It happens to almost everyone. You’re cleaning out a drawer or wallet and suddenly find an old gift card tucked behind expired receipts. The first thought that comes to mind is simple: Is this thing still worth anything? That moment of uncertainty leads many people to ask the same question: Do gift cards expire?
The good news is that most gift cards don’t expire, or legally can’t expire for at least five years. Thanks to federal consumer protection laws and even stronger state regulations, many gift cards remain valid far longer than people expect. Unfortunately, confusion about expiration dates and fees causes millions of dollars to go unused every year.
This matters more than you might think. Americans are estimated to hold over $21 billion in unused gift cards, much of it forgotten due to uncertainty around expiration rules. In this guide, you’ll learn how gift card expiration really works, how laws protect you, how to check if an old card is still valid, and what to do with unwanted or aging gift cards. Before you throw that card away, read this—you may be leaving money on the table.
Quick Answer: Do Gift Cards Expire?
Short answer:
In most cases, no. The majority of gift cards either don’t expire at all or are protected by federal law for at least five years.
The longer, more accurate answer is that it depends on several important factors.
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The type of gift card
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The state where it was purchased
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When it was activated
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Whether it was purchased or received as a promotion
Store-issued gift cards often have no expiration date, while bank-issued prepaid cards may list one—but the money usually doesn’t disappear. Instead, the issuer must replace the card or transfer the balance.
Quick decision framework
Ask yourself these questions to determine if your card is likely still valid:
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Was the card purchased with money or received as a promotion?
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Is it a store card or a prepaid Visa-style card?
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Has it been inactive for more than a year?
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Which state was it purchased in?
If it was purchased (not promotional), activated within the last five years, and issued in a consumer-friendly state, chances are high the balance is still yours. Understanding these basics helps you avoid unnecessary losses and confidently use what you’re entitled to.
Understanding Gift Card Types
Closed-Loop Gift Cards (Store Gift Cards)
Popular examples include Amazon, Starbucks, and Target.
These cards typically:
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Do not expire in most cases
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Rarely charge inactivity or maintenance fees
Because retailers want repeat business, many eliminate expiration dates altogether. Any expiration date printed on these cards is often overridden by state or federal law.
Open-Loop Gift Cards (Bank-Issued / Prepaid Cards)
Open-loop cards are issued by financial networks like Visa, Mastercard, and American Express.
These cards:
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Can be used almost anywhere the network is accepted
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Often displays an expiration date
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May charge monthly maintenance fees
Important difference: even if the card expires, the funds usually do not. You’re typically entitled to a free replacement card with the remaining balance.
Other Types
Other gift card categories include:
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Restaurant gift cards
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Entertainment or experience cards
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Digital or e-gift cards
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Promotional or rewards cards
Promotional cards are the most likely to expire and are often exempt from federal protections.
Federal Law: The CARD Act Explained
The Credit CARD Act of 2009 fundamentally changed how gift cards are regulated in the United States. Before this law, consumers frequently lost balances due to short expiration periods and hidden fees.
Under the law:
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Gift cards cannot expire for at least five years from activation or last reload
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Dormancy or inactivity fees are prohibited for the first 12 months
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Fees must be clearly disclosed on the card
The five-year clock starts when the card is activated, not when it’s purchased. This distinction is crucial, especially for cards given as gifts months later.
However, not all cards are covered. Promotional cards, loyalty rewards, and some paper certificates are exempt. The CARD Act also does not eliminate fees entirely—it simply regulates when and how they can be charged.
Understanding this law answers a major part of the question do gift cards expire, and provides reassurance that most purchased cards are legally protected for years.
State-by-State Gift Card Laws
States can offer stronger protections than federal law—and many do.
States where expiration is NOT allowed
The following states prohibit gift card expiration entirely:
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California
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Connecticut
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Florida
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Illinois
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Maine
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Massachusetts
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Minnesota
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Montana
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Oregon
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Rhode Island
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Washington
If a card was purchased in one of these states, it generally cannot expire—even if the retailer operates nationally. This matters because many large retailers apply the strictest state rules across the country to avoid legal complexity.
States with stricter rules than federal law
Some states go beyond the five-year minimum:
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New York: 9 years
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Massachusetts: 7 years
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Maryland: 4 years
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New Mexico: 60 months
Fee-focused regulations
Several states restrict or prohibit inactivity fees altogether. Others require clear disclosures or prohibit fees that reduce balances below a certain threshold.
Why this matters:
Your rights often depend on where the card was purchased—not where you live now. National brands frequently follow the most consumer-friendly laws nationwide, benefiting everyone.
Gift Card Fees: What You Need to Know
Not all gift card value disappears through expiration—fees can quietly reduce balances.
Common fees include:
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Inactivity or dormancy fees
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Monthly maintenance fees (prepaid cards)
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Replacement fees
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Balance inquiry fees
Legally, most fees can only begin after 12 months of inactivity, and only if clearly disclosed. Store gift cards rarely charge fees, while prepaid cards are more likely to do so.
To avoid fees:
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Use the card within the first year
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Register prepaid cards online
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Check balances regularly
Understanding gift card fees helps ensure unused gift cards don’t slowly lose value over time.
What Happens to Expired or Unclaimed Gift Card Balances?
When gift cards go unused for long periods, balances may fall under escheatment laws. These laws require companies to turn over unclaimed property to the state.
Once transferred, funds don’t disappear. Consumers can often reclaim them through state unclaimed property databases. Even if a card says “expired,” you may still have rights to the balance.
Several states actively recover unused gift card funds and return them to consumers who file claims—sometimes years later.
How to Check If Your Old Gift Card Is Still Valid
Follow these steps:
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Check the card for an expiration date
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Visit the issuer’s official website
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Check the balance online
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Call the customer service number
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Review the law in the purchase state
Have the card number, PIN, and approximate purchase date ready. Red flags include scratched PINs, zero balances without transactions, or mismatched branding.
Always keep screenshots or confirmation numbers when checking balances.
What to Do With Old or Unwanted Gift Cards
If the card is still valid:
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Use it for essentials
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Combine small balances
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Sell or exchange via CardCash, Raise, or Gift Card Granny
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Donate to charity
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Regift responsibly
If the card appears expired:
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Contact the issuer
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Reference state law protections
Some states, like California, require cash redemption for balances under $10.
Instances of Gift Card Fraud and How to Prevent It
Common scams include:
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Government impostor scams
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Family emergency scams
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Overpayment scams
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Card draining and tampering
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Fake gift card websites
Red flags:
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Urgent payment requests
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Requests for gift cards only
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Pressure or secrecy
If scammed, report immediately to the card issuer and the FTC.
Tips for Gift Card Buyers and Recipients
For Buyers:
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Buy from authorized sellers
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Inspect physical cards
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Save receipts
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Choose the cards recipients will use
For Recipients:
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Use cards promptly
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Register high-value cards
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Track balances
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Know your state laws
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Set reminders
Smart habits prevent gift card expiration issues entirely.
Final Thoughts
So, do gift cards expire? In most cases, no or not for at least five years. Federal law and state protections ensure consumers don’t lose value easily, even when cards sit unused.
The key is understanding your rights, knowing your state’s laws, and checking balances before assuming a card is worthless. Fees, scams, and misinformation cause far more losses than expiration itself.
FAQs
1. Do Amazon gift cards expire?
No, Amazon gift cards do not expire and have no fees.
2. Do Visa gift cards expire?
The card may expire, but the balance does not. You can request a replacement.
3. Do gift cards expire if not activated?
No. Expiration countdown starts after activation, not purchase.
4. Can stores refuse expired gift cards?
Sometimes, but laws may still require honoring the balance.
5. What happens if a store goes out of business?
Recovery depends on bankruptcy proceedings and state law.
6. Do digital gift cards expire differently?
Usually no. Digital cards follow the same laws as physical cards.
7. Can gift cards lose value over time?
Only through legal fees, usually after 12 months of inactivity.
8. Are gift cards refundable?
Generally, no, except where state law requires cash redemption.
9. Do gift cards expire after the recipient dies?
No. Gift cards are considered property and belong to the estate.
10. Can I get cash for an expired gift card?
In some states, yes—especially for small balances.
