PayPal Digital Gifts Hacked?
PayPal is a word that always brings out a great range of emotions among people in this community. Most people can’t stand the company, but we all put up with them for a variety of reasons. One of those reasons is their gift card arm called PayPal Digital Gifts. This company often sells discounted gift cards on eBay and on their own site as well.
One of the biggest issues people have with PayPal Digital Gifts is their strange rules. Over the years they have enacted strange security protections and purchase limits that are frustrating to say the least. The one positive I can say is that they have continued to code as 5X with Ink, which has made purchasing their discounted cards attractive during certain promotions.
Compromised iTunes Cards
One such promotion recently was for discounted iTunes gift cards. A company that I sell cards to even upped their buy price to encourage their bulk sellers to purchase the cards. I purchased my limit and sold them and I am sure others did as well. The company knows I am a blogger and I recently received the following message from one of the higher ups:
A slew of bad iTunes cards in the past few days that we’re all purchased from PPDG. We are putting together data points to confirm it, but we now think their outage was related to a hack.
Outage? What outage? Well, if you hadn’t heard, PayPal Digital Gifts went away for awhile in August. No notice, they just shut down their website and eBay store. Now we might know why. They might have had a security issue. Of course this is just speculation, but we do know that many of the cards were compromised and we now know one more thing…
Gift Card Codes via Google Search
This morning Doctor of Credit posted this Google search link on Twitter along with an accompanying article. If you clicked the link then you no doubt saw that some poor person’s codes have been indexed by Google and are available via public search. Based on this info and the email I received, I wonder if someone figured this out awhile ago and began cleaning out iTunes and perhaps other cards.
I really don’t know what to think here. If PayPal Digital Gifts was compromised they owe it to their customers to let them know what happened. At the very least we know that their security allowed certain codes to be indexed which indicates a compromise on some level. This is a company that makes it so hard to do business with them that you would think they would care enough about customers to proactively tell them something is going on. Then again, it is PayPal.
Based on the fact that their site is back up and that there are now only a very limited number of codes available via Google Search, my hope is that things have been fixed, but we don’t know what happened nor do we know what they have done to prevent this from happening again. As someone who has purchase a lot of gift cards from this company, I am a bit hesitant to buy more for now, but we’ll see.
What are your thoughts? Is this all a coincidence? Do you know something about this that I haven’t mentioned here? Let us know in the comments.