Don't trust strangers on the internet.
That's the warning the Better Business Bureau wants to spread about the "Secret Sister" gift exchange, a purported online gift-swapping program that mimics the "Secret Santa" tradition.
The consumer watchdog group says the popular online holiday gift exchange is really an illegal pyramid scheme that first appeared on social media in 2015, and every year around the holidays, posts about the "Secret Sister" start making the rounds on Facebook and other social media.
»FROM 2015: 'Secret sister gift exchange' warning: It could be a scam
The scheme kicks off with an invitation, either through email or social media posts, to sign up "for what seems like a great, fun program," the BBB said. "All you must do is provide your name and address and personal information of a few additional friends."
Next comes a promise that dozens of gifts will be sent to participants in exchange for mailing back one modest gift to a stranger on the internet whom you've never met.
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The scheme spreads as new participants unwittingly invite their friends and family to join.
"The cycle continues and you’re left with buying and shipping gifts for unknown individuals, in hopes that the favor is reciprocated by receiving the promised number of gifts in return," the BBB said in the warning dated Nov. 13. "Unfortunately, it doesn’t happen. Just like any other pyramid scheme, it relies on the recruitment of individuals to keep the scam afloat. Once people stop participating in the gift exchange, the gift supply stops as well, and leaves hundreds of disappointed people without their promised gifts."
Warnings about the scheme are already circulating on Facebook and other social media.
Aside from being duped out of money, those buying into "Secret Sister" could also be subject to mail fraud charges and identity theft, the BBB said.
"When signing up, the alleged campaign organizer is asking for personal information such as a mailing address or an email. With just a few pieces of information, cyber thieves could expose you to future scams or commit identity theft."
The BBB said chain letters involving money or valuable items and promise big returns are illegal, and that schemes such as these should always be reported immediately.
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