CLEVELAND — It’s that time of year where we’re all getting Secret Santa gift exchange invitations, but some of them should be ignored.
One example of a Facebook post that’s been going around asks people to join the "Secret Sister" exchange by sending a $10 gift to a stranger with the promise that they’ll get between 6 and 36 gifts back.
THE QUESTION
So let’s VERIFY: Is the "Secret Sister" gift exchange legitimate?
SOURCES
Our sources are:
- The Better Business Bureau and
- the US Postal Inspection Service.
EXPLANATION
The Better Business Bureau has issued a warning about posts like the one described here. On their website, it explains:
"A 'Secret Santa' around the office or with loved ones can be fun. A gift exchange among online friends you haven't met is a little different and carries a heftier consequence.
While these gift exchanges look innocent, they are pyramid schemes and illegal."
Council of Better Business Bureaus director of communications Katherine Hutt told TODAY Living:
"Legally, it falls in the category of illegal gambling because you are betting that you’ll get back more than you put into it."
Unfortunately, this type of thing is not new. It continues to pop up year after year around the holidays.
A Facebook post from the US Postal Inspection Service dating all the way back to 2015 warns that you could be fined or get prison time if you’re convicted of taking part in this:
"Pyramid schemes carry hefty penalties. If you are convicted federally, you may be fined or imprisoned not more than two years, or both; and for any subsequent offense you may be imprisoned not more than five years."
The post also breaks down how huge the number of active participants would have to be, in order to for everyone who signs up to actually get what’s promised. Here’s my favorite quote:
“The 11th round requires everyone in the united states to join in, if the promise is to be fulfilled. The odds are likely greater that santa claus, himself, would fly his sleigh into the middle of times square to personally distribute the gifts.”
To put it another way, only the people at the very top of the pyramid will benefit, and might actually get what you’re being asked to send.
ANSWER
So we can VERIFY that the "Secret Sister" gift exchange is not legitimate. It’s a scam, and it’s illegal.
ADDITIONAL INFORMATION
The same thing goes for similar chain letter-like invitations to send strangers bottles of wine or bourbon, or the newest twist, which invites you to send a $10 gift card to a secret dog.
If you see an invitation like that online, just keep scrolling.