Gift card expiry

[Tassie f100]

I see on the TV this morning something about putting short expiry dates on gift cards.My beef is why does a gift card come with a date any way.Surely if I or someone else has paid for a card it should be vald until it is cashed.When Dick Smith stores closed they refused to honour any gift cards.Surely a card means the customer has already paid for $XX worth of goods therefore the customer should be entitled to collect he goods which have effectivly been already paid for.Why should my grandson be deprived of the article which was bought for him maybe 12 months earlier

[nuthin' fancy]

From a business perspective, receipt of payment creates a responsibility to supply. Having this hanging over your head is actually a business risk.

Of course, the short time frames are so they can take your money and not supply anything at all?

I would approach the retailer and ask for a substitute if your expiry date is approaching.

[xisled]

Business make a lot of money on these gift cards.

They know a fair amount of gift cards wont be spent.

So they basically are taking money from people and because they expire they don't have to supply any goods.

If you have a card that is expiring, go in the shop and buy anther gift card. Unless it states in T&C you cant buy a gift card using a gift card, you can keep it without expiring.

[ford71V8]

Originally Posted by nuthin' fancy

From a business perspective, receipt of payment creates a responsibility to supply. Having this hanging over your head is actually a business risk.

Of course, the short time frames are so they can take your money and not supply anything at all?

I would approach the retailer and ask for a substitute if your expiry date is approaching.

So use the gift card to purchase a gift card?
Makes sense actually.

[Tassie f100]

Originally Posted by xisled

Business make a lot of money on these gift cards.

They know a fair amount of gift cards wont be spent.

So they basically are taking money from people and because they expire they don't have to supply any goods.

If you have a card that is expiring, go in the shop and buy anther gift card. Unless it states in T&C you cant buy a gift card using a gift card, you can keep it without expiring.

Yeah I think that would be right re cards not getting cashed.My main gripe was about Dick Smith refusing to honour cards even if they were only a few weeks old.But $50 is $50 whether 1 month or 2 or more years down the track.If retailers are sellng cards they must have to account for the cash thats been collected until the card is redeemed

[Yellow_Festiva]

As stated, gift cards are a cash cow for retailers.

Actually, I was told that when they offer them in promotions etc, the retailer sells them in bulk with a discount of between 5 and 10%.

They know x% of them will never be used. I have found expired gift cards / movie tickets / vouchers etc etc etc when I do an office clean up. Peeves me off.

So I try and use gift cards straight away.

There were really old Myer vouchers / gift cards floating around that were some 15 or 20 years old that were still valid as back then there was no expiry on them.

I think they should remove the expiry on them personally, or issue them electronically so they can be found again if lost.

[xisled]

Originally Posted by Tassie f100

Yeah I think that would be right re cards not getting cashed.My main gripe was about Dick Smith refusing to honour cards even if they were only a few weeks old.But $50 is $50 whether 1 month or 2 or more years down the track.If retailers are sellng cards they must have to account for the cash thats been collected until the card is redeemed

That is the thing once a gift card has been purchased it is no longer cash, its a store credit. It sucks about dick smith, a lot of people lost out.

[flightstrike]

I was always under the impression gift cards don't expire. The retailers put an expiry date in them (some). But legally they must honor them.

[SYZ]

People who've bought Dick Smith gift cards are now unsecured creditors. Should never have happened, and shows again—as if we needed reminding!—that both the ACCC and ASIC are toothless tigers when it comes to consumer/purchaser protection.

[nuthin' fancy]

Originally Posted by flightstrike

I was always under the impression gift cards don't expire. The retailers put an expiry date in them (some). But legally they must honor them.

Not correct, unfortunately.

[Stefan]

Easy solution is people should not buy them.

[BFGasUte]

Hello,

A lost gift Card can be replaced in some cases. Another thing similar in some ways is a Stamp. You buy it at the current cost to Post, yet if it goes up 6 months later you have to pay more.