A gift voucher – that perfect little something when we’re completely stumped on what to get “the person with everything”, or when postage is best kept super lightweight … and if there’s a fickle teenager to buy for.
But, for the unwary, vouchers can come with their own set of, often unexpected, complications.
Liquidation situations are a classic example. Customers are often shocked and aggrieved to discover the liquidators won’t be honouring their gift vouchers any time soon – if ever.
In the middle of the frenetic dash round the shops in the lead-up to Christmas, few are likely to contemplate the realities of the gift voucher transaction – that is, you’re actually entering into a formal contract with the seller. Gift vouchers usually come with a raft of terms and conditions, which cover, among other things, how and when it’s able to be redeemed.
Hands up who’s read the fine print? While, as with any contract, there can be differences, with gift vouchers, they tend to have similar provisions.
- One of the biggest areas of confusion – does my gift voucher really become void on expiry? In short, very likely. The seller is under no obligation to honour gift vouchers that are past their used-by date, although some retailers do have a “grace” period. By all means, try your luck with an old voucher … but don’t hold your breath.
- You receive a gift voucher from a loved one to spend at your special shop … and then the shop’s sold. Where do you stand? Alas, probably out in the cold. Unless vouchers have been acquired as liabilities of the company – which is not usually the case – the new owner is not at all obliged to honour your gift card.
- You receive a gift voucher from a loved one to spend at your special shop … and then the shop goes under. Where do you stand? Again – grab a jacket; you’re highly likely to be left out in the cold. Anyone with an unused gift voucher will become an unsecured creditor. If there’s anything left over once the company’s wound up, you might get something back … but highly unlikely.
- If you’ve bought a gift voucher for a service, rather than a product, the law expects the seller to provide that service within a reasonable time. You have rights under the Consumer Guarantees Act, as well, so you can’t just be fobbed off until the voucher expires.
- A store doesn’t have to give you a refund on any unspent portion of your gift card, nor is it in any way obliged to let you swap your voucher for cash. Think of it as paying in advance for something you don’t yet have.
As with any consumer concerns, if you feel like you haven’t had a fair deal with a gift voucher, it’s best to put complaints in writing, so you can keep track of matters and take it further, if you need to.
Please remember, this information is designed as a general guide, and should not replace specific legal advice on a particular issue.
Last updated 19 December 2016