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Gift card meant for South Bay teacher drained by scammers

Gift card scam
Posted at 5:19 PM, Mar 01, 2023
and last updated 2023-03-01 21:25:52-05

CHULA VISTA, Calif. (KGTV) — What was supposed to be a thoughtful gift ended up in frustration, and now one South Bay mom is warning other families about a popular gift card scam.

Ellie Walters is a room parent for her daughter's class. Around the holidays, families pitched in to buy the teacher a Visa gift card at Target.

“Just to say thank you for all of [her] hard work, especially like after what they've been through with the pandemic,” she said.

The families pulled together around $200 and gave it to the teacher for Christmas. Recently, Walters received a message from the teacher when she tried to use the card.

“By the way, this isn’t a big deal,” Walters said the teacher wrote her. “But I thought you should know that the gift card that you gave to me for Christmas was completely drained.”

The thieves took almost all of the funds, leaving only $1.26 left on the card. “This whole situation is completely disappointing on so many levels,” she told Team 10.

Walters posted what happened on an Eastlake Facebook page and other parents chimed in, saying it has happened to them too. It is still unclear how the scammer got the money, but Walters said she inspected the card. She did not see any visible issues.

“I had the receipt. I have everything that shows that I purchased it, but the most bizarre thing is that it was spent at a Walmart store at close to 2 a.m. and in a completely different state,” Walters said.

Several law enforcement agencies from across the country have posted warnings on social media about this scam.

In December, the NYPD posted this about the gift card scam, urging people to be aware of fake barcodes. The department said a fake barcode layered over the real one will send your cash to the scammer.

Law enforcement and consumer agencies suggest before buying a gift card, carefully inspect the barcode. Run your finger over the back to check whether another sticker has been applied on top of the real barcode.

The National Consumers League also suggests buyers "carefully inspect security packaging." If you buy a gift card without that packaging, look not only at the barcode but also the “foil tape over the PIN” to make sure it has not been compromised. You can report any fraud to your local police department and federal agencies, like the Federal Trade Commission.

The FTC said if you were scammed, you can try to contact your credit card company telling them it was a fraudulent charge. You can also contact the gift card company and inform the company the funds were used in a scam. The FTC encourages you to keep the gift card itself and the gift card receipt.

“Whoever took the money off of that card, you're stealing from kids. At this point, you're stealing from families. You're stealing from a goodhearted place,” Walters said.

Walters reaches out to Visa. She said the company told her it could take three to six months for any potential reimbursement.

If you have an issue you want our Team 10 investigators to look into, email Team10@10News.com.