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Gift Cards are for just that, Gifts, not Payments warns Better Business Bureau

Southwest Missouri residents have reported that scammers have requested payment by gift card, allowing the scammer to then transfer the funds instantly, leaving the consumer with no way to get their money back.

Just 26 days remain before Christmas day and gift cards continue to be a popular present.

However, KRPS’s Fred Fletcher-Fierro reports that scammers are always requesting them as payment.

According to data released by theFederal Trade Commission in March, consumers reported losing nearly $8.8 billion to fraud in 2022, an increase of more than 30 percent over the previous year.

The second-highest reported loss amount came from imposter scams, with losses of $2.6 billion reported, up from $2.4 billion in 2021. Imposter scams are common in the Four States including a resident in Joplin who lost one hundred dollars and another in Seneca who was dubbed out of $3,000.

The residents don't know each other but have similar stories of being asked to make a payment over the phone using gift cards. Pamela Hernandez, Regional Director of the Better Business Bureau office in Springfield, Missouri says they’ve seen a surge nationwide in gift card scams.

“So for example maybe somebody has been contacted, they’re trying to buy something on Facebook Marketplace. And instead of paying for the goods with a check, or a peer-to-peer app, they ask for a gift card to Apple or Walmart.”

Social media received the highest reported losses in 2022 at 1.2 billion dollars. Losses to business imposters have soared in the past few years. From 196 million dollars in 2020 to 660 million last year.

Copyright 2023 Four States Public Radio. To see more, visitFour States Public Radio.

Since 2017 Fred Fletcher-Fierro has driven up Highway 171 through thunderstorms, downpours, snow, and ice storms to host KRPS’s Morning Edition. He’s also a daily reporter for the station, covering city government, elections, public safety, arts, entertainment, culture, sports and more. Fred has also spearheaded and overseen a sea change in programming for KRPS from a legacy classical station to one that airs a balance of classical, news, jazz, and cultural programming that better reflects the diverse audience of the Four States. For over two months in the fall of 2022 he worked remotely with NPR staff to relaunch krps.org to an NPR style news and information website.

In the fall of 2023 Fred was promoted to Interim General Manager and was appointed GM in Feburary of 2024.