Things you might not know about Gift Cards

Your friend’s birthday or anniversary is coming up or perhaps your niece is graduating but you have no idea what you should be giving them as a gift. This is an issue faced by almost everyone. It is either because you do not have the time or maybe you are not sure if the gift you are buying will be useful or not.

No one wants to spend a substantial amount on an item that will lay unused for months or years. Nevertheless, this dilemma has been resolved with the advent of gift cards. It is somewhat similar to gifting cash but it is not exactly cash that you are giving as a gift.

Cash cannot be personalized but when it comes to gift cards, you can make it a customized gift. This lets the recipient know that some thought has been put into the “gift”.

Gift cards have been around for a while but still, various confusions arise when selecting or using a gift card. This article does a round-up of all things you might not know about gift cards.

Expiration Date

One of the most important questions that everyone wants to be answered related to gift cards is the expiration date! As the rule goes, a universal gift card is valid for 5 years from the time of activation. Besides, there are instances wherein some gift cards start losing their value after a certain period.

Sometimes, you do not have enough time or even inclination to read through a whole load of instructions to ascertain the expiration of a gift card. If you are unsure about the validity limit of a gift card then it is best to use it as soon as possible. This will bring more value to the giver and the receiver of the gift card.

Gift Card Value

Quite often people quote this myth that if you make a purchase through a gift card less than the gift card’s value then you will not be able to use it again, but this is not the case. If the item you purchased worths $70 but the value of your gift card was $100 then the remaining balance of $30 will be retained in your gift card. Such a gift card can be reused until its expiration date. Similarly, if you make a purchase over $100 and pay it with your gift card, the remaining amount will have to be paid right there by either cash or credit card.

Reloading the Gift Card

It is not possible to reload your gift card. If you have some balance in your gift card and wish to top it up, this cannot be done. You can pay with a combination of cards but you cannot top-up a gift card. Though, few cards have been developed along the lines of a gift card and can be reloaded. Such cards are usually used by companies who give their employees these cards pre-loaded with a certain amount to be used for company-related expenses or expenses incurred when on duty. These types of gift cards can be reloaded, unlike conventional gift cards.

Discount Codes

When it comes to discount codes on gift cards, it varies from company to company. You cannot purchase a gift card using a discount code. However, there are instances where you can apply discount code/s on an item you have purchased and then make a payment using a gift card. There are other cases where you cannot apply discount codes on an item you intend to purchase with a gift card. It is always better to check with the store or company you are purchasing from to ensure that you do not face any inconvenience.

Physical and Digital Gift Cards

With everything being digitized, it comes as no surprise that gift cards are also being marketed in a digital format. You receive a code via email that can be redeemed anywhere where a physical gift card would be accepted. Even with the ease of access, e-gift cards cannot replace the charm of physical gift cards. Just like you can lose a physical gift card, there is every possibility that you can lose the code allowing you access to the gift card.

The current generation is more familiar with the digital format and finds it more convenient than physical cards. Therefore, if you are planning to give a gift card to a teenager or a young graduate then consider emailing them the code to the gift card.

Selling the Gift Cards

Though it may not be a great idea to sell a gift card because of it being a present from your loved ones, it is possible to sell your gift card. The gift cards can be sold to a card reseller that pays the seller the gift card amount and then sells the card to a new purchaser.

Gift cards can also be sold on eBay and other sites that pay you in cash for your card. It would be wise to trade with authentic companies so that neither you nor the future purchaser is scammed.

Buying a Gift Card with a Gift Card

Maybe you have a $100 gift card and want to get four cards of $25 so that you can gift these to four different people. It seems like a great money-saving idea but unfortunately, this cannot be done. You cannot buy a gift card with another gift card. The alternative to this can be selling your card and then using the cash to get gift cards of the smaller amount.

Shipping and Taxes

You do not need to use a gift card only to pay for the item you are purchasing. The gift card is a specific amount that you can be spent on anything, provided the one you are making a purchasing for can utilize the money in the gift card. So, if you are looking to pay for shipping and taxes using your gift card, you can do that. You just have to make sure that your gift card has enough amount to cover those fees.

Gift cards have made life easier for a lot of people, for both the giver and receivers. This method of giving presents is not going to go away any time soon but expect to see a few changes and more attractive features in the coming years. There are certain limitations with the usage at present, several retailers will not accept gift cards from certain companies or you cannot exchange one gift card for two but in the future, these kinds of limitations may be eliminated.

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