Beware Stores Bearing Gift Cards

Gift cards are attractive to givers who don't know exactly what the recipient wants. Problem is, many gift cards are worth what was paid, the face value, for only a few months. After that, a 'service charge' can quickly erode the value, often reducing the card to worthless within a year or two.

Can you imagine if your bank charged you for your savings account? That is the equivalent to a gift card. Instead, we quite reasonably expect banks to pay us for the use of our money. It's called interest, and as low as it is, it's way better than losing money.

'Tis the season... for fraud and abuse. Where is an eager young lawyer who wants to get rich and (coincidentally) do a good deed by filing a class action lawsuit on behalf of the millions of people who have lost money to these gift card schemes? Please put the Simon gift cards at the top of the guilty list. The Simon Grift Card would be a better name. Please note that Barnes and Noble does not charge a service fee, so that card your sister gave you (thanks!) 5 years ago and you just found in the drawer is still full value.

My advice (since you asked): give your loved ones hugs and your time to be together. Or give to Heifer or Oxfam in their name so that a family in desperate poverty can benefit. If you must give something material, give cash. Trust them to know where to spend it, or save it.