Schumer warns of gift card scam

Staff reports

A senator is warning of a scam in which the value of gift cards can be stolen before the holiday gift is open.

U.S. Sen. Charles Schumer is asking the National Retail Federation and Retail Gift Card Association to urge members to better conceal codes on the cards in displays.

He says scammers record activation codes on unprotected gift cards that are displayed in stores, then try to buy products on line after the cards are sold to consumers.

The value of a card can be expended before the gift is given.

Schumer is urging companies block critical activation numbers in packaging or to ask stores to place the cards away from counters

Consumers should be sure no concealing measures are scratched off the backs of cards.