Scammers can tamper with gift cards on store racks, copy their numbers and PINs, then drain the balance after activation. Experts advise choosing cards farther back on a rack or behind the cashier, inspecting packaging and keeping the receipt.
Scammers may peel off a card’s protective film and hide the tampering; some put fake-barcode stickers over the real barcode. AARP fraud expert Kathy Stokes said gift cards lack the Electronic Funds Transfer Act protections that apply to debit and credit cards, and retailers are not guaranteed to reimburse fraud losses.
Buying an online gift card from a reputable retailer can avoid physical tampering, but is not foolproof if the card database is breached. The FTC says gift cards are for gifts, not payments; scammers may pressure people to share card numbers to pay fake bills or tax demands. If funds are misused, experts recommend contacting the retailer immediately.
