J.D. Associates Retail POS Solutions Blog

Gift Card Regulations Change Sunday, Aug. 29

  

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Over the years retailers have been continually asking questions about gift card fees and gift card expiration dates.  Because of often “fuzzy” answers, many retailers made up their own rules about gift cards and were frequently challenged by consumers who felt they were being bushwhacked with unfair fees and shortened expiration dates.  Well, all that is about to change and, for the most part, questions regarding gift cards should disappear due to new federal regulations which go into effect on Sunday, August 29, 2010.  The details of gift card regulation can be found in the Credit CARD Act (Credit Card Accountability Responsibility and Disclosure Act of 2009). 

In short, fees for gift card inactivity and other miscellaneous fees can only be assessed under very specific circumstances and gift cards cannot expire for at least 5 years from the date they are issued.  Additionally, fees and expiration dates as well as a toll free phone number or website must be printed on each gift card.
For those of you who are interested in the actual legalese, cut and paste the following link in your browser:  http://clerk.house.gov/library/reference-files/HT_Credit_Card_PL_111_24.pdf  The specifics on gift cards are listed under Title IV, Sec 401-403.  While you’re there, it might help to read the entire act which was primarily designed to regulate credit card companies.

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We have parnerships with gift card providers that offer automated online reporting and easy gift card management for single and multi-store retail businesses. 

And, you can integrate your point of sale software with your credit cards and gift cards. 

Call or email today to learn more!

Debra.neville@jdapos.com   978-840-2096 x 242

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