PSA: Physical Gift Card Fraud

E

elvisimprsntr

Getting comfortable
Dec 26, 2022
191
439
Florida
BACKGROUND

11/20: My sister bought me a physical Home Depot gift card for Xmas from the Torrance, CA location.

12/25: I scratched off the strip only to discover two of the PIN code digits missing. There was no physical evidence of tampering to the card packaging.

IMG_2860.jpeg

12/27: Took gift card to Hawthorne location, only to be told there was only $0.28

IMG_2858.jpeg

Card was used for two on-line purchases on 11/28 and 12/3

Customer service was able to bring up one of the orders for an electric fireplace for $169.00, which included a name, delivery address and phone number. I suspect the address was for an innocent homeowner and the criminals used the tracking number to intercept the package while the homeowner is at work.

IMG_2859.png

Was on phone for 2 hours at Home Depot with corporate fraud department to file a case and get the gift card replaced. While I was at store, another person walked in to complain of the exact same problem.

CRIMINAL MO ACCORDING TO CORPORATE FRAUD DEPARTMENT

1. Criminals steal of bunch of blank gift cards. Not hard to do since there is no RFID tag on the blank cards.
2. Criminals then remove the scratch off strip and deliberately remove 2 of the PIN code digits so you can't use the card.
3. Criminals replace scratch off strip and restore the original card packaging.
4. Criminals put tampered cards back on store display.
5. Criminals keep checking the card number and valid pin for a balance after an unsuspecting victim puts a balance on the card, then immediately use the funds for online purchases.


Apparently, all retailers are experiencing a high volume of similar gift card fraud.
 
  • Wow
  • Sad
  • Like
Reactions: mat200, Arjun, gwminor48 and 8 others
Thanks for the PSA, @elvisimprsntr.

I detest thieves. I think they should have at least a couple of their fingers removed if and when caught. :angry:
 
  • Like
Reactions: mat200
After my wife passed, I received a handful of gift cards. At some point, maybe 2 years later, I went to convert some of them to Amazon gift cards because it was just easier.

In order to use them online, I had to register them. In the process of registering, I found that 2 of the 3 had severely lower balances than they should have.

The cards were purchased in Indiana, and the activity on the cards was from Targets in California.

Luckily the company replaced the cards, but it's crazy that they never had the cards in hand, all numbers were intact, and they were able to use the funds from the cards.
 
  • Sad
  • Like
Reactions: mat200, gwminor48, sdkid and 1 other person
Had the same issue, got a HD card for $500 in a sealed cardboard pouch at Kroger in TN. Opened it and pin was completely destroyed. Kroger refunded the charge, they now have special hangers for the cards so once removed from the rack they can't be put back without tearing the packaging. This is assuming that the thieves do this at store level...
 
  • Like
Reactions: TonyR, mat200, bigredfish and 1 other person
farfromuman said:
Had the same issue, got a HD card for $500 in a sealed cardboard pouch at Kroger in TN. Opened it and pin was completely destroyed. Kroger refunded the charge, they now have special hangers for the cards so once removed from the rack they can't be put back without tearing the packaging. This is assuming that the thieves do this at store level...
Click to expand...

My understanding from talking to HD corporate fraud department is HD is switching gift card vendors, but they were too cheap to take the old cards out of retail distribution. I hope the bean counter who made that decision did not get their Xmas bonus.
 
  • Like
Reactions: TonyR, mat200, quiet.tea and 2 others
I went to buy a Visa gift card at our local Walgreens before Xmas. They now keep them behind the counter. Moved the entire display there.
 
  • Like
Reactions: TonyR and mat200
Last August 2024 I had a similar problem with a $75 Home Depot gift card given to me by a neighbor I helped. The card was missing the PIN number. The store manager told me they had a bunch of cards with defective printing and pulled everything from the shelf. Mine must have been missed, or thieves are involved and did more BS to their card inventory.

Getting this resolved was a hassle because I did not have a receipt (it was a gift). It took three trips to the local store, several phone calls, and a lot of hair pulling to get a replacement PIN number. Miscommunication between corporate and the local store was involved, and I was just a guy caught in-between. Took weeks to resolve.

First purchase went without a hitch. A month later I tried to buy something else and was told the card was empty. Another trip to the customer service desk and they said the card had two purchases; The $10 transaction I made in the store on the day the PIN was re-issued and an online transaction (that emptied the card) that was made a week later. That second purchase was not mine. WTH.

So another call to Corporate customer service. When I used the words "fraudulent purchase" they did not give me the run around. This time I was transferred to a person that immediately re-issued a new e-card via email for the full $75.

TLDR; Don't buy Home Depot Gift Cards.
 
  • Like
Reactions: TonyR and mat200
finding numerous reports on youtube on this topic ..


Some reports of significant organized crime

Fed Task Force Project Red Hook ..

putting giftcards back on shelf :

1735939361824.png

Homeland Security ties gift card scams to China
 
  • Like
Reactions: TechieTech, TonyR and elvisimprsntr
Lesson for consumers ..

Better to give cash
 
  • Like
Reactions: samplenhold
You must log in or register to reply here.
Top Bottom