Gift Card Law - Calgarypuck Forums - The Unofficial Calgary Flames Fan Community

fredr123 · 09-11-2008, 10:03 AM

Heard about this on the radio this morning. Beginning November 1, 2008, gift cards in Alberta will no longer expire if unused. There will also be restrictions on the kinds of fees that can be charged and other things. Note that a one time fee at the time of purchase can still be charged for the card but that fee cannot be deducted from the card's value.

CBC story: http://www.cbc.ca/canada/calgary/sto...s.html?ref=rss

Unproclaimed regulation: http://www.qp.gov.ab.ca/documents/Re...=9780779734801

troutman · 09-11-2008, 10:06 AM

Can I still use my Sam The Record Man bucks?

ken0042 · 09-11-2008, 10:15 AM

Quote:

Originally Posted by fredr123

Note that a one time fee at the time of purchase can still be charged for the card but that fee cannot be deducted from the card's value.

I'd like to see a retail store try to add that fee. It's one thing for a pre-paid Visa card to have a fee; as that's the only way it can make money for the people selling the card and Visa for the infastructure. But if I buy a Canadian Tire gift card for $100, they know that $100 will be spent in store.

fredr123 · 09-11-2008, 10:16 AM

Fees
3(1) A supplier may charge a purchaser a one‑time fee for activating a prepaid purchase card at the time the prepaid purchase card is purchased.
(2) A supplier may charge a fee for replacing a lost or stolen prepaid purchase card.
(3) A supplier may charge a fee to customize a prepaid purchase card.
(4) No supplier may charge a fee other than those authorized in this section.
(5) Subsection (4) applies to prepaid purchase cards sold before, on or after the day on which this Regulation comes into force.

Locke · 09-11-2008, 11:03 AM

I'll bet someone screwed Stelmach with a gift card that expired and that was the last straw.

Cowboy89 · 09-11-2008, 12:37 PM

Quote:

Originally Posted by fredr123

Fees
3(1) A supplier may charge a purchaser a one‑time fee for activating a prepaid purchase card at the time the prepaid purchase card is purchased.
(2) A supplier may charge a fee for replacing a lost or stolen prepaid purchase card.
(3) A supplier may charge a fee to customize a prepaid purchase card.
(4) No supplier may charge a fee other than those authorized in this section.
(5) Subsection (4) applies to prepaid purchase cards sold before, on or after the day on which this Regulation comes into force.

A retailer's justification for the first clause is complete BS. Yes it costs a lot to develop and maintain a Gift card system, but the real reason they have it is because 10% of girf cards never get redeemed and the ones that do get redeemed don't necessarily get used right away. So in essence they get an additional 10% revenue plus they can defer some of their costs of goods sold to a later date to take advantage of the time value of money. So they get 10% plus the money-market rate for a couple of quarters on average for having these cards. Much more than the cost of maintaining the system. The lesson: Tell a retailer that wants you to pay these fees to take a hike. They're still ahead by having gift cards.

someguy51 · 09-11-2008, 12:38 PM

I thought this was already the law. That's what I was telling stores when my gift cards expired...(and it worked too)

Flames Addict · 09-11-2008, 12:49 PM

Quote:

Originally Posted by troutman

Can I still use my Sam The Record Man bucks?

Yes you can at any Sam The Record Man store.

ken0042 · 09-11-2008, 12:55 PM

Quote:

Originally Posted by someguy51

I thought this was already the law. That's what I was telling stores when my gift cards expired...(and it worked too)

There are already similar laws in some provinces. I think on the news last night what they wanted to do was make the law the same across the board; so that when I buy my niece a GC and send it to her in Winnipeg, she doesn't have any issues because it was bought in another province.

The Yen Man · 09-11-2008, 01:03 PM

Quote:

Originally Posted by someguy51

I thought this was already the law. That's what I was telling stores when my gift cards expired...(and it worked too)

Yah, I thought there already was a law like that too. My company accounts for gift cards as though they never expire, and hence a liability is set up that basically goes into perpetuity for gift cards that never get redeeemed.

First Lady · 09-11-2008, 01:28 PM

Quote:

Originally Posted by Locke

I'll bet someone screwed Stelmach with a gift card that expired and that was the last straw.

I heard it was a personal experience of the Minister who introduced the bill.

GGG · 09-11-2008, 02:41 PM

I was amazed at the scope. In one artcle i read 180 million in Gift cards expired last year. That is 7 fancy pedestrians bridges for Calgary.

Canada 02 · 09-11-2008, 02:42 PM

now if they could only do this to Air Canada to prevent my air miles from expiring

peter12 · 09-11-2008, 02:42 PM

Quote:

Originally Posted by First Lady

I heard it was a personal experience of the Minister who introduced the bill.

Our government is a joke.

GGG · 09-11-2008, 03:55 PM

Quote:

Originally Posted by peter12

Our government is a joke.

At least it isn't a knee jerk reaction in doing something stupid. If this were BC they would probably Ban Gift Cards.

They banned self service gas stations in BC because some one died trying to stop a gas and dash.

peter12 · 09-11-2008, 04:02 PM

Quote:

Originally Posted by GGG

At least it isn't a knee jerk reaction in doing something stupid. If this were BC they would probably Ban Gift Cards.

They banned self service gas stations in BC because some one died trying to stop a gas and dash.

That's true.

But I can just imagine some fat cabinet minister making a fuss at Future Shop, going home and calling his EA for the legislation to be drafted.

The sad thing is, I'm probably not that far off the mark.

fredr123 · 09-11-2008, 04:05 PM

http://www.assembly.ab.ca/net/index....bio&rnumber=31

First Lady · 09-11-2008, 04:08 PM

Quote:

Originally Posted by peter12

That's true.

But I can just imagine some fat cabinet minister making a fuss at Future Shop, going home and calling his EA for the legislation to be drafted.

The sad thing is, I'm probably not that far off the mark.

She. Is a rookie MLA.

http://www.assembly.ab.ca/net/index....bio&rnumber=31

mykalberta · 09-11-2008, 04:08 PM

Quote:

Originally Posted by peter12

That's true.

But I can just imagine some fat cabinet minister making a fuss at Future Shop, going home and calling his EA for the legislation to be drafted.

The sad thing is, I'm probably not that far off the mark.

Isnt it working the way its supposed to?

A citizen of the province complains to his frendly PC MLA. The MLA then raises the issue in cacus and they decide to act.

Sure in this case the citizen is the MLA (or more likely the wife/mistress who got "shafted"

at La Senza) but either way, it worked the way its supposed to - kind of.

fredr123 · 09-11-2008, 04:13 PM

Quote:

Originally Posted by First Lady

She. Is a rookie MLA.

http://www.assembly.ab.ca/net/index....bio&rnumber=31

Yah. As a fat guy, I'm insulted that we automatically get blamed for stuff like this without anyone stopping for a moment and considering whether a woman might be at the heart of the matter. Sheesh.