FTC advisory Everyone December 21, 2020

Gift cards top scammers’ wish lists

Scammers trick people into buying gift cards and handing over the PIN numbers on the back. Victims lose money because gift cards are untraceable and cannot be reversed once the scammer redeems them.

Government impersonationTech-support scamImpersonationRomance scamJob scam

How it works

A scammer contacts you by phone, text, email, or popup warning and creates fake urgency. They claim you owe money to the government, have a virus on your computer, won a prize, or can make quick money as a secret shopper. They demand you buy gift cards from specific stores like Walmart, Target, or CVS, read them the PIN numbers on the back, and stay on the phone so you do not talk to store staff. Once you give the numbers, the scammer cashes out the card and you cannot get your money back.

Red flags to watch for

Caller or message demands payment by gift card
They insist you buy from a specific store right now
They tell you not to tell store employees why you are buying
They keep you on the phone while you shop
They ask for the PIN numbers on the back of the card
Sense of urgency or threat (arrest, account closure, virus)

What to do

Do not buy gift cards for anyone who demands payment this way. Gift cards are for gifts only, never for paying debts, taxes, or services. If you already gave a scammer the card numbers, do not delay. Keep the card and receipt, call the gift card issuer immediately, and report the fraud to the FTC at ReportFraud.ftc.gov. Hang up on any caller or popup that pressures you to buy gift cards.

If this reached you

Scam Sentinel would flag it: likely a scam Show it the text, email, or caller and you get a plain-language verdict with the reason, and exactly what to do next. A second opinion in the moment, before you tap, pay, or pick up.

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Source: FTC . Scam Sentinel summarizes official guidance in plain language; it is a decision aid, not a guarantee.