Apr 13, 2015, 12:55 pm
Last edit by: phant0m
************Gift Card Fraud Alert************
http://www.consumerfinance.gov/complaint/
How can I protect myself?
1) Do not buy a card that has been opened or looks tampered with. Inspect all packaging thoroughly before purchasing. Many posters say that the packaging looks pristine, but the glue seems excessive once opened. Open the package to inspect the glue before you pay for it, if the cashier allows that.
2) Use the card quickly. The card has no value until YOU add money. If you spend your funds before the fraudster figures out that it's loaded, you win. Or at least register your card. That might give you another layer of security but beware it might NOT be bulletproof.
3) Keep your receipts and packaging until your card is liquidated. You will need the receipt to make a claim.
I'll add a few more from the school of hard knocks (also now known as the school of the paranoid MSer)....
4) If it's the only card of its type left on the rack, should you buy it or not? Consider: did the fraudster remove all the other cards so some sucker would quickly come along quickly and buy the card he has placed there purposefully?
5) A corollary to #4: Should you buy the top card in a stack of cards, or dig deeper and pick out one a distance from the top? Did the fraudster put the card he wants some sucker to buy at the top of the stack so it would sell quickly and he could do his evil deed?
6) Open card packages soon after purchase. Don't wait a few days. If anything looks amiss (too much glue inside the pack, too little glue inside, glue in the wrong location, mag stripe doesn't look right, some card numbers illegible), call the 800 number on the back of the card immediately to report it and ask about a replacement.
Each link of Gift Card MS:
1. Gift Card issuer: Vanilla, Metabank, US Bank, Green Dot etc. There can be data hack. It is rare.
2. GC Merchant: grocery and drug stores. Online GC sellers (Simon Mall, Gift Card Mall etc.). The data hack is possible, but rare.
3. Shipping: GCs can be stolen. But this is not fraud.
4. GC Cash Out: Walmart, Dollar General, Family Dollar, CVS etc. This is very rare.
For unsold GCs with bar code exposed, the store is required to destroy the GCs. Fraud can happen when the unsuspecting store staff return the unsold GCs back to the shelf. But it is very rare to have a batch of GCs all tampered and returned to the store shelf.
Here is a web site with information about gift card fraud:
http://www.tripwire.com/state-of-sec...-so-lucrative/
Here are some stores where FT members have experienced fraud:
List of Stores to avoid or be Alert:
(1) Reported by IWOL in So Cal:
VONS => Ventura Blvd & Reseda
Reported by Lovenola:
Ralph's in Downey at 9200 Lakewood Blvd.
Ralph's in Pasadena at 211 E. Foothill Blvd.
Ralph's in Monrovia at 1193 Huntington Dr.
3) Reported by domino007
Ralphs in 13321 Jamboree Rd, Tustin
Ralphs in Irvine on Alton, Walnut and Irvine Blvd
Reported by DaveInLA:
Ralphs in Brea- 305 W Imperial Hwy. VGC was purchased in 12/2014.
Reported by 46sky:
Ralphs in Culver City on Venice Blvd - VGC purchased 2/2015.
Reported by Chrisflyer66:
Ralphs in San Diego on Sports Arena - VGCs purchased in 2014-2015.
Ralph's - 1435 W Chapman Ave, Orange, CA 92868 - Purchased 12/2019
Seems to me that only People in so.Cal are reporting
http://www.consumerfinance.gov/complaint/
How can I protect myself?
1) Do not buy a card that has been opened or looks tampered with. Inspect all packaging thoroughly before purchasing. Many posters say that the packaging looks pristine, but the glue seems excessive once opened. Open the package to inspect the glue before you pay for it, if the cashier allows that.
2) Use the card quickly. The card has no value until YOU add money. If you spend your funds before the fraudster figures out that it's loaded, you win. Or at least register your card. That might give you another layer of security but beware it might NOT be bulletproof.
3) Keep your receipts and packaging until your card is liquidated. You will need the receipt to make a claim.
I'll add a few more from the school of hard knocks (also now known as the school of the paranoid MSer)....
4) If it's the only card of its type left on the rack, should you buy it or not? Consider: did the fraudster remove all the other cards so some sucker would quickly come along quickly and buy the card he has placed there purposefully?
5) A corollary to #4: Should you buy the top card in a stack of cards, or dig deeper and pick out one a distance from the top? Did the fraudster put the card he wants some sucker to buy at the top of the stack so it would sell quickly and he could do his evil deed?
6) Open card packages soon after purchase. Don't wait a few days. If anything looks amiss (too much glue inside the pack, too little glue inside, glue in the wrong location, mag stripe doesn't look right, some card numbers illegible), call the 800 number on the back of the card immediately to report it and ask about a replacement.
Each link of Gift Card MS:
1. Gift Card issuer: Vanilla, Metabank, US Bank, Green Dot etc. There can be data hack. It is rare.
2. GC Merchant: grocery and drug stores. Online GC sellers (Simon Mall, Gift Card Mall etc.). The data hack is possible, but rare.
3. Shipping: GCs can be stolen. But this is not fraud.
4. GC Cash Out: Walmart, Dollar General, Family Dollar, CVS etc. This is very rare.
For unsold GCs with bar code exposed, the store is required to destroy the GCs. Fraud can happen when the unsuspecting store staff return the unsold GCs back to the shelf. But it is very rare to have a batch of GCs all tampered and returned to the store shelf.
Here is a web site with information about gift card fraud:
http://www.tripwire.com/state-of-sec...-so-lucrative/
Here are some stores where FT members have experienced fraud:
List of Stores to avoid or be Alert:
(1) Reported by IWOL in So Cal:
VONS => Ventura Blvd & Reseda
Reported by Lovenola:
Ralph's in Downey at 9200 Lakewood Blvd.
Ralph's in Pasadena at 211 E. Foothill Blvd.
Ralph's in Monrovia at 1193 Huntington Dr.
3) Reported by domino007
Ralphs in 13321 Jamboree Rd, Tustin
Ralphs in Irvine on Alton, Walnut and Irvine Blvd
Reported by DaveInLA:
Ralphs in Brea- 305 W Imperial Hwy. VGC was purchased in 12/2014.
Reported by 46sky:
Ralphs in Culver City on Venice Blvd - VGC purchased 2/2015.
Reported by Chrisflyer66:
Ralphs in San Diego on Sports Arena - VGCs purchased in 2014-2015.
Ralph's - 1435 W Chapman Ave, Orange, CA 92868 - Purchased 12/2019
Seems to me that only People in so.Cal are reporting
Gift Card Fraud !!!
Feb 9, 2022, 11:57 pm
#1141
Join Date: Feb 2011
Posts: 751
I am presuming it’s a Vanilla vgc issued by InComm if bought at CVS. They only carry Vanillas in my area. InComm telling you to contact Target is total BS. Store will not return your funds as GC sales are final. If you can prove to them that card package was tampered with, they MAY offer help….don’t bank on it. If you get the run around from InComm, which I’m sure you will, PLEASE file a complaint with your state AG office ASAP online. Be detailed in your complaint. You will get faster results with getting your $$$ returned. GOOD LUCK!
Feb 10, 2022, 12:26 am
#1142
Join Date: Jul 2021
Posts: 238
I can assure you that your state AG office complaint will get attention and a resolution faster than a chargeback investigation by cc….which can take 60 days to resolve. AG and cc banks are well aware of the scams perpetrated everyday
Feb 10, 2022, 12:28 am
#1143
Join Date: Jul 2021
Posts: 238
Your guess is certainly correct from my research. Scammers have software that scans GC numbers and pounce when they hit a card that is activated.
Feb 10, 2022, 1:41 pm
#1144
Join Date: Jul 2009
Location: SJC
Programs: AA, AS, Marriott
Posts: 6,059
Your complaint is not with the retailer where the card was purchased (CVS), which is what you would be disputing with a chargeback. CVS would say, "We provided the goods and services as indicated." Just so I understand the circumstances the card inside the package was the same one as the one that was activated, correct? That is to say it wasn't a swapped card inside the packaging. That is the only possible case that comes to mind where a dispute will carry any weight because the retailer did not provide goods or services that matched your expectation. Do you still have the purchase receipt from CVS to provide to the gift card issuer?
What happened in this case was someone made fraudulent purchases with your card, and you are well within your consumer rights to get the money back for those fraudulent purchases. If the transaction at Target went through the Visa or Mastercard networks you're even further protected. The gift card issuer has to eat the loss in this case based on payment network rules (non-EMV card).
I would exhaust all avenues with the gift card issuer, including complaints to the appropriate payment network, and only contact the AG's office with a complaint against the gift card issuer only if the gift card issuer is non-responsive. The activation fee of these cards is supposed to cover the cost and operations for these cards, including circumstances where there are fraudulent purchases on the card.
If you're in this game long enough things like this are unfortunately bound to happen from time to time. It happened to me once with a swapped card purchased at CVS. I fortunately was able to get Incomm to swap out the card before I incurred a loss, but it was quite the scare at the time. Stay calm, take early action, and be persistent. It may take awhile, but you'll be able to get your money back eventually.
Feb 10, 2022, 4:18 pm
#1145
Join Date: Jul 2021
Posts: 238
I would not pursue a chargeback.
Your complaint is not with the retailer where the card was purchased (CVS), which is what you would be disputing with a chargeback. CVS would say, "We provided the goods and services as indicated." Just so I understand the circumstances the card inside the package was the same one as the one that was activated, correct? That is to say it wasn't a swapped card inside the packaging. That is the only possible case that comes to mind where a dispute will carry any weight because the retailer did not provide goods or services that matched your expectation. Do you still have the purchase receipt from CVS to provide to the gift card issuer?
What happened in this case was someone made fraudulent purchases with your card, and you are well within your consumer rights to get the money back for those fraudulent purchases. If the transaction at Target went through the Visa or Mastercard networks you're even further protected. The gift card issuer has to eat the loss in this case based on payment network rules (non-EMV card).
I would exhaust all avenues with the gift card issuer, including complaints to the appropriate payment network, and only contact the AG's office with a complaint against the gift card issuer only if the gift card issuer is non-responsive. The activation fee of these cards is supposed to cover the cost and operations for these cards, including circumstances where there are fraudulent purchases on the card.
If you're in this game long enough things like this are unfortunately bound to happen from time to time. It happened to me once with a swapped card purchased at CVS. I fortunately was able to get Incomm to swap out the card before I incurred a loss, but it was quite the scare at the time. Stay calm, take early action, and be persistent. It may take awhile, but you'll be able to get your money back eventually.
Your complaint is not with the retailer where the card was purchased (CVS), which is what you would be disputing with a chargeback. CVS would say, "We provided the goods and services as indicated." Just so I understand the circumstances the card inside the package was the same one as the one that was activated, correct? That is to say it wasn't a swapped card inside the packaging. That is the only possible case that comes to mind where a dispute will carry any weight because the retailer did not provide goods or services that matched your expectation. Do you still have the purchase receipt from CVS to provide to the gift card issuer?
What happened in this case was someone made fraudulent purchases with your card, and you are well within your consumer rights to get the money back for those fraudulent purchases. If the transaction at Target went through the Visa or Mastercard networks you're even further protected. The gift card issuer has to eat the loss in this case based on payment network rules (non-EMV card).
I would exhaust all avenues with the gift card issuer, including complaints to the appropriate payment network, and only contact the AG's office with a complaint against the gift card issuer only if the gift card issuer is non-responsive. The activation fee of these cards is supposed to cover the cost and operations for these cards, including circumstances where there are fraudulent purchases on the card.
If you're in this game long enough things like this are unfortunately bound to happen from time to time. It happened to me once with a swapped card purchased at CVS. I fortunately was able to get Incomm to swap out the card before I incurred a loss, but it was quite the scare at the time. Stay calm, take early action, and be persistent. It may take awhile, but you'll be able to get your money back eventually.
Feb 10, 2022, 4:27 pm
#1146
Join Date: Aug 2015
Posts: 2,061
I would not pursue a chargeback.
Your complaint is not with the retailer where the card was purchased (CVS), which is what you would be disputing with a chargeback. CVS would say, "We provided the goods and services as indicated." Just so I understand the circumstances the card inside the package was the same one as the one that was activated, correct? That is to say it wasn't a swapped card inside the packaging. That is the only possible case that comes to mind where a dispute will carry any weight because the retailer did not provide goods or services that matched your expectation. Do you still have the purchase receipt from CVS to provide to the gift card issuer?
What happened in this case was someone made fraudulent purchases with your card, and you are well within your consumer rights to get the money back for those fraudulent purchases. If the transaction at Target went through the Visa or Mastercard networks you're even further protected. The gift card issuer has to eat the loss in this case based on payment network rules (non-EMV card).
I would exhaust all avenues with the gift card issuer, including complaints to the appropriate payment network, and only contact the AG's office with a complaint against the gift card issuer only if the gift card issuer is non-responsive. The activation fee of these cards is supposed to cover the cost and operations for these cards, including circumstances where there are fraudulent purchases on the card.
If you're in this game long enough things like this are unfortunately bound to happen from time to time. It happened to me once with a swapped card purchased at CVS. I fortunately was able to get Incomm to swap out the card before I incurred a loss, but it was quite the scare at the time. Stay calm, take early action, and be persistent. It may take awhile, but you'll be able to get your money back eventually.
Your complaint is not with the retailer where the card was purchased (CVS), which is what you would be disputing with a chargeback. CVS would say, "We provided the goods and services as indicated." Just so I understand the circumstances the card inside the package was the same one as the one that was activated, correct? That is to say it wasn't a swapped card inside the packaging. That is the only possible case that comes to mind where a dispute will carry any weight because the retailer did not provide goods or services that matched your expectation. Do you still have the purchase receipt from CVS to provide to the gift card issuer?
What happened in this case was someone made fraudulent purchases with your card, and you are well within your consumer rights to get the money back for those fraudulent purchases. If the transaction at Target went through the Visa or Mastercard networks you're even further protected. The gift card issuer has to eat the loss in this case based on payment network rules (non-EMV card).
I would exhaust all avenues with the gift card issuer, including complaints to the appropriate payment network, and only contact the AG's office with a complaint against the gift card issuer only if the gift card issuer is non-responsive. The activation fee of these cards is supposed to cover the cost and operations for these cards, including circumstances where there are fraudulent purchases on the card.
If you're in this game long enough things like this are unfortunately bound to happen from time to time. It happened to me once with a swapped card purchased at CVS. I fortunately was able to get Incomm to swap out the card before I incurred a loss, but it was quite the scare at the time. Stay calm, take early action, and be persistent. It may take awhile, but you'll be able to get your money back eventually.
Feb 10, 2022, 7:21 pm
#1147
Join Date: Aug 2015
Programs: Hyatt Glob; M Titan; Hil Dia; IHG P, AMB;
Posts: 79
I see. Why theres more tampered card from USB than other issuers? I never had problem with SMGC before when Wally was my Disney land. I sometimes kept those for over a month but money was always there. Do they run program with front 8 numbers fixed targeting USB? Thanks.
Feb 10, 2022, 11:01 pm
#1148
Join Date: Jul 2021
Posts: 238
I see. Why theres more tampered card from USB than other issuers? I never had problem with SMGC before when Wally was my Disney land. I sometimes kept those for over a month but money was always there. Do they run program with front 8 numbers fixed targeting USB? Thanks.
Feb 11, 2022, 2:15 am
#1149
Join Date: Jul 2009
Location: SJC
Programs: AA, AS, Marriott
Posts: 6,059
In my case, I had a swapped OneVanilla debit card that I had purchased at CVS. I physically inspected the packaging for signs of tampering and didn't see any. Furthermore, I had not had an issue with this location in the past. I immediately opened the packages in my car in the parking lot and called to set a custom PIN and verify the balances. I got to the fourth and final card I had bought and I noticed the glue on the back of the card attaching it to the packaging wasn't the silicone style but rather hard glue like dried super glue. I immediately had a bad feeling, which was confirmed when I called and had the automated line say the information I had provided was invalid.
I called up InComm customer service, and the rep gave me an e-mail address to send photos of the card, packaging, my purchase receipt, and my driver license. In this case since there was a real OneVanilla in the packaging InComm activated the one in my possession by the next morning. After verifying the balance with the 800 number I quickly ran over to do a test charge followed by a MO to liquidate the balance.
After that incident I discovered it was possible tilt the package and peer into the plastic window at a slight angle to 1) verify that there was, in fact, a OneVanilla debit card inside and 2) read the expiration mm/yy date on the card to match the back of the packaging. I realize the 2nd item isn't foolproof, but in my case of the swapped card the expiration dates were mismatched.
I have another acquaintance who had a card swapped out for a PetSmart card. He was eventually able to get his money back after some back and forth with the card issuer. In such as case one might have a valid claim with a chargeback since you did not receive the goods or services you thought you had purchased.
Yes, it's an option to pursue. However, sometimes being persistent / HUCA can get the result you want faster than even filing a complaint.
Feb 11, 2022, 2:20 pm
#1150
Join Date: Jul 2021
Posts: 238
I was trying to confirm with OP that it was the case of a cloned card, which I think it was. In this case's the OPs issue is with the gift card issuer, not with the merchant who sold the card (CVS) or the merchant where the fraudulent transaction was made (Target).
In my case, I had a swapped OneVanilla debit card that I had purchased at CVS. I physically inspected the packaging for signs of tampering and didn't see any. Furthermore, I had not had an issue with this location in the past. I immediately opened the packages in my car in the parking lot and called to set a custom PIN and verify the balances. I got to the fourth and final card I had bought and I noticed the glue on the back of the card attaching it to the packaging wasn't the silicone style but rather hard glue like dried super glue. I immediately had a bad feeling, which was confirmed when I called and had the automated line say the information I had provided was invalid.
I called up InComm customer service, and the rep gave me an e-mail address to send photos of the card, packaging, my purchase receipt, and my driver license. In this case since there was a real OneVanilla in the packaging InComm activated the one in my possession by the next morning. After verifying the balance with the 800 number I quickly ran over to do a test charge followed by a MO to liquidate the balance.
After that incident I discovered it was possible tilt the package and peer into the plastic window at a slight angle to 1) verify that there was, in fact, a OneVanilla debit card inside and 2) read the expiration mm/yy date on the card to match the back of the packaging. I realize the 2nd item isn't foolproof, but in my case of the swapped card the expiration dates were mismatched.
I have another acquaintance who had a card swapped out for a PetSmart card. He was eventually able to get his money back after some back and forth with the card issuer. In such as case one might have a valid claim with a chargeback since you did not receive the goods or services you thought you had purchased.
Yes, it's an option to pursue. However, sometimes being persistent / HUCA can get the result you want faster than even filing a complaint.
In my case, I had a swapped OneVanilla debit card that I had purchased at CVS. I physically inspected the packaging for signs of tampering and didn't see any. Furthermore, I had not had an issue with this location in the past. I immediately opened the packages in my car in the parking lot and called to set a custom PIN and verify the balances. I got to the fourth and final card I had bought and I noticed the glue on the back of the card attaching it to the packaging wasn't the silicone style but rather hard glue like dried super glue. I immediately had a bad feeling, which was confirmed when I called and had the automated line say the information I had provided was invalid.
I called up InComm customer service, and the rep gave me an e-mail address to send photos of the card, packaging, my purchase receipt, and my driver license. In this case since there was a real OneVanilla in the packaging InComm activated the one in my possession by the next morning. After verifying the balance with the 800 number I quickly ran over to do a test charge followed by a MO to liquidate the balance.
After that incident I discovered it was possible tilt the package and peer into the plastic window at a slight angle to 1) verify that there was, in fact, a OneVanilla debit card inside and 2) read the expiration mm/yy date on the card to match the back of the packaging. I realize the 2nd item isn't foolproof, but in my case of the swapped card the expiration dates were mismatched.
I have another acquaintance who had a card swapped out for a PetSmart card. He was eventually able to get his money back after some back and forth with the card issuer. In such as case one might have a valid claim with a chargeback since you did not receive the goods or services you thought you had purchased.
Yes, it's an option to pursue. However, sometimes being persistent / HUCA can get the result you want faster than even filing a complaint.
I’ve been lucky with CVS Vanilla vgc in my area….but I don’t live in a metro area either…and have never had a fraud problem using Vanillas. It also helps that the education system in my state ranks near bottom in US….folks just ain’t smart enough here to pull off an elaborate fraud! 😝😝
Feb 12, 2022, 1:24 am
#1151
Join Date: Jul 2009
Location: SJC
Programs: AA, AS, Marriott
Posts: 6,059
Even if they've swapped cards inside a package they will still use a cloned card or do a card not present transaction. The reason they swap the cards is to present a barrier to the purchaser from using the funds before the scammers find out a card has been activated. For instance, even if you intend to drain the card quickly, you might not check the balance and assume it has been activated only to find out the card hasn't been when you try to use it.
Feb 12, 2022, 9:38 pm
#1152
Join Date: Feb 2011
Posts: 751
My case the packing showed no signs of being tampered, but the card inside was. 3 digit security code was even scratched off.
Feb 13, 2022, 3:18 am
#1153
Join Date: Jul 2009
Location: SJC
Programs: AA, AS, Marriott
Posts: 6,059
Feb 13, 2022, 12:30 pm
#1154
Join Date: Jun 2012
Location: New England
Programs: American Gold, Marriott Gold, Hilton Silver
Posts: 5,640
If they cloned the card (or wrote down the info to use online) they can still leave the original card in the packaging for the activation barcode on the back, but they might demagnetize/scramble the magstripe and/or scratch off the security code to present a barrier to the purchaser from using the funds before they drain it.
Feb 13, 2022, 9:38 pm
#1155
Join Date: Feb 2011
Posts: 751
If they cloned the card (or wrote down the info to use online) they can still leave the original card in the packaging for the activation barcode on the back, but they might demagnetize/scramble the magstripe and/or scratch off the security code to present a barrier to the purchaser from using the funds before they drain it.