Maryland First State To Pass Law Against Gift Card Draining

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Maryland has become the first state to address gift card draining with the Gift Card Scams Prevention Act of 2024. Signed by Gov. Wes Moore, this law mandates secure packaging for in-store gift cards and requires online sellers to register cards with the Office of the Attorney General’s Division of Consumer Protection and train employees to detect fraud.

Also See: Maryland Reimburses Victims Of EBT Fraud

Criminals steal gift cards, drain their balances, and return them to stores, making them worthless. Secure packaging prevents thieves from accessing and replacing PIN covers. The Federal Trade Commission reported $228 million in gift card scam losses in 2023, with Chinese crime rings heavily involved.

Also See: ‘Secure DC’ Crime Bill Advances In Council

The U.S. Department of Homeland Security has formed a task force to tackle this issue. AARP’s 2022 report found that 25% of U.S. consumers have encountered depleted gift cards.

source: The DMV Daily

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Maryland Makes History As First State To Pass Law Against Gift Card Draining  was originally published on ronemymajicdc.staging.go.ione.nyc