Holiday Gift Card Scam Alert

• 11/21/2024

Everyone loves gift cards—they’re like cash to spend at your favorite stores and restaurants!

But scammers love them too, and for all the wrong reasons. Here’s what you need to know about gift card scams this holiday season.

How the Scams Play Out

1. IRS Gift Card Scam: You receive a threatening message claiming to be from the IRS, stating you’re at risk of arrest for tax evasion unless you pay immediately using a gift card, often an iTunes card. Remember, the IRS does not collect payments this way!
2. Sweepstakes Gift Card Scam: You’re told you’ve won a trip to the Cayman Islands but must pay a processing fee with a gift card. Spoiler: you’ll never see that vacation.
3. Utility Gift Card Scam: A caller threatens to cut off your utilities unless you pay with a gift card. Don’t fall for it—your lights won’t go out if you don’t comply!
4. Balance-Check Gift Card Scam: You buy a discounted gift card online, and the seller asks you to confirm the balance over the phone. Sharing those numbers lets them drain your card.

How to Spot a Gift Card Scam

• The IRS will never contact you via phone, text, or email.
• No legitimate business will require payment via gift card.
• If you didn’t enter a sweepstakes, you likely didn’t win.
• Urgent calls or messages are often scams.
• Always purchase gift cards from reputable sellers, and never share card numbers online or over the phone.

What to Do If You’ve Been Scammed

1. Contact the issuer of the gift card immediately.
2. Block the scammer’s number and mark their emails as spam.
3. Report the scam to the FTC.

Stay vigilant and enjoy a safe and scam-free holiday season!