Vent: Ripped Off... or so i feel

[momo360]

Hiyas all,

I just gotta vent.

So a couple of years ago work gives me these gift cards valid at a few shopping malls here in Montreal. These are cards which were fully paid for in cash by those who purchase them. While moving I lost track and even forgot about these cards.

Recently the wife found them, so I think "what a treat! there's a C&E at each of these malls, let's go get some sweet almond soap (or what's left of it)."

Anyway, it turns out that after a few months $2 (plus tax!!!) is taken off of the value of the card monthly; what was left of $65 is now $10.80...

I'm not really feeling bad about this, as I don't think I should allow myself to be, I just wish things were done with more integrity at times.

thanks for listening (reading).

 

[Austin]

I refuse to buy visa gift cards from malls. They charge some ridiculous fee for this service. You are better off giving cash.

 

[castlecraver]

Unfortunately, this is exactly why so many places push the hell out of their gift cards, especially around Xmas. Between the fees, and the fact that a significant percentage of gift card holders forget about them or otherwise never use them, its like free money for the companies. You're better off buying a gift and providing the receipt -- if the giftee has to make a trip to the store to return it (as they would to redeem the gift card anyway) they might as well be able to get full value.

 

[Limey]

It is a rip off. However, so many of us feel we need to hold on to these cards. The banks and stores are simply playing off of that and turning to their benefit.

My advice...When you get a gift card just go out and blow it!

 

[letterk]

Not sure about Canada, but I believe those "fees" are illegal, just like expiration dates on gift cards.

 

[htownmmm]

Gift cards are exactly that-gifts of money to the company that sells them.



Marty

 

[momo360]

Not sure about Canada, but I believe those "fees" are illegal, just like expiration dates on gift cards.

thanks a lot for your feedback fellas,
John, anymore about the whole illegal aspect of these cards.

 

[Prince]

I hate getting these things for that very reason.
When my wife and I get one, we feel like we have to run out and use them before we forget about it. At least you can stick cash in a jar and know it'll still be there when we need it.

 

[Pete]

It would seem a traditional "Gift Certificate" would be a better option than these cards. For years, businesses sold gift certificates, and seemingly these charges were unheard of. At what point did it become acceptable?

The way I see it, the buyer has spent their money at that particular business. Therefore, they are already a customer. Why treat a customer in this manner!?!

-Pete

 

[liege]

We give and get Borders gift cards. There are no fees taken away per month.

 

[Smedley]

thanks a lot for your feedback fellas,
John, anymore about the whole illegal aspect of these cards.

Are there disadvantages for the consumer?

Some cards carry fees or expiry dates. The card may have to be used within a year. Some cards charge fees if the card hasn't been used in six months or more. Typically, an administrative fee may cut the value of your card by $2.50 a month after six months or a year.

However, several American states have passed laws outlawing service fees on gift cards. In March 2005, Indianapolis-based Simon Property Group agreed to pay $100,000 in penalties and $25,000 in court costs after New York's attorney general accused the company of violating a state law that prohibits monthly service fees on gift cards not used for 12 consecutive months.

Currently, there are no federal or provincial laws in Canada governing gift cards but Manitoba and Ontario have both said they will legislate an end to expiry dates on gift cards.

A year old news, but probably still valid.

 

[BBB3]

I believe the expirations and monthly fees on gift cards are illegal in most states now. In fact, most large national retailers (in the U.S) have abandoned the practice altogether, even if the cards originally disclosed the expiration and monthly fees.

 

[TimmyBoston]

I refuse to buy visa gift cards from malls. They charge some ridiculous fee for this service. You are better off giving cash.

I always give cash instead of gift cards. You might as well, with a gift card, they know how much you spent and cash works everywhere or can be saved, which is what many people would prefer to do anyway.

 

[TimmyBoston]

The way I see it, the buyer has spent their money at that particular business. Therefore, they are already a customer. Why treat a customer in this manner!?!

-Pete

They've already got the money, so they don't don't care anymore.

 

[boboakalfb]

I always give cash instead of gift cards. You might as well, with a gift card, they know how much you spent and cash works everywhere or can be saved, which is what many people would prefer to do anyway.

Yep...cash, the original gift card, accepted everywhere.

 

[Rompin Donkey]

Surely as the months go by they should be adding value not reducing it. They have had the use of the money after all.

 

[Mama Bear]

This reminds me of getting a $50 gift card once, only to have it get lost.. I found it again a little over a year later...but it had expired after a year.. and they would not make any exceptions..

 

[SmoovD]

Don't feel too bad, I have a brand new C&E gift card worth $80.00 and it is essentially worthless. The store can verify that there is money on the card but the card will not "accep" any transactions. I have contacted the responsible party and as of one month I have no resolution. So there you go...

 

[ratcheer]

Unfortunately, this is exactly why so many places push the hell out of their gift cards, especially around Xmas. Between the fees, and the fact that a significant percentage of gift card holders forget about them or otherwise never use them, its like free money for the companies. You're better off buying a gift and providing the receipt -- if the giftee has to make a trip to the store to return it (as they would to redeem the gift card anyway) they might as well be able to get full value.

They also make a lot of money off people who use, say, $22 of a $25 gift card and never bother to use the rest. It doesn't seem like much to each customer, but they just made an additional 12%, for nothing.

Tim

 

[rtaylor61]

Right now I have a gift CERTIFICATE that is from 2001. There is no expiration date. I wonder what will happen when I try to use it!

Randy