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 !!!
Jun 9, 2018, 8:43 am
#976
Join Date: Dec 2010
Posts: 1,516
I did, and they refiled. However, when I called after 2 weeks, they told me my dispute is rejected because I registered the card after I filed a dispute and this is it. May be I have to try HUCA, because during my previous call CSR said I have to resubmit a claim. I don't know whom to believe - every rep says different things.
WMT Visa GCs are issued by Green Dot Bank, not Metabank.
WMT Visa GCs are issued by Green Dot Bank, not Metabank.
Jun 9, 2018, 8:48 am
#977
Join Date: Dec 2010
Posts: 1,516
Did you buy GCs (gift cards) or GreenDot cards? GCs are backed by a bank like Metabank, or US Bank.
GreenDot cards are almost always cash only, and would be backed by GreenDot/GoBank, neither of which are actual financial institutions.
The CFPB's website pretty much gives you a non-answer for situations like this
However, the CFPB does say that prepaid products from non-bank entities falls under their scope for complaints although it looks like they currently have little to no regulation in that area for them to take any action on those complaints.
GreenDot cards are almost always cash only, and would be backed by GreenDot/GoBank, neither of which are actual financial institutions.
The CFPB's website pretty much gives you a non-answer for situations like this
However, the CFPB does say that prepaid products from non-bank entities falls under their scope for complaints although it looks like they currently have little to no regulation in that area for them to take any action on those complaints.
Jun 9, 2018, 9:58 am
#978
Join Date: Jul 2014
Posts: 3,688
@jk2, when you found out the irregularities on the cards and they won't scan, why didn't you report it immediately? You said it took you days before calling and found out all 3 were drained at a local merchant, 2 days after you bought the cards? You should've reported it soon as you knew something was wrong but hindsight is 20/20; hopefully others learn from your experience to take care of issues like this immediately and not days later. I would've gone to cash dept and showed them the cards soon as I notice irregularities knowing that WM Visa dept will call the store later to investigate. IOW, when Visa Debit calls the store to inquire, store can say it has been reported to them and they saw the cards.
There is a thread regarding AGCs stolen from mailbox that were used at a local merchant the OP also resides. He filed dispute with AXP but I can't remember if he won the dispute since the cards were used in his area. Your situation may be different since the thief may have cloned your card to be able to use it at POS. I remember police report was required by CC. I don't know how Penfed will handle this issue but you may have to file a police report in case they ask for it as part of their investigation. BTW, how much did you load on each card? I'm wondering because you're only claiming loss of $1K.
There is a thread regarding AGCs stolen from mailbox that were used at a local merchant the OP also resides. He filed dispute with AXP but I can't remember if he won the dispute since the cards were used in his area. Your situation may be different since the thief may have cloned your card to be able to use it at POS. I remember police report was required by CC. I don't know how Penfed will handle this issue but you may have to file a police report in case they ask for it as part of their investigation. BTW, how much did you load on each card? I'm wondering because you're only claiming loss of $1K.
Jun 9, 2018, 1:09 pm
#979
Join Date: Jun 2012
Location: New England
Programs: American Gold, Marriott Gold, Hilton Silver
Posts: 5,638
As another poster has mentioned, a police report is your first step.
Jun 9, 2018, 1:34 pm
#980
Join Date: Jul 2014
Posts: 3,688
@jk2, I checked my records for the number given to me to follow up with issues about GDVGC ~ 479 227 2643. You may have to HUCA until you are connected to a rep willing to help. If you haven't tried that number, call them and see if they can help you. I've had good experiences with calling that number, when you call be ready to give the ST#, OP#, TE# TR#, all of these are found on your receipt on top, just below the store address. With that info, rep will see the card history and thereafter call the store concerned and discuss with cash manager how to fix the problem. If you get an uncooperative rep, just thank them and call again.
Note that it may be a PITA for those who cannot go back to the store they bought the GCs to get refund from cash manager. Think more than twice before buying GDVGCs in unknown territories.
Note that it may be a PITA for those who cannot go back to the store they bought the GCs to get refund from cash manager. Think more than twice before buying GDVGCs in unknown territories.
Jun 9, 2018, 2:22 pm
#981
Join Date: Dec 2010
Posts: 1,516
@jk2, I checked my records for the number given to me to follow up with issues about GDVGC ~ 479 227 2643. You may have to HUCA until you are connected to a rep willing to help. If you haven't tried that number, call them and see if they can help you. I've had good experiences with calling that number, when you call be ready to give the ST#, OP#, TE# TR#, all of these are found on your receipt on top, just below the store address. With that info, rep will see the card history and thereafter call the store concerned and discuss with cash manager how to fix the problem. If you get an uncooperative rep, just thank them and call again.
Note that it may be a PITA for those who cannot go back to the store they bought the GCs to get refund from cash manager. Think more than twice before buying GDVGCs in unknown territories.
Note that it may be a PITA for those who cannot go back to the store they bought the GCs to get refund from cash manager. Think more than twice before buying GDVGCs in unknown territories.
This WMT is "known territory" - I purchase VGCs for 4+ years and usually very careful, never had any problems in the past. That's why I did not worry when I saw that one VGC had a bad (partially destroyed) magnetic stripe.
Jun 9, 2018, 2:44 pm
#982
Join Date: Jul 2014
Posts: 3,688
The warning is for travelers who may buy a bunch of VGCs and find out later there's a problem with them; IME, I've been asked to go back to the store I bought them where I got my refund. It'll be a big problem for those who can't go back to the store they bought the problematic GCs so it's best to weigh things if it's worth it to buy while on vacation.
Jun 10, 2018, 3:21 am
#983
Join Date: Dec 2010
Posts: 1,516
When I checked the balance on the cares, I did register one and was lazy to do the same for other 2. As a result Green Dot was OK to refund the money on the registered card and refused to refund unregistered cards.
if all 3 were drained 2 days after you bought them, how come you're just claiming $1K?
The warning is for travelers who may buy a bunch of VGCs and find out later there's a problem with them; IME, I've been asked to go back to the store I bought them where I got my refund. It'll be a big problem for those who can't go back to the store they bought the problematic GCs so it's best to weigh things if it's worth it to buy while on vacation.
The warning is for travelers who may buy a bunch of VGCs and find out later there's a problem with them; IME, I've been asked to go back to the store I bought them where I got my refund. It'll be a big problem for those who can't go back to the store they bought the problematic GCs so it's best to weigh things if it's worth it to buy while on vacation.
Jun 10, 2018, 9:44 am
#984
Join Date: Jul 2014
Posts: 3,688
If that's the case and you decide to do a charge back, I'm sure WM GD will use that reason for denying refunds for the other 2 unregistered cards drained in your area. The challenge is on you to prove you weren't the one who used the cards; hopefully, Penfed believes you. Good luck!
Jun 17, 2018, 7:39 pm
#985
Suspended
Join Date: May 2012
Posts: 233
Where does it say registering cards is a requirement? I would chargeback asap.
Jul 28, 2018, 7:07 pm
#986
Join Date: Oct 2013
Posts: 920
So no one's been hit in SoCal lately? I got GOT earlier in March with USB Visa from Ralph's, but little activity since then. Seems like either the Riverside/Perris Fraud crew is laying low for now or the new packaging has scared them off 
Jul 28, 2018, 7:14 pm
#987
Join Date: Mar 2011
Location: SAN
Programs: Delta Gold. Hilton Diamond. Hyatt Explorist.
Posts: 1,673
Stick with Visa and use them immediately after you buy them.
Aug 5, 2018, 9:22 pm
#988
Suspended
Join Date: May 2012
Posts: 233
Aug 16, 2018, 6:26 am
#989
Join Date: Sep 2005
Location: New England
Programs: AA Exec Plat, Hyatt Globalist, Jetblue Mosaic (past)
Posts: 298
Got hit with fraud on a US Bank $200 mastercard bought at Staples in MA last week. Test purchases at Michaels Stores in CA (came just 5 days after activating) and a couple small bluebird transactions and then took $187 of the $200 out via Bluebird. Called to file dispute and told to call back once charges pending settle but in the meantime they'd block the card to protect the remaining $2 balance. Hahaha. Have the receipt but registered the card right after discovering the fraudulent charges....hopefully will be able to file fraud dispute easily in a few days and then get a favorable outcome.
Card was completely sealed when purchased at Staples in safe suburban location and was never used or even left home so it wasn't in any way physically stolen but rather hacked/guessed. So, as I'm sure is being discussed but just wanted to add my data point.
Card was completely sealed when purchased at Staples in safe suburban location and was never used or even left home so it wasn't in any way physically stolen but rather hacked/guessed. So, as I'm sure is being discussed but just wanted to add my data point.
Aug 16, 2018, 10:40 am
#990
Join Date: Jan 2012
Programs: Marriott/SPG Plat, Hilton Gold
Posts: 887
2 $100 VGC at my Norcal Safeway, due to current promotion $15 off.
I quickly visually inspect the back of packages in checkout, mainly for ripped back tab.
I didn't see anything obviously wrong.
Next day I skinned them both. As I removed the adhesive I noticed....
Hmmm....only 1 spot of glue and it's on the left.
This gummy feels harder than usual.....
Yep, both emptied at differing Walmarts.
UGH!
I phoned in to report and lock. Filled out claim form and mailed.
My guess is they razor open along the left, and fish out with tweezers.
Skim the card details, and monitor for activation.
Since the glue gets in the way all of it is removed.
The put back a little bit on the near edge for
insertion back into package and reglue edges.
I can't see how this is worthwhile doing $100
cards and farming them out to individual purchases
at varying WM locations. The risk/benefit just
doesn't look good to me. But my MS hobby probably
isn't a good use of my time either these days....
In future I will inspect more carefully, and move
to unload more rapidly.
I quickly visually inspect the back of packages in checkout, mainly for ripped back tab.
I didn't see anything obviously wrong.
Next day I skinned them both. As I removed the adhesive I noticed....
Hmmm....only 1 spot of glue and it's on the left.
This gummy feels harder than usual.....
Yep, both emptied at differing Walmarts.
UGH!
I phoned in to report and lock. Filled out claim form and mailed.
My guess is they razor open along the left, and fish out with tweezers.
Skim the card details, and monitor for activation.
Since the glue gets in the way all of it is removed.
The put back a little bit on the near edge for
insertion back into package and reglue edges.
I can't see how this is worthwhile doing $100
cards and farming them out to individual purchases
at varying WM locations. The risk/benefit just
doesn't look good to me. But my MS hobby probably
isn't a good use of my time either these days....
In future I will inspect more carefully, and move
to unload more rapidly.