Scam Affecting Residents of the United States

Have you been contacted by a company named D&M Research or similar? You might be the target of a scam. Read below to find out more and steps you can take.

We have been made aware over the last few years of a company in the United States that is using the name "DM Research Group" (or similar) to trick people into participating in fake "mystery shopper" programs involving purchasing gift cards, with the promise of a reward for their time.

Our company, D&M Research, is based in Sydney, Australia and was established 30 years ago. We do not have any links to the United States and would never ask you to buy gift cards in a store. This page on ScamPulse has plenty of examples of communications from the fake company to help you become aware of what to look out for. These communications are NOT from our company.

These types of scams involving gift cards are on the rise, and scammers are increasingly targeting U.S. citizens with deceptive tactics, often impersonating trusted businesses like ours. This page will help you understand what gift card scams are, how to spot them, and what to do if you’ve been targeted.

What is a gift card scam?

A gift card scam involves a fraudster convincing someone to buy gift cards as a supposed “payment” or part of a “prize” or “offer.” The scammer will usually ask for the gift card’s codes, which can be redeemed or sold online for cash, leaving the victim with no recourse to reclaim their money.

These scams can be elaborate, with scammers impersonating family members, friends, employers, or even well-known companies. Often, scammers create a sense of urgency, making the victim feel that they need to act fast to prevent a penalty or to claim a reward.

How to spot a gift card scam

Here are some common warning signs that can help you recognize a gift card scam:

  • Unexpected Contact Requesting Payment via Gift Card: If you receive an email, call, or text message asking for gift cards as payment, especially from someone claiming to be with the government, a utility company, or a family member in distress, it’s a red flag.
  • Pressure and Urgency: Scammers often tell victims they must act quickly to “avoid penalties,” “help a loved one,” or “secure a prize.” They want you to feel rushed so you’ll make a purchase without taking time to verify the situation.
  • Requests for Specific Gift Card Brands: Scammers often ask for specific brands like iTunes, Google Play, Amazon, or Target gift cards, as they are commonly available and easy to redeem online.
  • Instructions to Share Codes Over the Phone or Via Email: Scammers will ask you to buy gift cards and share the codes immediately. No legitimate business or government agency will ask for payment in gift cards.
  • Impersonation of Trusted Sources: Scammers may pose as reputable companies, even using fake logos or official-sounding names to appear legitimate. However, they might not list a website in their communications or provide an Employer Identification Number (EIN) that can be verified by the Internal Revenue Service (IRS).
  • Use of a Gmail Address or Other Common Email Domain: Many of these scammers will use an email address ending in gmail.com. No legitimate company would use a Gmail address or other common domain as their primary point of contact.

What to do if you’ve been targeted by a gift card scam

If you realize you’re being scammed, here are the steps to take immediately:

  • Stop Communication with the Scammer: Block any phone numbers, emails, or other contact methods used by the scammer.
  • Document the Scam: Keep a record of any communication you’ve had, including emails, text messages, or voicemails. This may be helpful for reporting the incident.
  • Contact the Gift Card Company: If you’ve already purchased a gift card and shared the code, contact the gift card issuer right away. Some companies, like Amazon or iTunes, may be able to freeze the funds if they haven’t been used yet.
  • Report the Scam: Details on reporting the scam are outlined below.

How to report a gift card scam in the U.S.

Reporting a scam is an important step to help authorities take action against these fraudsters. Follow these steps:

  • Report to the FTC: The Federal Trade Commission handles consumer complaints and uses the data to help shut down scam operations. Reporting can be done easily online at ReportFraud.ftc.gov.
  • Report to Local Law Enforcement: Contact your local police department, especially if the scam involved a substantial financial loss.
  • Share Your Experience: Posting your experience on social media or reporting sites can help others recognize similar scams and avoid falling victim.

Protect yourself and spread awareness

Gift card scams often rely on secrecy and urgency. By educating yourself and others, you can help prevent these scams. Share this information with friends and family to ensure that everyone knows the warning signs and what to do if they encounter a gift card scam.

Remember, no legitimate organization will ever ask for gift cards as payment. Always verify before taking any action, and trust your instincts—if something feels wrong, it probably is.