New Gift Card Law Helps Prevent Scams

Gift card scams are on the rise, so it’s more important than ever to be informed. In Erie County, we want to educate consumers and prevent them from falling victim to such scams.

Scammers often ask for gift cards as payment, as these types of funds are nearly impossible to trace. One-quarter of all consumer fraud reported in the United States involving money loss is connected to gift cards. The Federal Trade Commission reported that in 2022, nearly 65,000 consumers filed a complaint about gift card scams, amounting to total losses of $228.3 million.

Effective June 20, 2023, under New York State General Business Law, all businesses selling gift cards must display a notice, at or near where any gift card or gift certificate is displayed or sold, to caution consumers about gift card fraud.

Remember: gift cards should only be used for gifts, not to make payments of any kind.

If you receive any communication asking for payment in the form of a gift card, don’t respond—it’s a scam! And please contact the Erie County Office of Consumer Protection at 716-858-1987.

Learn more about the Erie County Office of Consumer Protection at: https://erie.gov/ConsumerProtection

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