EP051 Gift and Prepaid Cards – Consumer Beware

Everyone loves a gift card. When bought as a gift or delivered as a prize, gift cards make us happy. Sadly, 25% of gift cards are never used and 32% of those are simply lost. Some might say gift cards are impersonal, but for others, they are a go-to gift. For those who do love gift cards, they’re a fun way to allow someone to treat themselves. 

Today, I’m sharing my top 3 tips for buying and receiving gift and prepaid cards. I discuss the things to watch out for and how to get the most out of the money on your gift cards. I also explain the various different types of cards available and how looking after your gift cards is the same as looking after your cash. 

“Treat a gift card like cash. If it’s lost, anyone can go and spend it.” – Tracey Bissett 

• What is a gift card?
• The pros and cons of buying gift cards. 
• How gift cards work. 
• When gift cards could expire and things to look out for. 
• Different types of gift card. 
• Possible fees and rules. 
• The ins and outs of pre-paid cards. 

1. Always check the terms and conditions – be aware that certain cards may have different rules or fees associated. 
2. Treat a gift card like cash – report it if it’s stolen, as well as any unauthorised transactions. Be aware that you may not receive compensation. 
3. If you get a card you won’t use, gift it! – Sell it to a friend or give it away. After all, you can’t redeem it for cash. 

• Consumer Protection Ontario 
• The Financial Consumer Agency of Canada (FCAC)  

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