4 ms·

It’s amazing how much of the fraud-economy is enabled by Gift Cards. I wonder if removing gift cards would stop fraudsters or what they’d move onto next.

tass 3y ago
Western Union money transfers used to be the way. I don’t know for sure, but I imagine the western union staff now have a lot more questions to ask before performing a transfer. Gift cards are just too easy to buy and use, and the people selling them aren’t paid to care what you do with them. Bitcoin ATMs might be what would replace gift cards for scams, but these are harder to use than gift cards
- mtnGoat 3y ago
  Western Union was the de facto way for fraudsters to send funds for many years. They didn’t ID the recipient when picking up orders under 700 or 800 dollars. Scams were easy to spot, they t shears try to get you for something just below that threshold. Gift cards are not fool proof either, anyone who touches it along its existence can extract funds, as everyone who touches it would see the card number and pin. so there is implied trust what dealing with them. Cloned valid cards are where it’s at nowadays.
  - southernplaces7 3y ago
    >Cloned valid cards are where it’s at nowadays. Cloned debit cards, credit cards, or gift cards? And if debit or credit, how could they be cloned if they have a chip? I assumed chips protect cards from that and skimming.
Nextgrid 3y ago
Gift cards are a scam even when used "correctly". Its whole purpose is to convert fungible money into something worse and conning you into thinking it's a good deal.
- jychang 3y ago
  When used “correctly”, it comes with a discount, like say $100 amazon gift card for $90. Not a bad deal if you were going to spend that money anyways.
  - Nextgrid 3y ago
    Where do you get discounted gift cards? I just checked two major retailers in the UK and they only sell those at face value. I wonder if those "discounted" cards you see are actually an artifact of money laundering where illicitly-obtained cards (from victims of phone scams?) are being laundered.
    - halfnormalform 3y ago
      Costco always sells discounted gift cards (in the US).

tass 3y ago

Western Union money transfers used to be the way. I don’t know for sure, but I imagine the western union staff now have a lot more questions to ask before performing a transfer. Gift cards are just too easy to buy and use, and the people selling them aren’t paid to care what you do with them. Bitcoin ATMs might be what would replace gift cards for scams, but these are harder to use than gift cards

mtnGoat 3y ago
Western Union was the de facto way for fraudsters to send funds for many years. They didn’t ID the recipient when picking up orders under 700 or 800 dollars. Scams were easy to spot, they t shears try to get you for something just below that threshold. Gift cards are not fool proof either, anyone who touches it along its existence can extract funds, as everyone who touches it would see the card number and pin. so there is implied trust what dealing with them. Cloned valid cards are where it’s at nowadays.
- southernplaces7 3y ago
  >Cloned valid cards are where it’s at nowadays. Cloned debit cards, credit cards, or gift cards? And if debit or credit, how could they be cloned if they have a chip? I assumed chips protect cards from that and skimming.

Nextgrid 3y ago

Gift cards are a scam even when used "correctly". Its whole purpose is to convert fungible money into something worse and conning you into thinking it's a good deal.

jychang 3y ago
When used “correctly”, it comes with a discount, like say $100 amazon gift card for $90. Not a bad deal if you were going to spend that money anyways.
- Nextgrid 3y ago
  Where do you get discounted gift cards? I just checked two major retailers in the UK and they only sell those at face value. I wonder if those "discounted" cards you see are actually an artifact of money laundering where illicitly-obtained cards (from victims of phone scams?) are being laundered.
  - halfnormalform 3y ago
    Costco always sells discounted gift cards (in the US).