Can You Buy Me Some Gift Cards?
By Matthew Bradley
Cyber criminals and online scammers continue to evolve and change their tactics as the technologies change around us. One of the most prolific scams seen today is the “gift card scam,” a fraud which involves profiting by convincing an unsuspecting victim to purchase one or multiple gift cards (and then stealing these funds). This article will quickly cover the typical gift card scam and end with a link to the Federal Trade Commission’s website for additional information.
The gift card scam typically starts with an innocent message asking if the victim is available. Something like, “Hi, are you there” signed by a boss or an execute in the organization. If the victim responds, the gift card scammer share an urgent need for the victim to purchase one or several gift cards (for just about any sum of money). Reasons given for this request vary depending on who the scammer is pretending to be, but common ploys are buying gift cards to hand out at an employee function as rewards or sometimes gift cards to help people in need (especially popular if the scammer is pretending to be a pastor or church leader). Sometimes, the email will recommend the individual attempt buying several gift cards from different websites.
Once the gift cards have been purchased, the scammer will ask for a photo of the back of the gift cards (with the security code revealed). This will allow the criminal to drain the value of the gift card remotely (over the internet) and convert it to cash.
This scam is not limited to email only. The proliferation of smart phones makes this scam work equally well through text messaging or social media apps. Criminals rely on victims not checking with the actual person they are pretending to be (for instance through a phone call or face-to-face confirmation), so creating a lookalike Facebook account or similar tactic is usually successful.
In any case, if you see an email, text message, or social media message asking you to purchase gift cards, be careful! Your friends or bosses will not usually make such a request. Similar threats from utility providers to avoid having your electric or other services shutdown should be a red flag. Utilities would never ask for such a round-a-bout method to pay bills.
When faced with this scam, always confirm the request by reaching directly by phone (voice, not text or email). Often the gift card scammer will mention that they can’t be reached by phone (due to poor cell coverage, a dead battery, etc.) in hopes that you won’t call to confirm. As soon as you send the gift card information, the attacker will redeem the card as quickly as possible. Sometimes it is possible to contact the gift card company’s support line to attempt to cancel the gift cards, but these scammers are diligent in their trade and have usually already obtained the value of the card, which can’t be reversed.
For additional information, see the FTC’s webpage: https://www.consumer.ftc.gov/articles/paying-scammers-gift-cards