Organized Crime Gangs Are Draining Millions From Apple Gift Cards

Apple Gift Card
Image Credit: Apple

A massive new scam is hitting retail stores across the globe, allowing international crime rings to steal millions of dollars right from the shelves. Physical Apple gift cards have always been a popular target for bad actors, but this latest tactic involves tampering with the products before you even buy them. Police are starting to crack down, but shoppers need to stay alert to avoid losing their hard-earned cash.

Thieves steal the secret codes before you even buy the card

According to recent reports, the scam starts right inside the supermarket. Criminals take blank gift cards off the store racks and carefully peel back the packaging to copy down the secret redemption codes. They then reseal the packs to make them look brand new and put them back on the shelf.

When an unsuspecting customer buys the tampered card and loads money onto it at the register, the scammers get an alert. They immediately drain the funds online before the actual buyer has a chance to use the card or give it as a present.

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A major investigation in Australia recently led to the conviction of a man who worked for a Chinese crime gang doing just this. Police raided his home and found dozens of tampered cards. Authorities in the United States say the problem is happening there too. Homeland Security investigators report that every single one of the top-tier American retailers is currently dealing with this specific fraud issue.

How you can protect yourself from buying a drained gift card

The easiest way to stay safe is to purchase your digital credits directly online. When you buy straight from the official digital store, you never have to worry about someone messing with a physical package.

If you must buy a physical card at a grocery store or pharmacy, take a close look at the cardboard sleeve before heading to the checkout lane. Scammers are good at hiding their tracks, but you can sometimes spot messy glue or torn edges where they opened the flap. If the package looks worn or altered in any way, just hand it to a store worker and pick a different one.

The tech giant did update its physical packaging last year to make opening and resealing the cardboard much harder. Even with those improvements, you should still check the item carefully. If you do end up with a drained card, return to the store right away and reach out to support. Sometimes you can get a refund, but it is much better to catch the problem before you pay.

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