Frequently Asked
Questions

Gift cards generally fall into three main categories:

• Store/Retailer Gift Cards: These can only be used at specific stores or brands (like Amazon, Starbucks, or Target).
• Network-Branded Gift Cards: These cards (Visa, Mastercard, American Express) can be used anywhere the card network is accepted, similar to a debit card.
• Restaurant/Entertainment Gift Cards: Specific to restaurants, movie theaters, or entertainment venues.

Cards can also be physical plastic cards or digital/e-gift cards delivered electronically.

In the United States, federal law (the Credit CARD Act of 2009) prohibits gift cards from expiring for at least five years from the date of issuance or from the last date additional money was loaded onto the card.

However, there are some differences between types of gift cards:

• Store Gift Cards: Many major retailers have eliminated expiration dates entirely.
• Network-Branded Gift Cards: These typically have expiration dates (though at least 5 years out) printed on the card.
• Promotional/Reward Cards: These are not technically gift cards and can have shorter expiration periods.

Always check the terms and conditions for specific expiration policies.

Yes, some gift cards can have fees, but they're regulated by law:

• Inactivity Fees: These can only be charged after 12 consecutive months of inactivity, and the fee structure must be clearly disclosed.
• Purchase Fees: Network-branded gift cards (Visa, Mastercard, etc.) often charge an upfront purchase/activation fee (typically $3-$7).
• Replacement Fees: Some cards charge a fee to replace lost or stolen cards.

Store-specific gift cards usually don't charge monthly fees or maintenance fees. Always read the terms and conditions before purchasing to understand any potential fees.

If your gift card is lost or stolen:

1. Report immediately: Contact the retailer or card issuer as soon as possible.
2. Provide proof of purchase: Have your receipt, order confirmation email, or gift card number if available.
3. Verify registration: If you registered the card, this makes recovery much easier.

Recovery policies vary by retailer. Some may replace lost cards if you have proof of purchase and the card hasn't been used. Others may not offer any protection for lost or stolen cards.

Network-branded gift cards (Visa, Mastercard) typically offer better protections if you've registered the card, but may charge replacement fees.

To protect your gift cards from fraud:

• Buy from reputable sources: Purchase directly from the retailer or authorized sellers.
• Inspect physical cards: Check for tampering of packaging or exposure of PIN numbers.
• Register your card: When possible, register your gift card on the retailer's website.
• Keep receipts: Save purchase receipts as proof of purchase.
• Use quickly: Don't hold onto gift cards for extended periods without checking balances.
• Check balances regularly: Monitor your balance to detect unauthorized use.
• Be wary of resellers: If buying from a secondary market, use reputable platforms with guarantees.

If you believe your card has been compromised, contact the retailer immediately.

Digital and physical gift cards each have different security considerations:

Digital Gift Cards:

• Advantages: Can't be physically stolen, delivery is tracked, redemption can be easier to document
• Risks: Vulnerable to email hacking, phishing attacks, or device security breaches

Physical Gift Cards:

• Advantages: Not vulnerable to online hacking, can be physically secured
• Risks: Can be lost or stolen, card numbers can be skimmed in-store before purchase

Neither is inherently safer - the security depends on how you store and manage the card. For digital cards, use secure email accounts with two-factor authentication. For physical cards, keep them in a secure location and treat them like cash.

Common gift card scams include:

• Payment scams: Fraudsters impersonating government agencies, utilities, or tech support demanding payment via gift cards (legitimate organizations never request gift cards as payment)
• Tampered cards: Criminals record card numbers in stores, then steal funds once the cards are activated by legitimate purchasers
• Fake giveaways: Social media or email "contests" that request gift card information to "verify" your identity
• Resale scams: Selling gift cards with already depleted balances on secondary markets
• Phishing emails: Fake emails claiming to deliver gift cards that actually steal personal information

Remember: If someone specifically asks for payment by gift card, it's almost certainly a scam.

There are several ways to check your gift card balance:

1. Online: Visit the retailer's official website and look for "Check Balance" or "Gift Card Balance" options. You'll typically need the card number and PIN.
2. Phone: Call the customer service number printed on the back of the card.
3. In-store: Visit the retailer and ask a cashier to check the balance.
4. Mobile App: Many retailers have apps that allow you to check gift card balances.
5. Receipt: Your remaining balance is often printed on receipts after partial card use.

For security, only check balances through official channels. Never enter your gift card information on unfamiliar websites or in response to unsolicited emails.

Most gift cards can be used online, but the process varies by card type:

• Retailer Gift Cards: Most can be used on the retailer's website. Look for a "Gift Card" payment option during checkout and enter the card number and PIN.
• Network-Branded Cards (Visa, Mastercard, etc.): These work like debit cards for online purchases. You'll need to register your address with the card issuer for the billing address to match.
• Digital/E-Gift Cards: These are designed for online use. Some have codes to enter, while others can be loaded into digital wallets or store accounts.

Important notes:

• Some websites don't accept split payments, so your purchase amount must be less than your card balance.
• Some online merchants don't accept certain gift cards, particularly international sites.
• If your purchase amount exceeds your gift card balance, have a secondary payment method ready.

For small remaining balances on gift cards:

• Combine purchases: Use the card for a small portion of a larger purchase and pay the difference with another payment method.
• Purchase exactly the amount: Some retailers allow you to make purchases for the exact remaining amount.
• Reload the card: If the retailer allows, add more funds to reach a more useful amount.
• Sell or trade: Some gift card exchange platforms accept cards with small balances.
• Gift card registries: Some states have unclaimed property laws requiring retailers to turn over abandoned gift card balances. Check your state's unclaimed property website.
• Donate: Some charitable organizations accept gift cards with small balances as donations.

Note that some states have laws requiring merchants to provide cash back for small balances (typically under $5-10) upon request, though this varies by location.

Yes, there are several ways to exchange or sell unwanted gift cards:

• Gift Card Exchange Websites: Platforms like CardCash, Raise, and GiftCardGranny allow you to sell your gift cards for cash (typically 60-90% of face value) or exchange them for other gift cards.
• In-store Kiosks: Some retailers have gift card exchange kiosks (like Coinstar Exchange) where you can trade cards for cash on the spot.
• Person-to-Person Sales: You can sell to friends, family, or through local marketplace platforms.
• Retailer Exchange Programs: Some retailers have trade-in programs for their own or other stores' cards.

Important considerations:

• Exchange rates vary significantly between platforms and card brands
• Popular retailers usually offer better exchange rates
• Always use reputable services with buyer/seller protections
• Be aware of any fees associated with the exchange
• Some store-specific cards have terms prohibiting resale

Buying discounted gift cards can be safe if you take proper precautions:

Safer options:

• Use established gift card marketplaces with buyer guarantees (e.g., CardCash, Raise)
• Look for marketplaces that verify card balances before listing
• Choose sellers with positive ratings and review histories
• Verify the balance immediately after purchase
• Use the card quickly after purchase

Warning signs:

• Unusually large discounts (exceeding 20-25% for popular retailers)
• Sellers requesting payment methods with no buyer protection
• Reluctance to use established marketplace platforms
• Cards with very short expiration windows

Most reputable gift card marketplaces offer guarantees for a limited time (typically 30-100 days), so it's important to verify and use the card within that window.

Exchange rates for selling gift cards typically range from 60% to 92% of the card's face value. Several factors affect how much you'll receive:

• Brand popularity: Cards from major, national retailers (like Amazon, Walmart, Target) typically fetch higher rates (75-92%) than regional or specialized retailers (60-75%).
• Card balance: Cards with higher denominations often receive better exchange rates.
• Physical vs. digital: Some platforms offer different rates depending on card format.
• Seasonality: Rates may improve during holiday seasons when demand increases.
• Exchange platform: Different marketplaces offer different rates for the same cards.
• Payment method: Cash payouts are typically lower than exchanges for other gift cards.

For the best rates, compare offers across multiple exchange platforms before selling.

Several laws protect consumers regarding gift cards in the United States:

Federal Laws:

• Credit CARD Act of 2009: Prohibits gift cards from expiring for at least five years from issuance date; limits inactivity fees until after 12 months of inactivity; requires clear disclosure of fees and expiration dates.
• Electronic Fund Transfer Act: Provides some protections for network-branded gift cards.
• Federal Trade Commission regulations: Address deceptive practices in gift card marketing and sales.

State Laws: Many states have additional gift card protections that may:

• Prohibit expiration dates entirely
• Ban all post-purchase fees
• Require cash redemption of small balances (typically under $5-10)
• Address what happens to unused gift card funds

State laws vary significantly, so check your state's consumer protection agency website for specific information.

When a retailer closes or goes bankrupt, gift card holders are considered "unsecured creditors," often leaving card holders with limited options:

Bankruptcy scenarios:

• Chapter 11 (Reorganization): The retailer may continue honoring gift cards temporarily or permanently, depending on bankruptcy court approval.
• Chapter 7 (Liquidation): Gift cards typically become worthless, though card holders can file claims as creditors (with very low chances of recovery).

Other possible outcomes:

• The retailer may set a deadline for redeeming gift cards before they're invalid
• A competitor might acquire the brand and honor existing gift cards
• If the store is part of a larger parent company, other stores in the group might accept the cards

If you hear news about a retailer's financial troubles, it's best to use their gift cards immediately. Some state consumer protection laws may offer additional protections in store closure situations.

Getting refunds for gift cards is generally difficult, as most retailers have policies against it. However, there are some exceptions and options:

Retailer policies:

• Most major retailers do not offer direct refunds for gift cards
• Some may make exceptions for cards purchased within 24-48 hours that haven't been used
• Original purchase receipt is typically required for any return consideration

Special circumstances where refunds might be possible:

• Proven fraud or theft (varies by retailer)
• Defective cards (e.g., activation issues)
• Retailer-specific error

Alternatives to direct refunds:

• Sell the card on a gift card exchange platform
• Exchange for another retailer's card (through exchange services)
• Give the card to someone else who will use it

When purchasing gift cards for others, consider their shopping preferences carefully, as returns are typically not an option.