Can anyone explain to me why a provider that insists on getting part of their compensation in a gift card instead all in cash? I am wary of deposits in any way, but I do not understand why all cash isn't better for all involved.

Since you can register your gift cards online now, can you find out  where it was redeemed?   Provider  asked electronic gift card. Just numbers.

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Only cash in "exchange" is illegal .

her logic dictates she wont have to pay taxes on it?

then I think that’s a scam. “She’ll” give you a location where you think you’re going to meet. When you’re outside, she’ll insist that you give her the gift card info before allowing you to come up. But, she’s not even there. She or he is in Nigeria probably.  

Now, gift cards as a deposit, that’s not necessarily a scam. You just need to research the provider. If she doesn’t have reviews, she should at least be listed on several sites and have a social media presence.

She doesn't have to carry a wad of cash around with her or take it to a bank...deposits are traceable ......easy to spend gift cards.....harder for IRS to find ways to tax her earnings......That is a terrific idea and as our current government leaders continue to push for a cashless society.....this makes perfect sense....!

To each their own.  I've had clients who pay me in all gift cards because it's easier for them.  I have allowed it. We all have different financial situations.  What works for one may not work for another.  Some people don't use cash at all anymore. All shopping and bill paying can be done online.  

I do agree on researching your provider before giving her anything however, I disagree about making sure she has a social media presence.  I'm talking about main stream media.  I find it dangerous and a down right a horrible idea to advertise escort services on main stream social media. I'm not even close to the only provider who does not put themselves all over main stream social media.  Doing so does not allow for the discretion I require in my hobby life. I keep personal and professional separate. I believe hobby services are best advertised on hobby websites. Looking for ladies on main stream media sites greatly limits the number and verity of providers you could see.  It's also much easier to rip people off and get away with it.  

Being all over the internet does not equal professional, safe and responsible with money.  A professional will be on professional websites. If their not, that's a red flag! Some providers got themselves banned on hobby sites

Especially if you're going to be in public with your provider, it's best to be sure she's not advertised all over main stream anything.  

All main stream media allow for fake profiles.  This is the reason I don't use any main stream media, including Linkedin, for screening.  It's too easy to fake a profile. I know ladies in the hobby that have a handful of social media accounts in various names.  If she gets a bad reputation under one name, she changes the name and puts up all new accounts.  Escort sites that are professional and as safe as they can be make sure they verify who is on their site and do not allow multiple fake accounts and all the other nonsense that goes on main stream social media accounts.

When I came back after my hiatus, I had to give my info to prove I'm me before I could get back on hobby sites.  

I don't use most social media for personal reasons, I prefer to live my life off a screen and not advertise it to the world. You'll never see me stopping what I'm doing to take a picture for social media.  I can't wrap my head around doing that. Everyone on Facebook and other sites has agreed that Facebook and other sites can steal, own and sell any and all info in the device you sign in on...even when you're not signed in.  I do not agree to this invasion of privacy or allowing those invading to make money off it. Everything done on main stream social media is stored and available to LE if they wanted it. That's enough to turn me off.  

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Terrific opportunity for the client to run all or at least part of the "Investment" thru on his expense report !   If you do any multi location travel....you can always pick up a few gift cards and put  them on your expense report...if you struggle to figure out how to do this......don't do it....best  strategy is to run a few through at a time in $25 to $50 denominations to get by the sales prevention team audit department.....

Just curious, but I would think it would be a bit tedious to have several gift cards with various denominations to keep track of and spend. I don’t work with gift cards except to use the occasional one I get as a gift, but I gather from your reply that you may be getting several different cards at once. If so, isn’t that more work to spend (and verify amount received) than if you just got the cash?