Why You Should Avoid Buying A Gift Card From The Display Rack At The Store

HuffPost reports that gift cards bought off store display racks are a common scam vector: fraudsters peel back packaging, copy the card and PIN numbers, reseal them, and use an automated system to drain funds the moment a customer activates the card at checkout. The Federal Trade Commission has flagged gift cards as one of the top payment methods scammers use to steal from consumers.

Fraud experts quoted recommend grabbing cards from the back of a rack rather than the front, since tamperers typically work fast near the front for efficiency, or better yet buying cards kept behind a cashier's counter where tampering is harder. Victims have limited recourse, too, since gift cards lack the legal protections that cover debit and credit transactions, leaving reimbursement up to a retailer's discretion.

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