New York State Forcing Businesses To Stop Doing This

New York State has new rules about using gift cards.

This is great if you have gift cards that have been sitting in your drawer and you live in New York State. You know how you have had them there are they are sitting there for a while and you are wondering if they expire? Maybe your gift cards take money off every year that it sits there.

Now, businesses can't take away your money that is on a gift card.

Gift cards and gift certificates are a convenient present for the holidays, so it's important to remind New Yorkers that under New York State law, gift cards or gift certificates purchased on or after December 10, 2022, remain valid for nine years from the date of purchase", according to the New York State website for consumer protection.

Even though the rule says 9 years, businesses do not HAVE to make it expire after 9 years. Inactivity fees are banned in New York State. When you think about it--it was pretty ridiculous that restaurants (or any other business) could just take away money on the gift card whenever they wanted.

EXTRA: Do you know that in New York State it is illegal for a restaurant to charge you extra because you want to use a gift card? The Erie County Clerk reminded everyone on social media of the law. There were some restaurants that would charge you more for using your card, but there may be ways around it for some restaurant owners.

Here were two examples on the New York State website that were both in VIOLATION if you were to use a credit card at a restaurant, according to New York State:

VIOLATION--Percentage Fee: Tabitha goes into Tavern T for a meal.  She sees on the menu a sign that says, “if you use a credit or debit card, you will incur a 5% fee.”

VIOLATION--Flat Fee Notice: Kevin goes into his corner store for some groceries.  A sign at the register says, “$5 fee for credit or debit card sales.”