ATLANTA — Scammers are finding new ways to get your hard-earned money this holiday season.
That's why the Better Business Bureau is sounding the alarm when it comes to gift card scams.
"Gift cards are untraceable. Once you send that money out, it's gone," Simone Williams with the Atlanta BBB said.
It’s a high-pressure con that’s already robbed consumers of nearly $700 million this year alone. Williams explained to 11Alive that several scams involve online sales and even made-up legal issues.
“These scammers are calling people and saying you have a warrant, and then to get out of it or to address it, you can pay by gift card only,” she said.
Over 200,000 people reported being scammed out of gift cards to the Federal Trade Commission and the BBB this year.
Williams said most victims are between 18 and 30 years old. She further explained that usually, "these scammers will just take all the money off and just cash out the gift card."
To fight back, some retailers are implementing measures to protect consumers, including fraud-detecting software.
The BBB also recommends contacting the gift card seller or the number on the back of the card to report it if you suspect fraud.
A report from NBC lists the following as additional tips to avoid being scammed:
- Buy e-gift cards. These can go directly from the issuer to the recipient, making them a little more secure.
- Inspect the gift card’s packaging. Try grabbing one in the back of the rack and look carefully for signs of tampering.
- Use the gift card as soon as possible. Additionally, you can also try to register the card if that is an option.
- Save your receipt and file a claim if you notice money missing.