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What is a gift card scam? There are two types of gift card scams, according to experts. The first involves trying to trick you into paying an impostor with gift cards.
Some scams include the use of a fake caller ID and a generated voice that looks and sounds like a loved one, urgently telling you they are in trouble and need help. In a panic, many people don't...
“Gift card draining” involves criminals recording numbers and PINs from unpurchased gift cards, then placing them back in the packaging.
The preferred method of payment in a technical support scam is through gift cards. Gift cards are favoured by scammers because they are readily available to buy and have less consumer protections in place that could allow the victim to reclaim their money back.
In the context of fraud, using stolen credit card data to purchase gift cards is becoming an increasingly common money laundering tactic. Another way gift card fraud occurs is when a retailer's online systems which store gift card data undergo brute force attacks from automated bots.
Red flags for gift card scams: Unsolicited communication: Be cautious if you receive unexpected phone calls, emails or messages requesting payment using gift cards.