Gift cards

Learn about gift cards and the rules that apply in Canada. Most gift cards don’t expire and don’t have fees, but some exceptions apply depending on where you live. Gift card fraud is common and can be hard to reverse. Find out how to protect yourself from fraud and what rules apply where you live.

Using gift cards

Gift cards are prepaid cards you use to pay for purchases. They may be for one retailer or for a group of retailers, like a chain or shopping mall.

Gift cards usually have money on them. They may be physical or electronic.

Learn more about prepaid cards.

How gift cards work

When you use a gift card, the amount of your purchase is taken from the balance on the card. For example, if you use a $50 grocery store gift card to buy $10 of groceries, the balance left on the card is $40.

Usually, gift cards:

• come with money already on them
• don’t expire
• don’t have fees
• can’t be redeemed for cash

You may be able to add money to some gift cards.

If your gift card is old, you may need to transfer the balance to a new card.

Read the terms and conditions before you buy or use a gift card.

When gift cards expire

Most gift cards don’t expire.

Depending on the rules in your province or territory, the following gift cards may have an expiry date:

• promotional or charitable gift cards
• gift cards for a specific service

Businesses may offer promotional or charitable gift cards as part of:

• a promotion or loyalty program
• a fundraiser for charity

These cards are usually for purchases at a specific retailer or group of retailers. For example, a coffee shop could give you a $10 gift card when you sign up for its rewards program. They often have an expiry date.

Gift cards for a specific service may also expire. For example, a gift card for a haircut or massage may have an expiry date.

What fees may apply

In general, there are no fees to buy or use a gift card.

In some provinces or territories, retailers may charge a fee to:

• replace a lost gift card
• customize a gift card
• activate a gift card
• maintain a shopping mall gift card after a certain period

How to check your balance

You can usually check your gift card balance:

• on the retailer’s website
• on your transaction receipt
• by calling the telephone number on the gift card

Buying gift cards

Gift cards for different retailers are available:

• online
• by telephone
• at retail stores
• at Canada Post outlets

You don’t pay tax when you buy the gift card. The retailer charges tax when you use the gift card to buy a taxable item. For example, if you buy a sweater with a gift card, you pay tax on the sweater just as you would if you paid with cash or credit.

Protecting yourself from fraud

Check that someone hasn’t altered the gift card and packaging.

Ask the retailer to confirm that they’ve loaded the amount on the card. Keep your receipt until you've used the full balance on the gift card. It can serve as proof of purchase and help resolve any issues with the card.

To protect yourself:

• avoid clicking links in pop-up boxes or suspicious emails
• use a search engine to find the official company website
• contact the company directly by calling the number on the back of the gift card

Learn more about gift card fraud on the Canadian Anti-Fraud Centre's website.

Checking the rules where you live

Gift card rules may be different depending on your province or territory.

Provinces have their own regulations on gift cards:

• Alberta
• British Columbia
• Manitoba
• New Brunswick
• Newfoundland and Labrador
• Nova Scotia
• Ontario
• Prince Edward Island
• Quebec
• Saskatchewan

The territories don’t have specific regulations on gift cards.

Contact territorial consumer affairs offices for more details:

• Northwest Territories
• Nunavut
• Yukon