What to Do With Gift Cards: From Spending to Selling

Gift cards are a widely accepted form of tender, offering recipients flexibility in choosing desired goods or services. They serve as a convenient alternative to traditional presents, enabling individuals to select items tailored to their preferences. Understanding the various ways to utilize and manage these cards can help maximize their inherent value. This guide explores practical approaches to handling gift cards, from direct spending to alternative options.

Making Purchases with Gift Cards

Using a gift card for purchases is straightforward, whether in a physical store or through an online platform. For in-store transactions, present the physical gift card at the checkout counter. The cashier will typically swipe or scan the card, applying its balance to the purchase total. If the purchase exceeds the card’s value, the remaining balance can be paid using another method, such as cash, debit, or credit card.

When shopping online, digital gift cards are redeemed by entering their unique codes during the checkout process. This usually involves inputting the gift card number and a Personal Identification Number (PIN), often found on the back of a physical card under a scratch-off panel or provided with digital card details. Some retailers allow customers to combine multiple gift cards for a single transaction or apply a gift card balance towards a larger purchase, then pay the difference with another payment method. Instructions for using a card online are often found on the retailer’s website or the gift card itself.

Understanding Gift Card Details

Before using a gift card, it is important to understand its specific details, including the available balance, potential expiration dates, and any associated fees. Most gift cards provide several methods for checking the balance, such as visiting the retailer’s official website and entering the card number and PIN, calling a toll-free customer service number listed on the card, or inquiring with a cashier directly at a physical store location. Instructions for balance inquiries are typically printed on the back of the card or included in the accompanying documentation for digital cards.

Federal law, the Credit Card Accountability Responsibility and Disclosure (CARD) Act of 2009, provides consumer protections for gift cards. This law mandates that gift cards cannot expire within five years of purchase or last fund addition. Dormancy or inactivity fees can only be charged after one year of no activity, and these fees and expiration dates must be clearly disclosed. While federal law sets a minimum standard, some state laws offer even greater protections, potentially prohibiting expiration dates entirely or restricting fees further. Registering a gift card with the issuer, if available, can protect against loss or theft, potentially allowing for balance recovery or replacement.

Exploring Other Options

Beyond direct purchases, several alternatives exist for managing unwanted or partially used gift cards. One common option is selling the gift card through online marketplaces or dedicated gift card exchange platforms. These services typically purchase gift cards at a discount from their face value, often ranging from 5% to 20% off, providing immediate cash or store credit in return.

Another alternative involves exchanging gift cards for those from a different retailer, which some platforms facilitate. This is useful if a card is for a store that doesn’t align with personal shopping needs. Donating gift cards to charitable organizations is also an option, transforming unused value into support for a cause. Finally, regifting an unused card to someone who would find it more useful remains a simple and effective way to ensure its value is utilized.