Gifts are the prime factor of the holiday season, or on any other occasions. Almost everyone loves to get gifts from their beloved ones or for any professional purpose. But, every time it will not be very easy to buy the perfect gift or to buy the right gift for that person.
In that scenario, gift cards are the best option for gifting it to someone.
It is one of the convenient ways to resolve one’s difficulty for gift shopping. The gift recipient can buy anything with the gift card according to their actual choices.
Gift cards are generally prepaid cards and the usage of these non-cash payment cards are growing fast in the U.S. This card is far from risk and it is the easiest way to complete their shopping quickly and also the users do not have to pay a single rupee for the purchase.
But before buying a gift card, you need to know about some important things, as you are investing money on this.
7 Things to consider before buying a gift card
1.] Trustworthy sources
Always but the gift card from any trustworthy sources. Try to not buying the gift cards from the online auction sites, it may sell you fraudulently gift cards.
2.] Check the list of places where the gift cards can be used
Before buying a gift card, don’t forget to check in which stores the card can be used. The number of stores where it can be used should always be maximized. Generally, the gift cards, which are bought from any personal merchants, can’t be used at many shops if the merchant has a tie-up with other franchise.
If you are thinking to buy a gift card, then you should buy that from a renowned company, it will be a safe and secure option. Also, when it comes to effective usage, Visa and Master Cards are the most suggested cards.
3.] Properly understand the terms and conditions
It is very essential to know the whole terms and conditions before buying the gift card from any merchant or from any company. Do not agree with all the points without reading. It is mandatory to go through the rules. Generally, the terms and conditions are written in such a way that you can fall into a trap with fake and expensive offers.
At the initial level, the offers and the deals may be appeared to be attractive, but it definitely includes some ‘terms and conditions’ which might harm the privacy of the gift card recipient.
4.] Beware of fraud online sites
If you are thinking to buy a gift card, then you should always choose the authorized retailer shop, as there are many fraud cases in the online sites. Fraud retailers always offer you with cheap deals and fill your account with sufficient balance.
After that, they will extract all the account details of yours with an authorized link. For this reason, it is always recommended to buy the gift cards from a trustable and authorized brand.
5.] Know about the hidden cost
Sometimes it may happen that, there are some hidden charges attached with the product that the user is wished to buy. This kind of hidden costs must be known to you before buying the gift card.
The hidden costs are generally in the form of activation fees, reload fees, currency conversion fees, monthly service fees, cash advance fees etc.
These charges are mostly applied to the Visa and MasterCard. So, carefully read the instructions before buying it.
6.] Don’t pay GST for the gift cards
Generally, there is no GST added to the gift cards. If any retailer asks for GST or any tax at the time of buying the gift card, do not give any extra money for this or it is recommended to not to but gift card from that retailer.
7.] Don’t forget to check the expiration date
Before buying a gift card, you should always check the expiry date of the card. It should be at least five years from the purchase date or from the last money added date to the card.
If the expiration date is a bit early then the whole amount can be transferred to another card at no cost.
Types of gift cards
There are two different types of gift card you can find in the market, those are a bank gift card and retail gift card. The retail gift cards are used by the merchant people that sell them and whose company logo they want to display.
The bank gift cards hold are the logo of a bankcard like Visa and MasterCard and it is accepted at any places where this network’s card is accepted. There are more options in the bank gift cards and it is flexible also. So, it would be better to buy a bank gift card.