Last updated August 2026
Retailers love gift cards. When they sell one they collect cash upfront for purchases that may never happen, lock recipients into shopping with them instead of a competitor, and pocket close to 100 percent of the selling cost whenever a card goes unused (which happens a lot, see below).
Consumers love gift cards for flexibility in gifting and ensuring the recipient can get something they will enjoy (this also cuts down on the number of retailer returns, which can contribute to waste and harm the environment).
So, tip #1: Use the card! According to a recent survey by CapitalOne Shopping, 43 percent of American adults have unused gift cards, totaling about $23 billion in balances in the U.S. So don’t waste the money on cards you’ve stashed away in your nightstand or kitchen junk drawer!
If you can, register the card with the retailer. Some retailers allow you to apply the gift card value to an existing store account. Do so and the next time you buy something the company will automatically remind you about the gift-card credit—and you don’t have to worry about toting around or losing your cards.
Take a photo of the gift card. Grabbing a snap of your gift card’s barcode and PIN can help you retain the value if the card is lost or misplaced.
Watch out for the spending trap. Retailers also love gift cards because they entice many shoppers to spend more than the value of their cards. The Capital One study found 61 percent of gift-card users spend more than the balance on their card. Plan out your purchases so that your cost stays close to the gifted value.
Try to spend the entire balance. If you are given a $50 card and you spend $47 of it, you’re unlikely to spend the remaining $3. Yes, it’s not much, but don’t leave it on the table.
Shop around. Just because someone gave you free money doesn’t mean you should neglect snagging the best deal. Don’t fall for fake sales (most sale prices aren’t special at all, just efforts by stores to manipulate their customers to spend). Read our articles here at Checkbook.org for advice on getting the best price on specific types of products, plus check out our top tips for getting the best price when shopping online. Find a better price elsewhere? Ask your gift-card retailer to match it.
Save documentation. If you are given a receipt with your gift card, save it (or take a photo). It may be the only proof you have of the card’s value if the card doesn’t work.
Check expiration dates. There’s a good federal law that protects the value of your card. The Credit Card Accountability, Responsibility and Disclosure Act mandates that gift cards must retain their full value for five years from the date of purchase. But gift cards issued by credit card companies like Visa and MasterCard can have shorter expiration dates—and many do.
Pass it on. Consider re-gifting or donating gifts cards you aren’t interested in using to a school, charity, or person you know could benefit from it.
