Share this @internewscast.com

Gift cards make great stocking stuffers — just as long as you don’t stuff them in a drawer and forget about them after the holidays.

Americans are expected to spend nearly $30 billion on gift cards this holiday season, according to the National Retail Federation. Restaurant gift cards are the most popular, making up one-third of those sales.

Most of those gift cards will be redeemed. Paytronix, which tracks restaurant gift card sales, says around 70% of gift cards are used within six months.

But many cards — tens of billions of dollars’ worth — wind up forgotten or otherwise unused. That’s when the life of a gift card gets more complicated, with expiration dates or inactivity fees that can vary by state.

Here’s what to know about the gift cards you’re giving — or getting:

Loved, but lost

After clothing, gift cards will be the most popular present this holiday season. Nearly half of Americans plan to give them, according to the National Retail Federation.

But many will remain unspent.

Gift cards get lost or forgotten, or recipients hang on to them for a special occasion. In a July survey, the consumer finance company Bankrate found that 47% of U.S. adults had at least one unspent gift card or voucher with an average value of $187. That’s a total of $23 billion.

The gift of time

Under a federal law that went into effect in 2010, a gift card can’t expire for five years from the time it was purchased or from the last time someone added money to it. Some state laws require an even longer period. In New York, for instance, any gift card purchased after Dec. 10, 2022, can’t expire for nine years.

Differing state laws are one reason many stores have stopped using expiration dates altogether, says Ted Rossman, a senior industry analyst at Bankrate.

Use it or lose it

While it may take gift cards years to expire, experts say it’s still wise to spend them quickly. Some cards — especially generic cash cards from Visa or MasterCard — will start accruing inactivity fees if they’re not used for a year, which eats away at their value. Inflation also makes cards less valuable over time. And if a retail store closes or goes bankrupt, a gift card could be worthless.

Perhaps consider clearing out your stash on National Use Your Gift Card Day, a five-year-old holiday created by a public relations executive and now backed by multiple retailers. The next one is Jan. 20, 2024.

Or sell it

If you have a gift card you don’t want, one option is to sell it on a site like CardCash or Raise. Rossman says resale sites won’t give you face value for your cards, but they will typically give 70 to 80 cents per dollar.

The money trail

What happens to the money when a gift card goes unused? It depends on the state where the retailer is incorporated.

When you buy a gift card, a retailer can use that money right away. But it also becomes a liability; the retailer has to plan for the possibility that the gift card will be redeemed.

Every year, big companies calculate “breakage,” which is the amount of gift card liability they believe won’t be redeemed based on historical averages. For some companies, like Seattle-based Starbucks, breakage is a huge profit-driver. Starbucks reported $212 million in revenue from breakage in 2022.

But in at least 19 states — including Delaware, where many big companies are incorporated — retailers must work with state unclaimed property programs to return money from unspent gift cards to consumers. Money that isn’t recovered by individual consumers is spent on public service initiatives; in the states’ view, it shouldn’t go to companies because they haven’t provided a service to earn it.

Claim it

All 50 states and the District of Columbia have unclaimed property programs. Combined, they return around $3 billion to consumers annually, says Misha Werschkul, the executive director of the Washington State Budget and Policy Center.

Werschkul says it can be tricky to find the holders of unspent gift cards, but the growing number of digital cards that name the recipient helps. State unclaimed property offices jointly run the website MissingMoney.com, where consumers can search by name for any unclaimed property they’re owed, including cash from gift cards.

Share this @internewscast.com
You May Also Like
Microsoft says China-backed cybercriminals hacked into US nuclear weapons agency

Microsoft Reports China-Backed Cybercriminals Breached US Nuclear Weapons Agency

Microsoft has issued a warning that hackers sponsored by the Chinese state…
9-year-old Montreal girl found in an upstate New York pond drowned in a homicide

9-Year-Old Montreal Girl Found Dead in Upstate New York Pond; Ruled as Homicide

GLENS FALLS, N.Y. — A 9-year-old girl from Canada found deceased in…
Man in viral Jacksonville traffic stop video speaks for the first time

Jacksonville Traffic Stop Goes Viral: Man Shares His Story

William McNeil Jr. spoke for the first time after releasing video of…
Bryan Kohberger speaks just three words when given chance to explain why he killed four Idaho college students

Bryan Kohberger Utters a Brief Response When Asked About the Killing of Four Idaho College Students

Convicted killer Bryan Kohberger uttered only three words in court on Wednesday…
Alaska hiker mauled by bear rescued with help of advanced drone technology on remote trail

Drone Assists in Rescuing Hiker Mauled by Bear on Remote Alaskan Trail

A hiker in Alaska was rescued with the assistance of a drone…
Micah Parsons fires at Jerry Jones in latest Cowboys contract twist

Micah Parsons Criticizes Jerry Jones Amid New Cowboys Contract Drama

Micah Parsons had a pretty pointed statement for Jerry Jones after the…
Bruce Perry, 17, demonstrates Character AI, an artificial intelligence chatbot software that allows users to chat with popular characters such as EVE from Disney's 2008 animated film, WALL-E, Tuesday, July 15, 2025, in Russellville, Ark. (AP Photo/Katie Adkins)

Teens Rely on AI for Guidance, Companionship, and Mental Escape

No question is too small when Kayla Chege, a high school student…
Oregon woman stabbed to death in home with 5 children; suspect charged with murder

Tragic Incident in Oregon: Woman Fatally Stabbed at Home; Suspect Faces Murder Charges

A⁠⁠n Oregon woman was fatally stabbed on Saturday while her five young…
Florida family still living with leaks years after the state promised repairs

Florida Family Continues to Endure Leaks Years After State’s Repair Promise

Nearly eight years after the Murray family’s home was hit by Hurricane…
Boat captain arrested after hit-and-run crash into USS Midway museum ship: police

Boat Captain Arrested After Colliding and Fleeing Scene Near USS Midway Museum Ship, Police Report

A 60-foot private boat collided with the USS Midway in San Diego…
Trump's immigration enforcement push results in skyrocketing arrests of criminal illegal aliens

Trump’s Hardline Immigration Policies Lead to Surge in Arrests of Criminal Undocumented Immigrants

The total of criminal illegal immigrants taken into custody by U.S. Immigration…
Travis Decker speaking to police.

Newly Released Audio of Fugitive Father Travis Decker Exposes His Biggest Fear – Shortly Before Allegedly Killing His Daughters

Father, Travis Decker, reportedly voiced concerns about the possibility of imprisonment just…