2007 12 - gift cards 2007 - best and worst retail cards - a deeper view of bank card doesnt improve their look

Gift Cards 2007: Best and Worst Retail Cards; A Deeper View of
Bank Cards Doesn’t Improve Their Look

BACKGROUND

Gift cards have become a huge business in America. The TowerGroup, a

subsidiary of MasterCard, estimated that total 2006 gift card sales topped $80

billion, a 20 percent increase over 2005.1 The National Retail Federation estimates

that gift card sales in the 2007 holiday season will total $26.3 billion, a 6 percent

increase over the $24.8 billion in 2006 holiday sales.2 The TowerGroup estimated

that sales of traditional retail gift cards (“closed loop” cards) in 2006 were $59

billion, compared to $23 billion in sales of bank gift cards (“open loop” cards),

which carry the logo of American Express, Discover, MasterCard, or Visa, and are

accepted where those brands of credit, debit, or charge cards are.3 A recently

released survey estimates, however, that sales of bank gift cards in the 2007 holiday

season could double the 2006 holiday season total.4

Besides the large gift card sales estimates, the TowerGroup released another

figure that has received even greater attention: that consumers lose nearly $8

billion annually—approximately 10 percent of gift card sales—due to unredeemed

value, expiration, or loss of cards. This “breakage” amount is more than double the

1
“With Soaring Gift Card Sales Poised to Exceed $80 Billion in 2006, Unused Card Values Are Also on
the Rise,” TowerGroup Press Release, November 20, 2006.
2
“Gift Cards More Popular Than Ever, According to NRF,” National Retail Federation Press Release,
November 13, 2007.
3
“With Soaring Gift Card Sales Poised to Exceed $80 Billion in 2006, Unused Card Value are also on the
Rise,” TowerGroup.
4
“Gift Cards from American Express, Discover, MasterCard and Visa Earn 93% Satisfaction with
Consumers,” National Branded Prepaid Card Association Press Release, November 8, 2007.

$3.5 billion annually estimated to be lost from debit and credit card fraud.5 And

there are signs that gift card breakage is worsening. For example, Consumer

Reports just released a survey showing that, as of October 2007, 27 percent of

consumers who received gift cards during the 2006 holiday season had not yet used

one or more of the cards they received. That figure compares to 19 percent at the

same time last year.6

Gift card breakage is clearly a concern of government regulatory agencies

and state legislatures. Our 2006 gift card study noted that the Federal Trade

Commission (FTC) was pursuing action against Darden Restaurants, the parent of

Red Lobster, Olive Garden, Smokey Bones, and Bahama Breeze, for failure to

adequately disclose its gift cards’ dormancy fees.7 In 2007 the FTC settled its case

against Darden8 and a similar one against Kmart9 by requiring the companies to

reimburse consumers who lost money from their inadequately disclosed gift card

fees.10 As we noted in last year’s study, both companies had already eliminated the

fees from their gift cards.

5
“With Soaring Gift Card Sales Poised to Exceed $80 Billion in 2006, Unused Card Value are also on the
Rise,” TowerGroup.
6
“Consumer Reports Takes on Gift Cards in Second-Annual Public Education Campaign,” Consumer
Reports Press Release, November 13, 2007.
7
“Gift Cards 2006: Retail Cards Continue to Improve (with Prodding); Bank Cards Still Have Problems,”
Montgomery County, Maryland Office of Consumer Protection, November 20, 2006, p.2.
8
In the Matter of Darden Restaurants, Docket No. C-4189, U.S. Federal Trade Commission, Decision and
Order, May 7, 2007.
9
In the Matter of Kmart Corporation, Docket No. C-4197, U.S. Federal Trade Commission, Decision and
Order, August 14, 2007.
10
Our previous gift card reports pointed out the problems with the companies’ disclosures of their gift card
fees (see, e.g., “Gift Cards 2005, Many Good Retail Cards. Any Good Bank Cards?” Montgomery
County, Maryland Division of Consumer Affairs, December 1, 2005). The FTC’s press releases on its
settlements acknowledged the office’s assistance.

2

State legislatures have shown their concern about gift card breakage by

enacting legislation to address gift card fees and expiration dates. In 2007

Arkansas, Florida, Illinois, Minnesota, Nevada, New Mexico, North Carolina,

Oregon, and Utah enacted gift card laws and are on the list of approximately 30

states with such legislation.

Concerns about the breakage issue is also the reason the Montgomery

County Office of Consumer Protection has been issuing annual gift card reports

since 2003. We believe that giving consumers information on gift cards, particularly

on which ones have expiration dates or fees, enables consumers to adjust their card

buying and usage to minimize breakage.

METHODOLOGY

For this, our fifth annual gift card report, we reviewed the gift cards,

packaging and inserts, websites, and policies of 22 major retailers and restaurant

chains and 20 bank card issuers. The list of retailers and restaurants (contained in

the Retail Card Table at the end of this report) includes department stores, discount

stores, clothing stores, home improvement stores, video rental stores, sporting goods

stores, gas stations, and coffee shops. The bank cards are listed in the Bank Card

Table at the end of this report. The information in this report was gathered from

late October to mid-November 2007. The retail cards were all purchased in the

named stores or restaurants. The cards were not bought in “gift card malls” in

which a company’s cards may sometimes have different features than those

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purchased directly from the company. Bank cards were purchased online from the

issuer or in person from retailers. Maryland has a gift card law prohibiting

imposing fees or expiration dates on retail gift cards until they are four years old.

To ensure that this report remains relevant for the states that don’t have similar

legislation, we purchased our cards outside Maryland in jurisdictions without

similar legislation.

Retail Cards

Like last year’s study, we again looked at the following five retail gift card

issues:

1) Whether replacement cards may be obtained if the gift card is lost or

stolen and its value has not been depleted,

2) Whether the cards have an expiration date,

3) Whether fees might be assessed to the card’s balance,

4) Whether there is pre-purchase disclosure of any fee or expiration date

in the stores and on the company’s website, and

5) Whether the cards offer the convenience of purchasing from the

company’s website.

4

There have been news reports that scammers have obtained the card

numbers of unsold cards and then used the numbers to spend a sold card’s value

online before the recipient uses the card. The gift card industry has responded to

the threat of this or other scams by putting PIN numbers, covered with scratch off

coating, on cards. We, therefore, also looked at whether the cards have scratch off

PINs.

Results for these factors are presented in the Retail Card Table.

Bank Cards

Even a cursory look at bank cards reveals they are considerably more

complex than retail cards. The relevant information on retail cards ordinarily fits

on the back of the cards, whereas bank cards are packaged with a fairly lengthy

card agreement of terms and conditions. All the cards we bought in person were

enclosed in packages, which may also disclose key terms. Their websites often

feature a Frequently Asked Questions section, as well as a copy of the card’s terms

and conditions. In short, bank cards impose a variety of fees, offer features, and

present problems that retail cards do not.

We have made some changes in the factors we focused on in bank cards, but

they bear a resemblance to those we focused on with retail cards. They are:

1) Whether there is a purchase/processing charge and the amount,

2) Whether there is a maintenance fee and the amount,

3) Whether the card has an expiration date and when,

4) Whether a lost or stolen card can be replaced and at what charge,

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5) What other fees a card may impose,

6) Whether the cards may be used for online purchases, and

7) Whether the cards offer security features to prevent online abuse by

scammers.

Like last year, we also looked at whether the cards have potential problems

when they are used in a purchase greater than the amount on the cards. Press

accounts have highlighted that consumers have experienced problems in such

transactions with bank cards, including having the transaction rejected.11 This is

because bank cards are processed through the existing credit or debit card system,

which may not be capable of reading the precise value on the bank card and putting

the balance of the transaction on another form of payment, as is easily done with

retail cards.

Finally, we focused more on the adequacy of disclosures on bank cards, their

packages, enclosures, and websites. In evaluating these disclosures, we noted the

guidance that the Office of the Comptroller of the Currency, part of the U.S.

Department of the Treasury, provided national banks in 2006 on disclosures and

marketing issues regarding their gift cards.12 But we also applied our own common

sense in noting issues with the disclosures.

The results for all these factors appear in the Bank Card Table.

11
Caroline Mayer, “Bank Cards Come Wrapped With Limits,” The Washington Post, February 17, 2006, p.
D1.
12
Gift Card Disclosures, OCC Bulletin 2006-34, Office of the Comptroller of the Currency, August 4,
2006.

6

FINDINGS

Retail Cards

• 18 of the 22 studied cards are recommended because they have the five positive

features we were looking for. That is, they have no fees, no expiration dates,

they can be replaced if lost or stolen, they can be used to make purchases on the

companies’ websites, and they have a scratch off PIN for security. The cards are

those of Abercrombie and Fitch, Best Buy, Blockbuster, Circuit City, Crate and

Barrel, Gap, JCPenney, KB Toys, Kohl’s, Lowe’s, Nordstrom, Old Navy,

PetSmart, Sears, Sports Authority, Starbucks, Target, and Wal-Mart. If one is

looking for a gift card they are all good choices. Blockbuster’s presence on this

list is particularly notable because we have found in previous years that

Blockbuster cards had fees or expiration dates. Blockbuster has eliminated the

fees/expiration dates on its new cards and is now in the top category. (Although

its cards didn’t qualify for our recommended group, we should also note that

Pizza Hut’s gift card phone line now announces that the maintenance fees for

which we downgraded their cards in last year’s report have been eliminated,

regardless of what is stated on its cards.)

• The other four studied cards are not recommended because they carry fees or

expiration dates. Macy’s and Bloomingdale’s cards continue to impose an

expiration date of two years after the last value added (the cards are re-

loadable). At least Bloomingdale’s cards’ packages disclose this more

straightforwardly than last year. Shell’s gas cards also continue to impose a

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dormancy fee of $1.75 per month after 12 months of non-use. This is the first

year we have studied Claire’s cards. They impose a dormancy fee of $1.00 per

month after 24 months non-use with a twist: the fee is imposed retroactively to

the first month of inactivity so that a $25.00 card would suddenly be reduced to

$1.00 when the fee kicks in. This is similar to the way Kmart’s fee used to work

before it was eliminated under pressure from the FTC. Unlike the other three

companies with not recommended cards, Claire’s does not adequately disclose

its fee. It is disclosed on the back of the cards—as are all the retail card fees and

expiration dates we’ve seen—and one can look at the card backs in stores, but

Claire’s website gives no disclosure of this fee when card orders are placed on its

website. It is surprising after the FTC’s Darden and Kmart cases that a major

retailer would have such a gap in disclosing gift card fees.

Bank Cards

• All 20 of the studied bank cards impose a purchase/processing charge. For

moderately priced cards they range from a low of $2.00 in Simon Malls for their

Visa Gift Cards to a high of $10.90 for American Express Gift Cards for Kids

ordered online or by phone.

• All 20 of the bank cards impose a maintenance fee. 19 of the 20 impose the fee

on a monthly basis, ranging from $1.25 to $4.95 per month. Six of those 19 cards

delay the monthly charge for six months. 11 delay the monthly charge for a

year, while the two Discover Gift Cards delay it until after a year of non-use.

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The iCARD Visa Gift Card takes a different tact by imposing a $25.00 fee after

the first six months and then each six months thereafter.

• All 20 of the bank cards have an expiration date. The shortest expiration period

is six months for the iCARD Visa Gift Card and longest was 42 months for our

sample of the GiftCertificates.com MasterCard Gift Card. All of these cards

offer the opportunity to have any remaining balance at expiration returned via a

reissued card or check. The American Express Gift Cards do not charge for a

new card. Otherwise, the charges for a new card or refund check range from

$5.00 to $25.00. The iCARD Visa Gift Card has the highest fee, along with the

shortest expiration date. Its double whammy after six months is to

simultaneously charge a $25.00 maintenance fee and expire. It will then cost

another $25.00 to get any remaining balance returned. (That’s if one acts

promptly; if one delays more than two years to ask for a refund the charge is

$75.00.) Some of the other cards specify that the new card or check must be

requested within a time limit, the Gift2Go Visa Gift Card’s is 60 days. But there

is another reason to ask for the card’s balance to be returned promptly after

expiration: the maintenance fees for many of these cards continue to be charged

even after the stated expiration date. They can quickly eat away any balance

that existed at expiration.

• All 20 of the cards offer replacements if a card is lost or stolen. They also all

charge for that service. The charges range from $5.00 to $15.00. The All-Access

Visa Gift Card will refund a lost card’s balance via check instead of a new card.

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It is critical that the companies be promptly notified of a missing card so that

there is a balance to be returned.

• Seven of the cards impose other fees. The iCARD, the only card of the 20 that

can be used in ATMs, charges $2.50 above the surcharge of the ATM owner for

each such transaction. The GiftCards.com Visa Debit Gift Card charges $0.35

for each purchase with the card. The Gift2Go Visa Gift Card offers paper

statements but charges $5.00 for them. Other cards may impose fees for phone

inquiries. The AAA Visa gift Card may charge the cardholder $15.00 if the

card’s balance goes negative, which presumably would only happen if there’s an

error in the system.

• All 20 of the cards may be used to make purchases online. All 20 also have

security provisions for such purchases. Many require special registration of the

card to make such purchases.

• All 20 of the cards acknowledge the potential problems when trying to use the

card toward a purchase greater than the value on the card. They give fairly

detailed instructions for dealing with the problem by attempting a “split tender”

transaction. In such a transaction the cardholder is supposed to have previously

ascertained the precise value on the bank card and ask the checkout clerk to

split the transaction into one for that amount on the bank card and another for

the balance of the purchase with a different form of payment. Interestingly,

some cards instruct that the bank card portion of the split tender transaction

should be rung up first, while others instruct that the transaction for the balance

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should be rung up first (a transaction for which a calculator may prove handy).

American Express’ Card Agreement is perhaps the most forthright in

acknowledging that attempting a split tender transaction may not solve the

problem. After instructing consumers how to attempt a split tender transaction,

it notes that “[s]ome retailers, particularly department stores, will only allow a

‘split tender’ transaction if the second form of payment is cash or check.

Internet and most mail order merchants do not permit ‘split tender’

transactions. We do not guarantee that the Merchant will accept two forms of

payment such as two gift cards.”

• Our review of the cards’ disclosures revealed some fundamental flaws. The

AAA and iCARD Visa Gift Cards do not disclose the maintenance fee on the

cards themselves and the All-Access Visa Gift Card does not contain the specifics

of the maintenance fee. These failures run directly counter to the guidance

provided by the Comptroller of the Currency in 2006. The package of the

Vanilla Visa Gift Card fails to disclose its maintenance fee, so a potential buyer

is unaware. This card and its package, as well as the Vanilla MasterCard and its

package, say that the card’s balance never expires. The Comptroller of the

Currency’s guidance made clear that such statements should not be made in

connection with cards that have a maintenance fee that makes them expire

slowly. The packaging of the All-Access Visa Gift Card has a similar problem,

as we pointed out in our 2006 report. American Express is phasing out packages

with similar language, but we continue to find some of these packages in

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retailers. The U.S. Bank Visa Gift Card and giftcertificates.com MasterCard

Gift Card websites disclose that their cards expire but fail to disclose how long

the card you order will be valid. In addition, some of the cards’ retail display

packages do not disclose the cards’ purchase/processing fee on the front of the

package. This can be misleading to consumers who are used to buying retail

cards and paying only for the amount on the card.

HIGHLIGHTS

Retail Cards

This year’s report spotlights 18 recommended cards that have every

desirable feature we specified. The bigger picture is that there are many other good

retail cards on the market. Our four not recommended cards impose fees or

expiration dates, but due to the improvements in retail cards in recent years, one

may be hard pressed to find other national retail cards with fees or expiration dates.

That leaves many good choices and we have recommended 18 of the best.

Bank Cards

We have not seen similar improvement in bank cards, except that it does

appear to be getting somewhat easier to find bank cards that do not impose

maintenance fees until after one year. Another noteworthy development is that

Discover Gift Cards, which delay maintenance fees until after one year of non-use,

can now be purchased by everyone—not just Discover Cardmembers—online and

in selected malls.

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Besides bank cards’ ubiquitous fees and expiration dates, the problem of

paying for a purchase greater than the card’s value is a substantial one. In addition,

our study found some surprising disclosure problems with some of these cards.

Overall, the issue for bank cards is whether the convenience of having a card

accepted at many merchants is worth the fees and the potential inconvenience of

problems paying for a purchase greater than the card’s value.

RECOMMENDATIONS

For Card Buyers/Givers

• Choose one of the 18 standout retail cards highlighted in this study. While the

features highlighted in this study may not be critical to all recipients, we believe

they will appreciate receiving a card with all of these features. In addition, the

breakage figures cited at the beginning of this report show that expiration dates,

fees, or losing a card become a factor much more often than one would expect.

• If the widespread acceptance of a bank card is of primary importance, pick one

that does not impose maintenance fees until at least one year. It may also be

worth checking out the cards offered by your own bank because some offer

cards with relatively low fees for their own customers.

• Send the original receipt along with the card to the recipient or the recipient’s

parent. Advise them to keep it in a safe place so they can seek a replacement if

the card is lost or stolen.

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• When buying a gift card, look carefully at the pre-purchase disclosures of terms

and conditions on the website and the packaging or cards in the store or bank.

If terms are not given, or appear too cryptic to be complete, do not buy it.

For Recipients

• Spend the cards quickly so yours don’t become breakage statistics.

• Look at the terms and conditions on the back of a gift card and any paper insert

as soon as you receive one. If the card has an expiration or fee commencement

date, it is especially important to spend it promptly. Avoid the bank card uses

that incur additional fees.

• Set up a family gift card file to retain the original receipts, subsequent receipts,

any expiration/fee commencement dates, any inserts with terms and conditions,

and toll free customer service numbers. Register the cards that require this for

replacement.

• Call the toll free number a soon as possible if the card is missing, because you

should not expect a replacement if someone else has spent the balance on your

missing card. Even if the card says that replacements are not provided, contact

the company anyway if it is lost or stolen. It does not hurt to ask, and we talked

to some customer service representatives who indicated that their company

might replace cards with proper proof of purchase even when its stated policy is

not to.

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Retail Cards (Recommended Cards)
Card Replacement cards Expiration Date? Are there Fees? Is the expiration Can card be used to Scratch off
available if lost or date/fee disclosed purchase from PIN for
stolen? pre-purchase in both company website? security?
store and website?
Abercrombie & Fitch Yes, with original receipt No No — Yes Yes
Best Buy Yes, with proof of No No — Yes Yes
purchase
Blockbuster Yes, with card number No No — Yes, if card has PIN Yes
and receipt higher then 6016
Circuit City Yes, with original receipt No No — Yes Yes
Crate & Barrel Yes, if card registered No No — Yes Yes
Gap Yes, with original receipt No No — Yes Yes
JCPenney Yes, with proof of No No — Yes Yes
purchase
KB Toys Yes, with proof of No No — Yes Yes
purchase
Kohl’s Yes, with proof of No No — Yes Yes
purchase
Lowe’s Yes, with original receipt No No — Yes Yes
Nordstrom Yes, with proof of No No — Yes Yes
purchase
Old Navy Yes, with original receipt No No — Yes Yes
PetSmart Yes, with proof of No No — Yes Yes
purchase and card
number
Sears Yes, with proof of No No — Yes Yes
purchase
Sports Authority Yes, with proof of No No — Yes Yes
purchase and ID
Starbucks Yes, if card registered No No — Yes Yes
Target Yes, with original receipt No No — Yes Yes
Wal*Mart Yes, with original receipt No No — Yes Yes

Retail Cards (Not Recommended)
Card Replacement cards available if Expiration Date? Are there fees? Expiration date/fee Can card be used Scratch off
lost or stolen? disclosed pre- to purchase from PIN for
purchase in both company security?
store and website? website?

Bloomingdale’s Yes, with proof of purchase Yes, after 2 years No Yes Yes Yes
(a Federated from last value
Dept. Store) added1
Claire’s No2 No $1 per month, No n/a No
after 24 months
non-use,
retroactive to first
month non-use1
Macy’s Yes, with proof of purchase Yes, after 2 years No Yes Yes Yes
(a Federated from last value
Department Store) added1

Shell Yes, with proof of purchase No $1.75/month after Yes n/a No
12 months non-
use1

1
Expiration dates or fees do not apply in states that prohibit them.
2
Customer Service representative indicated company may provide replacement with proper proof of purchase.

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Bank Cards
Card How Purchased and Maintenance Fees Expiration Date Replacement Other Fees Potential Problem Use Security? Disclosure Issues
Purchase/Processing Charge Card Fee When Purchase Online?
Exceeds Card
Value?
AAA Visa Gift Card In AAA Branches $1.25 per month after 6 Printed on card (Sample $5.95 $0.50 for card Yes Yes Yes Card does not
months (12 in NY), until purchased expired after 22 registration and disclose
card depleted. months.) balance inquiries maintenance fee.
(Charter One Bank) $4.95
by phone.

$15 if balance
goes negative.
All-Access Visa Gift Participating Retailers $4.95 per month after Maximum of 3 years from $9.95 to $0.50 for balance Yes Yes Yes Specifics of
Card 12 months, until date of purchase - printed on refund balance inquiry by phone. maintenance fee
balance is depleted. the card and package. by check. not disclosed on
$3.95 for $25.00
Balance may be returned by card.
$4.95 for $50.00
check for $9.95, within 24
$5.95 for $100.00
months.
(Inter National Bank)

American Express Online at $2.00 per month after Up to 3 years from date of $5.95 No Yes Yes Yes Front of package does
Gift Card www.americanexpress.com/gift 12 months, until purchase, depending on not disclose amount
card balance is depleted. where purchased– marked on of purchase/process
card. charge.
By phone at 1-877-AXP-GIFT
Remaining balance may be
transferred to a new gift card
At participating banks, retailers,
for free or refunded by check
and malls. (Prices may vary.)
minus $10.00 check-issuance
fee.
$3.95, plus $5.95 shipping
($2.00 for personalized cards)
for online and phone orders.

Not available to residents of
CT, HI, NH, RI, &VT

17

Exceeds Card
Value?
American Express Online at $2.00 per month after Up to 3 years from date of $5.95 No Yes Yes Yes Front of package sold
Gift Card for Kids www.americanexpress.com/gift 12 months, until purchase, depending on in retailers does not
card balance is depleted. where purchased– marked on disclose amount of
card. purchase/processing
charge.
By phone at 1-877-AXP-GIFT
$4.95, plus $5.95 shipping for
for free or refunded via check
online and phone orders
minus $10.00 check-issuance
fee.
At participating banks, retailers,
and malls. (Prices may vary.)

CT, HI, NH, RI, &VT

American Express sells similar
cards for teens, birthdays,
dining, movie lovers and bride
and groom.
The Apprentice Online at $2.95 per month after 6 12 months from date of $5.95 No Yes Yes Yes See footnote.1
MasterCard Gift Card www.apprenticecard.com months, until balance is purchase, printed on card.
depleted or card
expires.
(First Regional Bank) $6.00 for $25.00 A $10.00 inactivity fee is
$7.00 for $50.00 applied at expiration. Any
$9.00 for $100.00 balance may be returned on a
new card for $5.95.

1
Information not complete because card still not received 22 days after online order. Listed toll free number could not provide information and did not call back
as promised.

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Exceeds Card
Value?
Discover Gift Card Online at $2.50 per month after 24 months from time of $5.00 No Yes Yes Yes —
www.discovergiftcard.com 12 consecutive months purchase. Printed on Card.
non-use, until balance
is depleted.
By phone at 1-866-522-7026 Remaining balance may be
(Must be a Discover transferred to a new gift card
Cardmember to purchase by less a $5.00 service fee
phone.) (must be requested within 90
days after expiration).
$3.95 fee for Original Gift Card
and $6.95 for Premium Gift
Card Package

CT, DC, HI, MA, ME, NH, RI,
TN & VT

Discover Gift Card In select shopping malls $2.50 per month after Printed on card. (Sample $5.00 No Yes Yes Yes —
12 consecutive months purchased expires after 31
non-use, until balance months.)
$4.95
is depleted.
less a $5.00 service fee
(must be requested within 90
days after expiration).

Giftcards.com Visa Online at www.giftcards.com $2.50 per month after 6 2 years from issue date. $5.00 for new Yes Yes Yes Yes —
Debit Gift Card months, until balance is card if balance $0.35 fee for
depleted. over $25. each purchase.
$4.95 for $25 - $75 Balances over $25 refunded
Balance under
$5.95 for $76 - $250 via new gift card for $5.00.
$25 refunded
$6.95 for $251 - $500 Balances under $25 refunded
by check for
by check for $7.00.
$7.00.

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Exceeds Card
Value?
GiftCertificates.com Online at $2.00 per month after Printed on card (sample $15.00 No Yes Yes Yes Website does not
MasterCard Gift Card www.giftcertificates.com 12 months, until purchased expired after 42 disclose how long the
balance is depleted. months). Balance may be gift card is valid.
refunded on new card for
$10.00 or by check for
$20.00.

Gift2Go Visa Gift Online at www.gift2go.net $2.50 per month after 2 years from date issued, $5.00 $5.00 for paper Yes Yes —
Card 12 months, until value printed on card. Balance statement.
depleted or expiration refunded on new card for
By phone at 1-800-995-3065
date, whichever is first. $5.00 fee, if requested within
(Marshall Bank)
60 days.
$3.95 for $20 - $99.99
$4.95 for $100 - $199.99
$5.95 for $199.99 - $250
HSBC MasterCard Online at www.hsbcgift.com $2.50 per month after 24 months after purchase, $5.95 No Yes Yes Yes —
Gift Card 12 months. printed on card. Balance may
be refunded by check for
$4.95 for $25 - $200
$10.00.
$6.95 for $201 - $500

iCARD Visa Gift Online at $25.00 per 6 months, 6 months from the month $5.95 $2.50 per Yes Yes Yes Maintenance fee not
Card www.icardgiftcard.com $7.95 waived for first 6 following issuance. transaction disclosed on card.
online months, until balance is above surcharge
depleted or refund of ATM owner.
Balance may be refunded by
requested.
By phone at 1-636-733-7541 check for $25.00 fee within 1
$5.95 plus 2.5% of card’s value year of purchase, $50.00 from
(BANKFIRST)
for phone orders 1-2 years, or $75.00 after 2
years.

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Exceeds Card
Value?
Ideal Gift Visa Gift Participating retailers. $2.00 per month after Printed on card. Balance can $5.95 No Yes Yes Yes Extremely small print
Card 12 months, until be refunded by check for on card and terms
balance depleted. $15.00, if requested within 12 and conditions
Varies - $5.95 Maximum
months. provided with card.
(Meta Bank)

National City Visa In Branches - $2.95 $2.50 per month after 6 12 months after purchase, $15.00 No Yes Yes Yes —
Gift Card Online at months, until card printed on card. Balance may
www.giftcard.nationalcity.com depleted. be refunded by check for
$5.00.
$4.95 - $8.95, depending on
gift card value, plus $2.50 if
non-National City card used to
purchase.
Simon Mall Visa Gift Online at $2.50 per month after At least 20 months from date $5.00 No Yes Yes Yes —
Card www.simongiftcard.com 12 months, until purchased. Printed on front
expiration date. of card.
In Simon malls
transferred to a new card for
(U.S. Bank) $5.95 online
$15.00 reissue fee.
$2.00 in malls

Suntrust Visa Gift Online at $2.50 per month At least 1 year after purchase $5.00 $1.00 per call for Yes Yes Yes —
Card www.suntrust.com/giftcard after 6 months. date, printed on card. more than 2 calls
$4.95 to customer
service per
Balance may be refunded by
month.
By Phone – 1-800-318-0210 check for $15.00.
$6.95

21

Exceeds Card
Value?
Vanilla Visa Gift Card Participating Retailers $1.50 per month Printed on card. $5.95 No Yes Yes Yes Maintenance fees
after 12 months, not disclosed on
until balance is package. Card
$3.95 for $25 Balance may be refunded on
depleted. and package say
$4.95 for $50 new card for $5.95 or by
balance never
$5.95 for $100 check for $10.00.
(U.S. Bank) expires.

Vanilla MasterCard Participating Retailers $1.50 per month Printed on card. $5.95 No Yes Yes Yes Despite
Gift Card after 12 months, maintenance fee,
until balance is card and package
$4.95 for $25 Balance may be refunded on
depleted. say balance never
$5.95 for $50 new card for $5.95 or by
expires.
$6.95 for $100 check for $10.00.
(Marshall Bank)
U.S. Bank Visa Gift Online at www.usbank.com $2.50 per month Printed on card. Printed on $15.00 $1.00 for each Yes Yes Yes Website does not
Card Online - $6.95 after 6 months, card (sample purchased call to a disclose how long
until value expired after 24 months). customer service the gift card is
depleted. representative. valid.
U.S. Bank Branch - $4.99
$0.50 per call to
automated
returned by check for $15.00.
phone line after
first 2 calls.
Washington Mutual Online at $2.50 per month 24 months from purchase $15.00 No Yes Yes Yes —
MasterCard Gift Card www.wamugiftcards.com after 12 months, date. Printed on card.
until balance is
depleted.
$5.45 for $25 - $200 Remaining balance may be
$7.95 for $201 - $500 transferred to a new gift card
or refunded via check for $15
(Washington Mutual)
fee. Must be requested within
180 days of expiration date.

22

Montgomery County Office of Consumer Protection

100 Maryland Avenue

Suite 330

Rockville, MD 20850

240-777-3636

November 2007

23

2007 12 - gift cards 2007 - best and worst retail cards - a deeper view of bank card doesnt improve their look

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2007 12 - gift cards 2007 - best and worst retail cards - a deeper view of bank card doesnt improve their look