I don’t know about you, but I have had some of the worst luck with gift cards. I have a hard time keeping up with them-I would be embarrassed to tell you how many I’ve lost before I’ve been able to redeem them.

Have you ever tried to find a gift card that someone has given you and realized that you have mislaid it? How many times have you tried to use a gift card only to discover that there isn’t anything in that store you wanted? Have you ever tried to check out with a gift card and been told that it had already expired?

This brings me to the reasons that retailers love gift cards. Like the credit card companies, retailers are counting on human error. According to a Consumer Reports survey, the reasons for un-redeemed gift cards are the following:

• 36% indicated not having enough time to shop at the correct retailer
• 33% were unable to find something they wanted
• 28% simply forgot about the gift card or didn’t realize the card had expired
• 3% lost the card (I was hoping I would have more company in this category)

An article on Time.com estimates that each year approximately 6.8 billion dollars in gift cards are never redeemed. That’s a very large profit for these retailers.

Another thing to know about gift cards…

Thieves are targeting gift cards! They have several ways of doing this.

#1: They take down the gift card information and call the company to ‘check the balance’, when they find that the card has been activated, they start shopping!

#2: They re-sell gift cards and overstate the balance that is actually available-some are

even completely empty!

#3: Once a card has been activated by the clerk at the checkout the ‘customer’ decides he doesn’t want it after all. He then hands a blank card (stolen during a previous visit) back to the cashier. The fully loaded (and not paid for) card walks out the door.

How to avoid gift cards scams:

-Purchase gift cards only from a reputable source, preferably directly from the store

-Examine the card, keep an eye out for signs of tampering and/or exposure of the cards’ PINs.

-Never buy a card from an auction site, even if it looks like you could score a really high bargain

-Bear in mind that reputable companies will not ask gift card buyers to provide their Social Security numbers, bank account information or date of birth. If you are asked these questions when trying to buy a gift card, walk away from the deal!

Here is another possible solution. Gift cards are sometimes a matter of convenience or an ‘easy’ gift. Ask yourself if you are making this purchase because it really is the best gift option for the recipient. If not, your money might be spent on something that shows your thoughtfulness and careful consideration.