Manitoba’s Consumer Protection Office is reminding consumers of their rights when purchasing or using gift cards this holiday season.
Gift cards are an increasingly popular choice for consumers because they offer flexibility and convenience. However, when purchasing a gift card, it is important to remember that certain rules apply. For example, gift cards cannot have an expiry date unless they are:
- issued or sold for specific goods or services, such as a manicure or a massage;
- given to consumers for free, such as a promotion or a raffle prize.
In addition, no fee can be charged for the purchase of a gift card, unless it is to personalize it, replace a lost card or if the card has not been used for 12 consecutive months and can be used for numerous stores such as those in the same shopping mall. In that situation, a minimal fee of $2.50 per month may be charged.
Consumer protection laws also require businesses to inform shoppers of all conditions, limitations and restrictions relating to gift cards along with information about how the cardholder can find out the balance. Consumers are reminded to keep a copy of their receipts in case there are any problems with a card or its activation.
These rules do not apply to bank issued cards such as Visa and MasterCard, since these fall under the jurisdiction of the federal government. Consumers are strongly encouraged to ensure they understand all the terms, conditions, fees and limitations that may apply to a prepaid gift card to ensure they receive full value for their purchase.
By knowing the rules and becoming informed about their rights under the law, consumers will be better protected. For more information, contact the Consumer Protection Office at 204-945-3800, 1 800-782-0067 (toll-free) in Manitoba, via email at consumers@gov.mb.ca or on the website at www.gov.mb.ca/cca/cpo.
