Consumers need to be savvy shoppers when purchasing and using gift cards this holiday season. Unfortunately gift cards scams can and do occur, but basic consumer awareness and fraud prevention techniques could spare holiday shoppers considerable trouble. 

An important recommendation this holiday season is to pay close attention to the fine print on gift cards. A new law passed this year by the Florida Legislature mandates that gift cards issued in Florida will not expire or have any fees that would reduce the value of the gift card, although gift cards issued before June 28, 2007 can still have expiration dates, fees and other terms that could reduce their value. The Florida Retail Federation estimates that Florida consumers will spend one out of every five dollars on gift cards this Christmas season. Nationwide, consumers are projected to spend approximately $25 billion on gift cards during the 2007 holiday season.

Consumers should pay attention to the following tips when purchasing or using gift cards:

• Buy gift cards from reputable sources - Avoid buying gift cards from online auction sites as these cards may be stolen or counterfeit or may have been obtained fraudulently.
• Always read the fine print before purchasing gift cards - While recently enacted Florida laws prohibit expiration dates or fees that would reduce the value of the gift card.  The card may be subject to other terms and conditions not prohibited by law.
• Inspect the card before buying - Verify that none of the protective stickers have been removed. Ensure that the codes on the back of the card have not been scratched off to reveal a PIN number. Report altered cards to the store selling the cards.
• Give the recipient the original receipt - This will assist with verifying the card's purchase value in case the card is not properly activated, lost or stolen.
• Ask about purchase exceptions – Make yourself aware of any terms of use that may vary regarding a store's website versus the physical store location.
• Treat gift cards like cash - If a card is lost or stolen, report it to the issuer immediately. Most issuers have toll-free numbers to report lost or stolen cards.

Complaints about gift cards should first be reported to the retailer or financial institution that issued the card. If the problem can't be resolved at that level, consumers may want to file a complaint with the appropriate authorities.

For cards issued by retailers, consumers may contact the Federal Trade Commission at http://www.ftc.gov or call toll-free: 1-877-FTC-HELP.

For cards issued by national banks, consumers may contact the Comptroller of the Currency (OCC) Customer Assistance Group by calling 1-800-613-6743 or sending an e-mail to: customer.assistance@occ.treas.gov. The OCC charters, regulates, and supervises national banks, some of which issue gift cards.

Complaints may also be reported to the Miami-Dade County Consumer Services Department Mediation Center by calling 305-375-3677 or via the web at www.miamidade.gov/csd.