Craiglist is one of the most valuable resources on the internet. The free classifieds webpage allows users to find and sell almost anything from cars and boats to vacation properties. It is also very common today for people to exchange gift cards through craigslist. Because of the economy people are willing to trade their gift cards for items of much lesser value. Here is an example of someone trying to sell a Barney’s Gift Card that is valued at $1,000 for $850. This seems like a very good deal for 15% off at Barney’s but there are a few things that you should watch out for when doing gift card exchange on craigslist.

Craigslist Gift Card Exchange Tips

1.) Gift Cards purchased illegally. Sometimes people will use a stolen credit card to buy a lot of gift cards. They will then try to sell the gift cards for cash quickly. Always ask questions before you buy or exchange anything for any gift cards found on craigslist. The gift card may have the balance originally, but when the user reports the credit card as stolen the balance is removed.

2.) Merchandise credit. Depending on the merchant, the rules for using merchandise credit can vary dramatically and sometimes it can only be used by the person who originally returned the items. You do not want to purchase a gift card thinking that you can use it and have it be limited to only the person who sold it to you.

3.) Gift card copies. A more sophisticated method of gift card fraud involves actually making a copy of the card including the magnetic strip. Everything for the gift card will work fine, but whoever uses their copy of it first will be the only one who is actually able to use it. A couple of signs that a gift card has been copied or duplicated is if the plastic is thinner, wording is off, or colors may be different. Be wary for gift card copies.