What Should You Do With Old Gift Cards?

Unused gift cards often accumulate, becoming a source of forgotten value. Many individuals find themselves holding gift cards for retailers they rarely frequent or with small, remaining balances that seem difficult to use. Rather than letting these prepaid funds go to waste, several straightforward approaches can reactivate their utility. Effectively managing these cards can unlock their full purchasing power, transforming them from dormant assets into practical financial tools. This article explores methods to verify gift card details, strategies for their practical use, and alternative avenues for monetizing or donating them.

Verifying Card Details and Balance

Before any action, it is important to confirm the current balance and validity of a gift card. Most retailers offer several convenient ways to check a card’s balance. This can be done online by visiting the retailer’s official website and locating a “Check Balance” or “Gift Card” section, where you enter the card number and a PIN. Physical gift cards typically have the card number and PIN on the back.

Alternatively, a balance check can be performed by calling the customer service number printed on the back of the gift card. This method requires providing the card number. For in-store gift cards, visiting a physical location and asking a cashier or customer service representative to scan the card is another common way to determine the remaining balance. It is also important to locate any expiration dates, which are at least five years from the date of issuance under federal law. Federal regulations also restrict dormancy or inactivity fees; such fees can only be charged if the card has been unused for at least one year and are limited to one per month, with clear disclosure.

Strategies for Using Gift Cards

Once the balance and terms are clear, using the gift card directly for purchases is the most common approach. Physical gift cards can be presented at checkout in brick-and-mortar stores, with the purchase amount deducted from the card’s balance. For online shopping, the process involves entering the gift card number and PIN into the payment section during checkout.

When a gift card has a small remaining balance, it can be combined with other payment methods, such as a credit card or cash, to complete a purchase. Many retailers allow for split payments, enabling consumers to utilize the full value of the gift card before paying the remainder with another form of tender. Some online platforms and digital wallets also facilitate combining multiple gift card balances or using them in conjunction with other payment methods for a single transaction. To maximize the value, consider using the card for everyday necessities or for items you had already planned to buy, effectively turning the gift card into a discount on routine expenses.

Monetizing or Donating Unused Cards

For gift cards unlikely to be used directly, alternative options exist for monetizing their value or donating them. Several online marketplaces specialize in buying and selling gift cards, allowing individuals to sell unwanted cards for cash or trade them for cards from different retailers. These platforms offer a percentage of the card’s face value, with payouts varying based on retailer popularity and demand. The process involves providing the card details, receiving an offer, and then getting paid.

Another option involves trading a gift card for a different one that aligns better with personal shopping habits. Some services or kiosks facilitate these exchanges, providing flexibility for consumers. Additionally, unwanted gift cards can be a valuable non-cash donation to charitable organizations. Charities accept gift card donations, which can be used to purchase supplies, support programs, or be distributed to those in need. Donating to a qualified 501(c)(3) organization may also offer a tax deduction, requiring proper documentation from the charity.