Fraudsters Dupe Customers using Walmart Gift Card Scams

Shub & Johns launches investigation into Walmart after reports indicate that the company may not only be resisting enforcement and restrictions on fraudulent transactions made through its financial systems and services, but Walmart may also be reaping benefits from this scheme as well.

“The Walmart Scheme”

According to filings with the Federal Trade Commission, over $1 billion in fraudulent consumer losses have been routed through Walmart’s financial systems between 2013 and 2022. Due to Walmart’s reportedly lax security and regulations, Fraudsters have found a niche in duping consumers into purchasing Walmart gift cards in order to sell off to other fraudsters who further disperse of the funds, making the money impossible to find and leaving the consumer defrauded with potentially no recourse.

Not only has this scam, dubbed the “Walmart Scheme” by some prosecutors, negatively impacted their own customers, it also seems to be bolstering their own financial gains. Not only does Walmart make money each time a Walmart gift card is used, it also earns a fee when a competing brand of gift card is purchased at their store. The scamming does not stop with gift cards as many fraudsters also utilize the company’s money transfer tool – a service that provides Walmart with a commission each time it is used – to dupe consumers into transferring funds.

Fraudulent Activity is increasing throughout the United States, impacting consumers of all ages. Scammers, at various points, are succeeding in duping American consumers, but big companies with lax security and regulations – and perhaps something to gain — may also have a hand in the process.

Believe you’ve been impacted by this “Walmart Scheme?” Let us know. Fill out the form and join the Shub & Johns investigation today.