Gift Card Scams Are Everywhere: What the DC Attorney General’s Warning Means for You

In mid-December 2025, District of Columbia Attorney General Brian Schwalb issued a consumer alert warning residents about a surge in gift card scams. The alert is a timely reminder that this type of fraud remains widespread and can hit anyone who gets an unexpected call, text, or email demanding payment.

Gift card scams work because scammers know gift cards are nearly impossible to trace once the codes are shared. They also prey on fear and urgency. The official warning from the OAG highlights how scammers impersonate government agencies, utility companies, or technical support teams to convince people to buy gift cards and hand over the numbers.

If you’re like most people, you probably use gift cards as presents—not as payment methods. That distinction is exactly what scammers exploit. Here’s what happened, why it matters, and what you can do to stay safe.

What happened

On December 15, 2025, Attorney General Schwalb’s office published an alert specifically warning District residents about an increase in gift card fraud. According to the alert, scammers often pose as representatives of well-known organizations:

  • Government agencies (e.g., the IRS, Social Security Administration, or even local law enforcement)
  • Utility companies (claiming your power or water will be shut off)
  • Tech support (pretending your computer has a virus)

In each scenario, the caller insists you must pay immediately using a gift card—usually from a major brand like Apple, Google Play, Target, or Walmart—and then read the code on the back of the card over the phone or send a photo of it.

Once the scammer has that code, they drain the value within minutes. The money is gone, and there is no reliable way to get it back.

Why it matters

Gift card scams are not rare. The Federal Trade Commission consistently receives tens of thousands of reports each year, with losses totaling hundreds of millions of dollars. Many victims are older adults, but younger people are also caught off guard.

What makes these scams so effective is the combination of impersonation and urgency. A caller might say, “Your Social Security number has been suspended, and you need to pay a fine with gift cards to avoid arrest.” That sounds absurd once you think about it, but in the moment, the threat feels real.

The DC Attorney General’s alert reinforces a simple but critical point: no legitimate business or government agency will ever ask you to pay with a gift card. Not for taxes, not for bail, not for utility bills, not for tech support. If someone requests payment that way, it is a scam.

What readers can do

You can protect yourself and your money by following a few straightforward steps.

Recognize the red flags

  • The payment method is a gift card. This is the biggest red flag. No real company or agency uses gift cards for payment.
  • The caller demands immediate action. Scammers create panic so you don’t have time to think or verify.
  • You are told to stay on the line. They want to prevent you from calling anyone else.
  • The caller ID looks official. Scammers can spoof phone numbers to make it appear as though they’re calling from a government office or a local utility.

What to do if you are targeted

  • Hang up immediately. Do not engage, argue, or provide any personal information.
  • Do not buy gift cards or share card codes. Even if you already purchased one, do not read the numbers out loud.
  • Verify independently. If the caller claims to be from your power company, look up the company’s official customer service number and call them directly. Do not use a number the scammer gives you.
  • Report it. You can file a complaint with the Federal Trade Commission at ReportFraud.ftc.gov and with your state attorney general’s office. In the District, you can contact the OAG Consumer Protection Hotline.

If you have already been scammed

  • Contact the gift card issuer immediately. For example, if you bought an Apple Gift Card, call Apple Support. They may be able to freeze the card or refund the money, though recovery is not guaranteed.
  • File a police report. Local police may take a report, which can help with insurance claims or future investigations.
  • Report to the FTC and state AG. Even if you cannot recover the money, your report helps authorities track scam patterns and warn others.

Staying aware

The DC Attorney General’s alert is a useful example, but gift card scams are a nationwide problem. The tactics change over time, but the core mechanism stays the same: scammers want you to convert cash into untraceable gift cards and hand over the codes.

The best defense is skepticism. If someone asks for payment with a gift card, it is a scam—no exceptions. Share this information with friends and family, especially those who might not follow consumer alerts closely. A simple conversation can prevent a costly mistake.

Sources

  • Office of the Attorney General for the District of Columbia (OAG DC). “Attorney General Brian Schwalb Issues Alert Warning District Residents About Gift Card Scams.” December 15, 2025.
  • Federal Trade Commission. “Gift Card Scams.” Consumer Advice. ftc.gov/gift-card-scams.