NBC 5 Responds

Shopping for gift cards? Here's what to look for

According to the National Retail Federation, shoppers expect to spend $28.6 billion on gift cards this season

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Earlier this year, NBC 5 Responds tracked consumer complaints about vanishing gift card balances. Consumers reported someone else was able to empty the card before the gift could be used.

In June, we told you Burleson Police arrested two people, accused of putting tampered gift cards on North Texas store shelves. This holiday season, we went back to Burleson and asked the police to go shopping with us to show us what they would look for to avoid a tampered card.

GIFT CARDS FLOWING

According to the National Retail Federation, shoppers expect to spend $28.6 billion on gift cards this season. Each consumer, on average, is estimated to buy three to four gift cards.

To ensure every penny gets to your intended recipient, Burleson Police said shoppers can look for subtle signs someone else got into a gift card package before buying it.

“Use the light to take a look and see the quality control,” said Burleson Police’s Collin Gregory. “There shouldn't be anything that is torn, there shouldn't be anything that's bent, you shouldn't see anything that looks wavy. It should just be nice and flat.”

WHY CONSUMERS SHOULD BE ALERT

Throughout the year, NBC 5 Responds has told you about suspected gift card draining schemes. Law enforcement explained that’s when criminals take new gift cards before they’re sold and steal information like card numbers and security codes off the cards. Crooks then put tampered cards back on store racks. When an unsuspecting consumer activates a compromised card, criminals can drain the balance remotely. Leaving some consumers with worthless cards.

Law enforcement said organized criminal networks are often behind tampering and gift card draining is not limited to one store, brand, city or even state.

SHOP WITH A PLAN

“We have this packaging right here. It’s already telling you important instructions. If anything looks wrong, don't purchase it,” said Officer Jay Davis of the Burleson Police Department.

Davis pointed out what was right about the cards he picked up, “The tear away still looks like it’s sealed here. The card on the inside of this packaging appears to be lined up and it doesn't appear that this card is bubbled at all.”

Gift cards should look like they’re fresh out of the factory, said BPD. Any bubbles or ripples in the package may be a sign someone used steam or heat to unseal,and then reseal the card package by hand. The edges of a gift card package should line up neatly and there shouldn’t be any cuts or bends. Feel for any unusual seams within the gift card packaging.

If the security scratch-off is visible, is it on straight?

“Does this scratch-out portion right here look like it's been applied manually? Does it look like it's off-center? Does it look like it's crooked in some form or fashion?” Davis said.

Davis points out that criminals may put a big stack of tampered cards on a rack. If one feels off, consumers shouldn’t just reach for the next one. Instead, alert store management.

The Retail Gift Card Association said it’s launching a new public awareness effort with tips to spot tampering. The RGCA tells NBC 5 Responds it continues to collaborate with stakeholders along the supply chain, like card processors and manufacturers, government agencies and law enforcement.

“This holiday season, shoppers will likely see new and improved gift card packaging, specifically designed to add more security and allow consumers to more easily recognize signs of tampering,” added Kim Sobasky, RGCA spokesperson.

The RCGA recommends shoppers inspect gift cards and packaging to look for manipulation. Look for PIN scratch-offs or labels that are partially or fully missing. Avoid cards or card packaging with elements that contain wrinkles.

The RCGA said consumers should buy gift cards directly from trusted sources and brands, especially when shopping online. If you find a deal that seems too good to be true and it’s from an unknown source or website, the RCGA said consumers should think twice about buying.

Only send physical gift cards via trackable shipping methods. Keep your original purchase receipt and ask for an additional gift receipt for the recipient.

BPD said consumers can ask a store if they have gift cards that are locked away. Or, consumers can purchase a digital gift card from a reputable source, like the actual store website. Ensure you’re inputting the correct email address for the recipient and let them know an e-gift card is coming.

If there’s an issue with a physical gift card, take the activation receipt to the store where you purchased the card.

 When we met BPD at a Walmart store in Burleson, the cards BPD picked up, looked pristine.

“That's nice and smooth and I would say this is a good card,” said Gregory.

A sign and a card are good to give.

NBC 5 Responds is committed to researching your concerns and recovering your money. Our goal is to get you answers and, if possible, solutions and a resolution. Call us at 844-5RESPND (844-573-7763) or fill out our customer complaint form.

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