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Schumer said scammers can steal the values on the cards before the gift is even given.

He is asking the National Retail Federation and Retail Gift Card Association to better conceal the activation codes on cards displayed in stores.

Schumer says scammers record activation numbers on the unprotected cards, then try to buy items with the stolen information after they are sold to customers.

"We need to better protect gift cards for consumers, because the system many stores use now is a free buffet for scammers and crooks that can leave unsuspecting victims with a valueless piece of plastic junk Christmas morning," said Schumer.

Schumer is urging companies to block the codes or ask stores to remove the cards from display counters.