Why is proper customer identification important for gift card transactions?

Proper customer identification is crucial for gift card transactions primarily because it ensures that only authorized users can redeem or load cards. This is important for security reasons, as gift cards can represent significant monetary value, and unverified transactions could lead to unauthorized use or fraud. By confirming the identity of the customer, the system can protect both the company and the legitimate cardholder from potential theft or misuse.

Accurate identification helps to create a secure environment for transactions, reinforcing customer trust in the brand. It also prevents issues that could arise from someone attempting to use a gift card that does not belong to them, ensuring that the funds on the card remain safe and are used as intended.