliance advised saving evidence such as call logs, messages, and receipts. Next, call the gift card company and tell them what happened, and then call local police to report the fraud.

“Gift cards are a holiday favorite and safe to buy, but organized retail crime groups are out there committing gift card fraud,” Brown stated.

Consumers are encouraged to report gift card fraud to the AG’s Office immediately. To file a complaint, go here.

Follow Julia Dallas on X. Read her stories here. Submit news tips here.