Gift cards are a go-to present at Christmas and are perfect for time poor shoppers – but Australians are wasting millions of dollars in expired vouchers.
In the past two years, more than two million people have had their gift cards expire.
So why are so many going to waste?
According to RateCity.com.au research director Sally Tindall, the answer is in the fine print.
“One of the problems with gift cards is there can be some really onerous terms and conditions, which can make your mind boggle when you're trying to buy a simple present,’” she told A Current Affair.
RateCity has compiled a list of the ‘naughty and nice’ gift cards to help consumers buy the best purchase.
- Sportsgirl, which has three-year expiries in all states except NSW and charges $5 postage for cards under $50
- Westfield, which has three-year expiries and charges $5.95 for postage and up to $4.95 in service fees
- Endota Spa, which has three-year expiries and charges $10 if the gift card is sent by post
- Spotify, which has 12-month expiries and requires the gift card to be used in one go
- JB Hi-Fi and The Good Guys, which both have no expiries and no fees
- iTunes, which has no expiries and no fees
- Bunnings, which has no expiries, free delivery via email or a $2.60 postage fee
- David Jones, which has three-year expiries and no fees
- Ultimate Gift Cards, which has three-year expiries, personalised gift cards and no fees
- Hoyts, which offers three-year expiries and charges $1 postage fees
Sally said there were a number of things people should be mindful of.
“Things you should be looking out for are short expiry dates and look out for things like fees, there is no point paying fees on gift cards," she said.
“Look out for peculiar terms and conditions like not being able to using the card online or in store or retailers that say you have to use the card in one go.”
But the good news for shoppers is the Federal Government has announced that from November 1 next year, all Australian companies will have to offer expiration dates of at least three years.
Federal Assistant Treasurer Stuart Robert told A Current Affair the idea is to make sure consumers don’t lose money
"All consumers, every single Australian, will have confidence that they're going to buy a gift card with their own hard earned money, it'll be there for three years,” he said.