A warning if you’re giving a gift card this Christmas, the recipient may go to use it, only to find the balance on the card is zero as scammers are swiping the money. Carolyn Johnson reports for the NBC4 News on Dec. 22, 2023.
Authorities are warning people about a new scam that offers cable company customers a discount while requiring would-be victims to make a payment.
René Flores received a text message promising him a 40% discount on his Spectrum bill. All he had to do was to call the number that appeared on his caller ID.
The deal was for three years, according to Flores, who thought it was a legitimate offer because they sounded very convincing and had all his information.
“[They had] all my information,” Flores says. “They knew when I was going to make a payment. They had the last four of my Social. They also had the Visa card.”
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Flores said he ended up sending three $300 gift cards. He even posted on his social media accounts the news of the great deal he had just signed up for.
But a friend, who happened to work at Spectrum, told Flores about the scam.
“She told me and said, ‘René, it’s a scam.’ And I told her, it can’t be. [She] tells me. ‘René, that’s where I work.’”
The new fraud scheme, that Flores fell victim to, offers a discount to cable company customers in exchange for payment with gift cards.
The Better Business Bureau (BBB) said several people have already reported falling for the same scam, in which the scammers promise big discounts or threaten to cut their service in exchange for gift cards.
“They could be asking for personal information, for example, your Social Security number, license number or address. The thing is that we don't know who we are talking to on the other side,” said Hilda Martinez of the BBB.
The scammer will take advantage of anything to attract his victims. In the case of Flores, he said that his parents were in serious health, and he was not thinking clearly when he was carried away by the supposed promotion.
Experts point out that, when giving money with gift cards, it is practically impossible to recover it. The scammers empty the account immediately before the victims can report it and stop the payment to recover the funds.
NBC4’s sister station investigative team, Telemundo 52 Responde, contacted Spectrum to report the Flores case.
The company said that “Spectrum will never ask for payment through gift cards, electronic delivery, cryptocurrency or payment applications, nor offer a discount in exchange for payment.”
Spectrum also confirmed that the offer Flores received was not legitimate and invited any customer to call them directly to confirm the validity of any offer.
