Did You Know?

Gift cards have grown in popularity over the years, as more and more holiday shoppers are content to give loved ones credit toward merchandise at their favorite stores. According to a report from market research firm Packaged Facts, gift card spending is expected to exceed $52 billion by 2012, up from $40 billion in 2007. In a report titled "The U.S. Market for Prepaid Cards with a Focus on Gift Cards," Packaged Facts found that 67 percent of people expected to by at least one gift card by 2012. The amount gift card purchasers are expected to spend is also estimated to be on the rise. While the average amount gift card buyers spent on cards was $288 in 2007, by 2012 that figure is expected to reach $326. Gift cards can seem like the perfect, no-risk gift, but before purchasing a gift card for a loved one this holiday season inquire as to whether the card has an expiration date, any hidden fees or other charges. The expiration issue is of special concern, as, according to Consumer Reports, 27 percent of gift card recipients don't use the card within one year of receiving it. Should the card have an expiration date, be sure to let your loved one know that if it's not redeemed, it won't be replaced nor will you be given your money back.