Popular Online Holiday Gift Exchange is a Ho Ho Hoax

The holidays are here, and with them comes the yearly surge of online gift exchange scams — including the infamous 'Secret Sister Gift Exchange.'

At first glance, it looks like a fun way to spread some holiday cheer. But don’t be fooled.

What seems like a harmless game could actually be a way for scammers to get your personal information. By signing up, you might be giving strangers your address — and that’s not the kind of holiday surprise anyone wants.

Illegal in New York

Secret Sister isn’t just a scam — it’s illegal.

The US Postal Service has even issued a warning.

"They're illegal if they request money or other items of value and promise a substantial return to the participants."

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How the Scam Works

The Secret Sister scam often targets women looking for an easy Christmas gift exchange — and it usually comes from someone you know, which makes it seem harmless.

The pitch is simple: buy a single gift worth $10–$20, and they promise you’ll receive 6 to 36 (or more!) gifts in return. The scam usually says something like, “Comment below if you’re interested, and I’ll send you info about your ‘Secret Sister.’”

READ MORE: Viral TikTok Trend for Christmas is Illegal in New York

But what seems like fun and festive gift-giving is actually a clever way to get your personal information — and maybe even your money.

Pyramid Scheme

Postal Inspectors say the Secret Sister scam works a lot like a pyramid scheme. Sure, some people might get gifts, but for everyone to get what they were promised, the group would need an endless stream of recruits, which is mathematically impossible.

We all love giving and receiving gifts, especially during the holidays, and a little extra cheer is always welcome. But this year, let’s keep it offline — not on social media.