Shoppers scammed out of £6.5million due to gift card fraud – how to protect yourself
National crime reporting centre Action Fraud said between 1 April 2015 and 31 March 2018, 11,329 reports of iTunes fraud were reported to it with the average person losing £579
CONSUMERS have been warned to stay vigilant to gift card fraud as new figures reveal that £6.5million was lost to scammers to this type of fraud between 1 April 2015 and 31 March 2018.
National crime reporting centre Action Fraud said during this period 11,329 reports of iTunes fraud were reported to it, with the average person losing £579.
Fraudsters are contacting victims, claiming to be from well-known organisations, including Her Majesty’s Revenue and Customs (HMRC), and then tricking victims into making payments using iTunes gift cards.
They use gift cards to collect money from victims because they can be easily redeemed and sold on.
The fraudsters don’t need the physical card to redeem the value and will instead use tactics to persuade victims to purchase gift cards in large amounts and read out the serial code on the back over the phone.
Only last week we reported how one gentleman was reportedly told to buy £1,000 in iTunes gift cards by scammers impersonating HMRC.
Protect yourself from gift card fraudsters
Here's how to protect yourself from falling victim to a gift card scam.
- Gift cards, including App Store and iTunes gift cards, can only be used to purchase goods and services from the retailer named on the card. Never provide the numbers on the back of iTunes gift cards to someone you don’t know.
- No genuine organisation will ask you to pay taxes, bills or fees using iTunes gift cards, or any other type of voucher. If you’re contacted by anyone that asks you to do this, you’re very likely the target of a scam.
- Always question unsolicited requests for your personal or financial information in case it’s a scam. Even if someone knows your basic details, such as your name and address, it doesn’t mean they are genuine.
- Genuine banks or other trusted organisations won’t pressure you to make a financial transaction on the spot. If something feels wrong then it’s usually right to question it.
- If you think you have been a victim of fraud, online or by calling 0300 123 2040.
But this problem is not just linked to iTunes gift cards – Action Fraud said it has seen a spike in fraudsters also requesting Steam Cards (for online gaming) as a way to gain upfront fees from unsuspecting victims.
Action Fraud is now working with retailers, including Argos, to help raise the profile of this fraud type.
It said Argos has now put a £200 limit on the amount of iTunes vouchers one person can buy at a time.
Staff have also received training on how to spot signs of this type of fraud to prevent customers from falling victim.
City of London Police’s national coordinator for economic crime, commander Karen Baxter, said: “The cost of gift card fraud is high, both financially and emotionally.
“Cruel fraudsters will prey on some of the most vulnerable members of society for their own personal gain, using every trick in the book to exploit money out of their victims.
“We are working closely with retailers to stop these fraudsters in their tracks and to raise awareness of this type of fraud.
“We urge people to #StayTunedToFraud to spot the signs of these scams in order to protect themselves.”
Protect yourself from fraud by reading The Sun’s latest scams and fraud news.
We pay for your stories! Do you have a story for The Sun Online Money team? Email us at money@the-sun.co.uk or call 0207 78 24516. Don’t forget to join the for the latest bargains and money-saving advice.