Retail Gift Card Association Offers Fraud Prevention Tips for the Holiday Shopping Season

RGCA Launches National Campaign to Combat Gift Card Fraud This Holiday Season

As the winter holiday shopping season approaches, the Retail Gift Card Association (RGCA), a nonprofit representing the closed-loop gift card industry, has launched a national consumer education campaign. The initiative aims to safeguard consumers and ensure positive gifting experiences by addressing the growing concerns of gift card fraud and tampering.

Enhanced Packaging for Better Security

Gift card security is at the forefront of this campaign. RGCA spokesperson Kim Sobasky highlighted the industry’s commitment to consumer protection:
“This holiday season, shoppers can expect to see gift cards with improved packaging designed to enhance security and make it easier to spot signs of tampering.”

These improvements aim to address vulnerabilities often exploited by fraudsters. Enhanced packaging features provide consumers with visible indicators of tampering, empowering them to make safer purchases.

Comprehensive Fraud-Prevention Resources

In tandem with the packaging upgrades, the RGCA has rolled out fraud-prevention resources on its website, GiftCardSafety.org. This platform offers expert tips and best practices to help consumers spot tampering, avoid scams, and report incidents involving gift cards.

Gift cards remain a perennial favorite among shoppers, holding the title of the most requested gift in the U.S. for nearly two decades. However, their widespread popularity has also made them an attractive target for criminals.

“As an industry, we are committed to securing every aspect of the gift card lifecycle,” Sobasky explained. “From packaging to transactions, our goal is to eliminate fraud entirely, even though it currently impacts only a small fraction of sales.”

To achieve this, the RGCA collaborates with stakeholders across the gift card supply chain. These include card processors, manufacturers, government agencies, and law enforcement. Together, they aim to tackle fraud at its root and enhance the overall security of the gifting experience.

Practical Tips for Fraud Prevention

As part of its #GiftSmart campaign, the RGCA is sharing actionable advice to help consumers protect their purchases and ensure smooth gift card transactions this holiday season. Here are some key tips:

  1. Inspect Physical Cards: Before purchasing, examine the gift card and its packaging closely. Look for signs of tampering, such as damaged PIN scratch-offs, irregular labels, or packaging with wrinkles or missing pieces.
  2. Buy From Trusted Sources: Always purchase gift cards directly from well-known retailers or authorized sellers. This is particularly important for online transactions to avoid counterfeit cards.
  3. Keep Receipts: Retain your original purchase receipt and request an additional gift receipt for the recipient. These can be crucial if an issue arises.
  4. Be Wary of Suspicious Deals: Steer clear of gift cards offered at prices that seem too good to be true, especially from unfamiliar websites or individuals.
  5. Use Trackable Shipping: When sending physical gift cards, opt for shipping methods that allow you to track the delivery.
  6. Double-Check eGift Card Details: For digital gift cards, ensure you input the recipient’s email address correctly. Review the confirmation email and purchase receipt carefully to avoid errors.

These measures not only protect consumers but also help to create a safer and more enjoyable gifting process for all parties involved.

Spreading Awareness Nationwide

The RGCA’s #GiftSmart campaign is designed to reach a broad audience. Targeted messaging is being shared via national television commercials, regional radio stations, and social media platforms. The association’s goal is to educate consumers of all demographics about gift card safety and empower them to make secure purchasing decisions.

About the Retail Gift Card Association

The Retail Gift Card Association is a nonprofit trade organization dedicated to the promotion, protection, and enhancement of retail gift cards as a secure and convenient form of branded currency. RGCA members represent a wide range of sectors, including retail, dining, apparel, and leisure.

All RGCA members adhere to a strict Code of Principles, ensuring consumer-friendly policies for the purchase and redemption of closed-loop gift cards. The association works tirelessly to advance innovation and security in the gift card industry while maintaining its focus on enriching consumer experiences.

For more information about gift card safety and the RGCA’s ongoing efforts, visit GiftCardSafety.org or thergca.org.

This holiday season, the RGCA is urging shoppers to stay vigilant and informed while enjoying the convenience and joy of gift card gifting. By following simple safety tips and taking advantage of the available resources, consumers can ensure a secure and stress-free holiday shopping experience.

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