The global gift card market is now worth more than $698 billion each year, reflecting how popular and convenient they are.
However, there’s a downside: every year about $3 billion in gift card value goes unused.
Many people receive cards they forget about, lose track of, or let expire turning what should be money in their pocket into money for someone else.
Nearly half of Americans have at least one unused gift card, with an average total value of $187 per person – amounting to about $23 billion in unspent gift cards nationwide.
This unused money represents lost opportunities for consumers.
That sleek retail voucher tucked in a desk drawer or digital code buried in email archives represents more than sentimental value.
Its liquid currency slowly evaporates through neglect or expiration. But where does this abandoned wealth actually go?
Do retailers simply pocket the funds? Can expired cards ever be redeemed?
And most importantly, how can savvy consumers prevent value loss?
In this guide, I will share with you what happens to expired or unspent gift cards, and how you can protect your money.
Why Gift Cards Go Unused: (Common Scenarios)
1. Out of sight, out of mind: Forgetfulness reigns as the primary culprit behind gift card abandonment.
Many people stash gift cards in wallets, drawers or inboxes and then forget about them.
2. Partial use and small leftover balances: After one purchase, a few dollars may remain. Because the amount feels insignificant, people never get around to spending it.
People often forget about these leftovers or don’t bother for a minor amount, which eventually may expire or just never get spent.
3. Not your store: Sometimes the card is for a store or restaurant you don’t like or visit. You may put it off because nothing appeals to you.
They might delay spending it because nothing appeals to them, and then it languishes.
4. Access issues: You receive a card for a shop with no locations near you, or you’re not sure how to use it online.
For example, it’s for a store with no nearby locations, or it’s an online voucher that the person doesn’t know how to redeem.
This often happens if you receive a card for a region-specific brand that’s not in your area.
5. Saving it “for later”: You plan to use it for something special, but the longer you wait, the easier it is to forget or the card might expire.
A study noted that over 70% of gift cards are redeemed within the first 6 months; redemption rates drop sharply after a year, indicating procrastination leads to many cards never being used.
Pro tips: Nearly everyone has forgotten a gift card at some point, so the reader shouldn’t feel alone. The goal is to make them aware of these pitfalls so they can avoid them going forward.
Do Gift Cards Really Expire? (Global Expiry Policies Explained)
Many consumers are unsure because policies vary. A brief answer: Yes!
Many gift cards can expire, but laws in some regions protect consumers by limiting or banning expiration dates. Here are some general guidelines:
- United States: The Credit CARD Act of 2009 requires most gift cards to be valid for at least five years. Inactivity fees can’t start until the card has been unused for 12 months. Some states have stricter rules.
- United Kingdom: The U.K. does not have a single unified law mandating expiration periods. Instead, it’s legal for gift cards to have an expiry date as long as it’s clearly disclosed and fair. Many UK cards expire after 12–24 months, though some have no expiry.
- Nigeria and African Perspective: There aren’t specific laws about gift card expiry. Many gift cards in Nigeria are issued by international companies (Amazon, iTunes, etc.), and these often do not expire. However, holding them too long can reduce their value due to exchange rate changes or market shifts.
- Inactivity fees – the hidden expiration: Some prepaid Visa/MasterCard gift cards charge monthly fees (typically $2–$5) if not used for a year. These fees can slowly drain the balance and effectively “expire” the card.
Can I Still Redeem an Expired Gift Card?
Sometimes you can. Success depends on the card issuer, the card type and the local laws. Here’s what to do:
- Check the balance and expiry status using the retailer’s website or customer service number.
- Contact customer service. Explain why you couldn’t use the card in time. Larger companies sometimes offer a replacement card or extend validity as a goodwill gesture.
- Know your rights. Some states or countries require retailers to honour expired cards, while others leave it to the company’s discretion.
Premium brands like Amazon and Walmart often provide refunds or credits for expired cards if you ask politely and have proof of purchase.
How to Avoid Losing Money on Unspent Gift Cards
- Keep track of balances. Use the card issuer’s website or app to check your remaining balance regularly.
- Set reminders. Create calendar alerts or store cards in a visible place (physical or digital) so you don’t forget.
- Use small balances soon. If you have a few dollars left, add some of your own money at checkout and finish the card.
- Trade unwanted cards early. If a card isn’t useful to you, consider selling or trading it on a reputable site before value erodes.
- Use a gift card wallet app. These apps help you store multiple card details securely and remind you of expiry dates.
Think of gift cards as cash rather than freebies. Treat them with the same attention you’d give to a banknote.
Trading or Exchanging Unused Gift Cards Online
Secondary market platforms provide legitimate channels for monetizing unwanted gift cards, converting retail credit into cash or cryptocurrency supporting broader financial goals.
ApexPay facilitates secure gift card trading through systematic verification processes:
- Card Verification: Confirm balance and validity through official issuer channels.
- Platform Selection: Choose verified services with established reputations and transparent policies.
- Rate Comparison: Evaluate conversion offers across multiple platforms maximizing value realization.
- Secure Submission: Upload card details through encrypted systems protecting sensitive information.
- Payment Receipt: Receive Naira deposits or crypto transfers following successful verification.
This approach works well if you have a region-specific card or a brand you never shop at.
It converts your unused value into money you can spend anywhere.
Frequently Asked Questions On What Happens To Expired/Unspent Gift Cards
1. What happens if I never use my gift card?
Eventually, it may expire, or inactivity fees could drain it. Some jurisdictions require unspent balances to be sent to the government, but many cards end up as revenue for retailers.
2. Are expired gift cards worth anything?
Sometimes. Certain companies will honour them or offer replacements if you ask. On the secondary market, recently expired cards might still fetch a small value.
3. Can I sell a gift card with a low balance?
Yes. Many trading platforms accept cards with low balances, though they may set a minimum value. You’ll receive payment proportional to the card’s remaining funds.
4. How can I check if my gift card is still valid?
Visit the brand’s official website or call the customer service number printed on the card. Enter the card number and PIN to see the balance and expiry date.
5. What is the safest way to trade a gift card online?
Use established platforms like ApexPay with verified operational histories, transparent policies, secure payment processing, and responsive customer support.
Avoid peer-to-peer sales through social media, where there’s no protection against scams.
Conclusion
Gift cards are useful, but only if you use them. Unused cards represent real money that disappears over time through expiry dates, inactivity fees and inflation.
The good news is that with a bit of organization and timely action, you can ensure no gift card in your possession goes to waste.
- Track balances and set reminders.
- Consolidate small amounts and spend them.
- Trade or sell cards you won’t use.
- Know your rights and ask for help if a card expires.
If you have unwanted gift cards, consider trading or turning them into Cash and use the Cash (money) for more important stuff or for investing into your business.
You can trade your unused cards and all types of gift cards right here on our platform, quickly download the ApexPay Mobile App to get started.
Happy Trading!
