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Gift card fraud: a prevention guide for resellers and retailers — what US FTC complaint data shows
Quick answer
- The FTC’s 2024 Consumer Sentinel Network Data Book lists 41,120 fraud reports involving a gift card or reload card, with $212 million in total reported loss in the payment-method table.
- These figures are payment-method reports, not a fraud rate or a count of cards sold; only about 18% of the total reports in the CSV include a payment method.
- For businesses selling cards, prevention has two stages: Sourcing and buying stock and Selling cards to end customers.
The key number
The payment-method table provides the figures used below. These figures cover reports that included a payment method; they do not represent every fraud report. (FTC Consumer Sentinel Network Data Book 2024, checked 19 Oct 2026, 09:44 Dubai time, UTC+4.)
Our calculation from FTC data:
| Measure | Calculation | Change / result |
|---|---|---|
| Gift card or reload card reports | 41,120 in 2024 − 41,632 in 2023 = −512 reports | approximately −1.23% |
| Total reported loss in the table | $212M − $217M = −$5M | approximately −2.30% |
| Gift card or reload card reports as a share of reports with a payment method | 41,120 ÷ 475,905 = approximately 8.64% | approximately 8.64% |
| Reports with a payment method | 475,905 ÷ 2,600,678 = approximately 18.30% | approximately 18.30% |
The reports-with-a-payment-method result is consistent with the CSV’s rounded figure of 18% of total.
The 2023 figures are 41,632 reports and $217M in reported loss. The 2024 total number of fraud reports is 2,600,678, while 475,905 reports include a payment method. (FTC Consumer Sentinel Network Data Book 2023, checked 19 Oct 2026, 09:44 Dubai time, UTC+4.)
What this means for resellers and retailers
The table is a useful warning signal, but it needs to be read carefully. The gift card or reload card figure is not a fraud rate or a count of cards sold. It is a payment-method category within FTC fraud reports.
Only about 18% of the total reports in the CSV include a payment method. The payment-method table therefore provides important context, but it does not describe every reported incident.
The FTC’s consumer guidance describes a recurring pattern: scammers create urgency, direct people to a particular card and store, and ask for the card number and PIN. For a business selling cards, prevention therefore has two stages:
- Sourcing and buying stock
- Selling cards to end customers
Stage 1: Sourcing and buying stock
The FTC advises consumers to use stores they know and trust, avoid online auction sites because cards may be fake or stolen, inspect protective stickers and PIN areas, and keep a copy of the card and store receipt. A reseller or retailer can apply the same principles as a basic stock-buying checklist. (FTC Consumer Advice, “Avoiding and Reporting Gift Card Scams,” page dated July 2023, checked 19 Oct 2026, 09:43 Dubai time, UTC+4.)
Sourcing checklist
Buy through sources you know and trust.
Apply the FTC’s basic buying advice before accepting stock for resale. Keep the source, product details and supporting paperwork together so the stock can be reviewed later.
Avoid online auction sites for gift card stock.
The FTC warns that cards bought through online auction sites may be fake or stolen. This is especially relevant when the card’s origin or packaging condition cannot be checked. (FTC Consumer Advice, checked 19 Oct 2026, 09:43 Dubai time, UTC+4.)
Inspect protective stickers before accepting a card.
Check that the protective stickers are present and that the card does not look tampered with. Also check that the PIN on the back is not showing. If there is a problem, choose a different card and show the card to a cashier or manager, following the FTC’s consumer guidance.
Keep a copy of each card and the receipt.
The FTC recommends taking a picture of the gift card and store receipt. The card number and receipt can help when reporting fraud, losing the card or contacting the card company. (FTC Consumer Advice, checked 19 Oct 2026, 09:43 Dubai time, UTC+4.)
Give gaming-card stock the same attention.
Gaming cards should not be treated as outside the scope of gift card fraud. The FTC’s company-contact list includes Steam and Google Play, alongside other card companies. Keep the relevant card and receipt information available for any customer who later needs to report a problem. (FTC Consumer Advice, checked 19 Oct 2026, 09:43 Dubai time, UTC+4.)
These steps do not establish that a card is safe in every situation. They are practical checks based on the FTC’s published buying guidance.
Stage 2: Selling cards to end customers
The FTC says gift card scams often begin with a call, text, email or social media message. The scammer may say that payment is urgent, specify which gift card to buy and where to buy it, and ask for the number and PIN.
The FTC also describes impostors claiming to be from government agencies, technology companies, utility companies, a friend or family member, or a prize organization. (FTC Consumer Advice, checked 19 Oct 2026, 09:43 Dubai time, UTC+4.)
Point-of-sale checklist
Treat urgency as a warning sign.
If a customer says they must pay immediately or that something terrible will happen, encourage them to slow down. The FTC’s advice is direct: “Slow down. Don’t pay. It’s a scam.”
Notice when someone has specified the card and the store.
A customer may have been told to buy a particular card, visit a particular store or buy cards at several stores. The FTC says scammers may stay on the phone while the customer goes to the store and loads money onto the card. If that happens, the FTC advises the customer to hang up.
Remind customers that gift cards are not payment instruments for demands from strangers.
The FTC says: “Gift cards are for gifts. Only gifts. Not for payments.” It also says that no real business or government agency will tell someone to buy a gift card to pay them. (FTC Consumer Advice, checked 19 Oct 2026, 09:43 Dubai time, UTC+4.)
Do not encourage customers to share the card number or PIN.
The FTC warns that the number and PIN can allow a scammer to take the money loaded onto the card, even when the customer still has the physical card. Customers should not send those details or a photo of the card to the person pressuring them.
Keep the conversation factual and non-judgmental.
A customer may believe the caller is from the IRS, Social Security Administration, the FTC, Microsoft, Apple, a utility company or a family member. The objective is to help the customer pause and verify the request rather than act under pressure. (FTC Consumer Advice, checked 19 Oct 2026, 09:43 Dubai time, UTC+4.)
What to do if a customer was scammed
If a customer bought a card and gave someone the numbers from the back, the FTC recommends these steps:
- Use the gift card and store receipt.
- Report the scam to the gift card company right away, even if some time has passed.
- Ask the company for the money back. The FTC says some companies may help stop gift card scams and may provide a refund, so it is worth asking.
- Report the fraud to the FTC at ReportFraud.ftc.gov.
The FTC’s contact list includes instructions for companies such as Google Play and Steam. If the card is not listed, the customer should look for contact information on the card itself or research how to contact the card issuer. (FTC Consumer Advice, checked 19 Oct 2026, 09:43 Dubai time, UTC+4.)
Limitations
The FTC CSVs show reports by payment method, not the total number of scams, the number of cards sold, or the fraud rate for a reseller, retailer, product or gaming brand. The “Gift Card or Reload Card” category also does not separate gaming cards from other gift cards. Dollar values are shown in the CSV as rounded millions, such as $212M and $217M.
The 2024 CSV says 18% of total fraud reports include a payment method; our calculation from the underlying counts is approximately 18.30%. The FTC data-sets page showed CY2024 as the latest listed data book when checked. CY2025 open-format data book: not collected. (FTC data-sets page, checked 19 Oct 2026, 09:44 Dubai time, UTC+4.)
This page is general information, not legal advice.
Sources
- FTC Consumer Sentinel Network Data Book 2024 — open-format CSV — checked 19 Oct 2026, 09:44 Dubai time, UTC+4.
- FTC Consumer Sentinel Network Data Book 2023 — open-format CSV — checked 19 Oct 2026, 09:44 Dubai time, UTC+4.
- FTC data-sets page — checked 19 Oct 2026, 09:44 Dubai time, UTC+4.
- FTC Consumer Advice: “Avoiding and Reporting Gift Card Scams” — page dated July 2023; checked 19 Oct 2026, 09:43 Dubai time, UTC+4.
Date & update log
- Last updated: 19 Oct 2026
- Data checked: 19 Oct 2026
Readers sourcing gift cards for resale can view WG Cards’ gaming card range or the WG Cards website.
Key takeaways
- Our reading: The FTC payment-method table lists 41,120 fraud reports involving a gift card or reload card and $212 million in total reported loss in 2024. — FTC Consumer Sentinel Network Data Book 2024
- Our reading: The 2024 CSV says 18% of total fraud reports include a payment method, so these figures do not represent every fraud report, the number of cards sold or a fraud rate. — FTC Consumer Sentinel Network Data Book 2024
- Our reading: The FTC advises buyers to inspect protective stickers and PIN areas and keep a copy of the card and store receipt. — FTC Consumer Advice