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Call Kurtis: Gift Card Crime

She's been trying to get her $100 Macy's gift card to work since August.  She has the original receipt, the original packaging, but says she didn't have much luck getting this one fixed.

Newlywed Erin Munoz looks back at her wedding day in Hawaii.

"There's me and my husband," says Munoz, "It was a small wedding, but it was perfect for us."

They tied the knot in Kauai this past August.  While doing some honeymoon shopping on the island, the couple's $100 Macy's gift card they got as a wedding present didn't work.  Macy's blamed the card being bought out of state.

"I thought it was a little weird.  They kind of said, Macy's reassured us, you know, use it in California, it probably should work," says Munoz.

But the gift card didn't work in Sacramento either.  Macy's said it wasn't activated and that she would have to return to where it was bought, which happened to be a Safeway store.  Erin broke the news to her co-worker who gave them the gift.

"It was kind of embarrassing to have to tell someone that, 'Hey, the card that you gave me doesn't work,'" says Munoz.

Her co-worker still had the original receipt so she returned to Safeway.  A manager said the receipt didn't match the card.

The problem sounds familiar.  We told you last week how some Best Buy and Starbucks cards sold at Safeway and Lucky stores in the Bay Area didn't work.

"It was kind of embarrassing.  They said they're inactive or invalid and to go back to the supermarket where I bought them," says Cynthia Severn, who bought five Best Buy cards that didn't work.

The company that distributes those cards, Blackhawk, is owned by Safeway.  They suspect it's a problem with older packaging they're phasing out which allowed crafty crooks to steal the cards, replacing them with dummies.   But what about those who got the bogus cards, who want to be made whole?  Safeway says it's working with them, including Munoz, who is getting a $100 refund.

So how do you know if you have one of these cards?  We're told you should make sure the card numbers on the cardboard packaging match those on the card itself.  Also, take a look at the package.  If the card looks dirtied or like it's been removed from the backing and replaced, tell a cashier.  Blackhawk is making new cardboard coverings for the cards which will encompass the entire card.  Safeway says out of 24-million cards sold in 2010 they only know of 197 that are affected.  If you think you have a bogus card, call the number on the back of your card or send an email to pr@blackhawk-net.com.

Here is Safeway's entire statement on this issue:

This situation with cards being tampered with is not new. It is just something that seems to be more visible around the holiday period. Over the past few years, all vendors have worked to improve their card packaging to try and prevent fraud and tampering. It is a work in progress. Safeway is one of the locations where cards are sold.

Blackhawk is a separate subsidiary and works with a variety of retailers to provide cards. As indicated previously, Safeway sold 24 million cards in 2010-of those, we only believe 197 had fraud/tampering issues - so this is a very small problem. We encourage folks to thoroughly examine cards before purchase and to match numbers. If the numbers don't match, they may have been tampered with.
Susan Houghton
Director of Public and Government Affairs
Safeway Inc.

Consumer Gift Card Tips

· Examine a gift card before buying. Take a close look at a gift card before purchasing and make sure to check that no protective stickers or packaging have been removed and that any codes on the card haven't been scratched off.

· Make sure you receive your activation receipt immediately after purchase. Keep the receipt handy.

· Keep your receipt. If you can, give the gift card recipient a gift receipt in case the card is lost or stolen. Also, in cases where returns may need to be made, save the purchase receipt and the card for return.

· Treat a gift card like cash. If a gift card is lost or stolen, report it to the issuer.

· Register your American Express, Discover, MasterCard or Visa cards to take advantage of all of their protections. Be sure to register the card and keep the customer service number. If your gift card is misplaced, you can receive a free replacement card. Call the customer service number as this enables you to dispute transactions not authorized by you.

· Know your card balance. Most merchants cannot determine the balance on the card, so know the balance before you shop. When you make a purchase, record it and deduct the amount from the balance immediately.

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