Kim M. from Pacific Heights asks: “I want to get my daughter a gift card for the holiday, but I have heard that they have fees and expiration dates that can result in the card losing most or all its value. What is the law regarding these gift cards?”
Gift cards can be good for the retailer and the receiver. The receiver can take advantage of the after-Christmas sales to get more for his or her money, and the retailers get cash upfront without reducing inventory. These cards used to be more of a benefit for retailers, but the California Legislature, in combination with certain consumer-rights groups, has enacted legislation designed to protect consumers.