Rules for gift cards
To ensure that gift card consumers are able to use their gift card and are not charged fees to access the funds on their gift card, the ACL requires that most gift cards must:
- have a minimum three year expiry period
- clearly show the expiry date
- not contain post-supply fees.
Three year expiry period
Most gift cards sold on or after 1 November 2019 must be redeemable for at least three years after the date they were supplied or purchased.
However this requirement does not apply to gift cards that are:
- able to be reloaded or topped up
- donated for promotional purposes (e.g. a business handing out $15 vouchers to passers-by for its grand opening)
- available only for a specified period (e.g. performance of a visiting ballet company)
- supplied at a genuine discount (e.g. $60 card for a massage valued at $100)
- part of an employee reward scheme
- part of a customer loyalty program
- second-hand gift cards
- part of a temporary marketing promotion (e.g. customers buy a certain product from Business A, which provides a $50 voucher to use at Business B)
- supplied to certain charities or government agencies.
Disclosure of expiry information
Gift cards supplied from 1 November 2019 must also prominently display the expiry date as either the full date, or as a period of time.
If the expiry date is shown as a period of time it must also include the date it was supplied to the customer, so the expiration date can be determined. For example: 'Gift cards expire 4 years from the issue date. Date of issue: March 2020'.
If there is no expiry date, this must be stated on the gift card.
This display requirement does not apply to gift cards that are:
- able to be reloaded or topped up
- supplied as a second-hand good
- supplied to certain charities and government agencies.
Post-supply fees
Businesses cannot charge post-supply fees for the use of gift cards supplied from 1 November 2019. A post-supply fee is a fee or charge that the gift card recipient has to pay in relation to a gift card after it has been supplied.
Businesses also cannot have terms and conditions on the use of the gift cards that allow them to charge post-supply fees.
Post-supply fees do not include fees and charges that:
- are booking fees, where those booking fees are the same, or substantially the same, as fees or charges for making a booking using a payment method other than a gift card
- are for exchanging currencies
- relate to the reissue of a gift card that has been lost, stolen or damaged
- are payment surcharges.
The post-supply fees requirements do not apply to gift cards that are:
- able to be reloaded or topped up
- supplied as a second-hand good
- supplied to certain charities and government agencies.
Related information: Rules for gift cards
Legislation: Australian Consumer Law Part 3-1 Division 3A, Competition and Consumer Regulations 2010 regulations 89A – 89C