The Use of Gift Cards as a Scam Payment Method Has Increased Dramatically, FTC Data Shows
The Agency Says that in the First Nine Months of 2021, Americans Lost $148 M in Gift Card Scams, More than All of 2020.
Last updated on December 13, 2021
According to the US Federal Trade Commission (FTC), customers across the country reported losing $148 million in scams where gift cards were used as a payment method. This amount is more than what was reported for the entire year of 2020.
Almost 40,000 Americans said they paid a scammer with a gift card during that time frame, with the majority of them indicating they paid scammers mimicking big organizations or government entities.
This type of scam payment has increased every year during the last three years, now reaching staggering numbers both in the number of reports and the total amount of losses.
Since 2018, both the numbers of consumers filing reports in which gift cards were the form of payment to scammers and the amount they have reported lost have increased steadily.
The FTC has resources for consumers, including information on how to contact gift card companies to try to stop payments to scammers at ftc.gov/giftcards.
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