Jessica Mathews / news@whmi.com


An area lawmaker’s plan cracking down on gift card fraud has been signed into law.

The new law was spearheaded by Republican State Representative Mike Harris of Waterford and aims to protect people from gift card scams.

Harris led the bi-partisan effort to create stronger penalties for a growing problem that he says has cost consumers and retailers millions of dollars.

Harris said “When someone spends their hard-earned money on a gift card for a family member or friend, they should be able to trust that the money will be there when it’s time to use it. This new law provides a real solution to a growing problem. It gives law enforcement and prosecutors stronger tools to crack down on organized criminals who are stealing from Michigan families.”

Harris, a retired police sergeant, worked with State Representative Samantha Steckloff, D-Farmington Hills, on the bi-partisan legislation after hearing increasing concerns about gift card scams affecting consumers across Michigan.

A release states “Gift card fraud has evolved far beyond simple theft. Criminal organizations often tamper with cards displayed in stores, copy card numbers and PINs, then wait for a customer to purchase and activate the card. Once funds are loaded onto the card, criminals quickly use the stolen information to make online purchases, obtain cash, or resell merchandise for profit”.

Harris said “The techniques these criminals are using continue to evolve, and our laws need to keep pace. Many victims don’t even realize they’ve been robbed until they get to the checkout counter and find out the money is already gone. This law strengthens our ability to hold these criminals accountable and protect people from being exploited.”

House Bills 4598-4599, now Public Acts 109 and 110 if 2026, add gift card fraud to Michigan’s existing laws dealing with organized retail crime, making it easier to prosecute individuals who steal gift cards or gift card information, tamper with gift cards with intent to defraud, or use stolen gift card information to obtain money, goods, or other things of value. Violations are punishable by up to five years in prison and a $5,000 fine.

Harris noted that many of the criminal organizations involved in gift card fraud are also connected to other serious criminal activity, making it especially important for law enforcement to have effective tools to investigate and prosecute these operations. He said “This is going to help disrupt organized criminal networks that are finding new ways to take advantage of hardworking people. Michigan families and businesses are better protected because this law is now on the books.”

Governor Gretchen Whitmer signed the bills into law on Monday.