Gift Card Guidelines Issued

[jeffrey]

The Office of the Comptroller of the Currency has issued guidelines to banks on gift cards and to refrain from misleading customers. For example, they are asking banks not to use the misleading terms "no expiration date" for a gift card when the card carries monthly maintenance or service fees since these can make the gift card worthless if it is not used quickly. If there are fees that can make the card become worthless before it expires, these fees should be disclosed.




The agency has advised that basic information about the gift card should be provided on the gift card itself or some type of memo attached to the gift card so that consumers can easily understand any fees and restrictions the gift card holds. this includes:

If an expiration date exists, it should be displayed on the front of the card.

All fees, including monthly maintenance, service, dormancy and usage should be spelled out

Contact information with tool free number or website address where consumers can get more detailed information should be displayed.

There currently aren't any universal standards for gift cards and these recommendations are guidelines and not mandatory for gift card issuers. There can be a number of fees associated with gift cards that you should fully understand if giving a gift card or when receiving one so that you get the full value of the card.