Learn which U.S. states require merchants to cash out low-balance gift cards. Stay informed on current gift card cash-out laws with CardDepot.com.
At CardDepot.com, we strive to keep our customers informed about important gift card regulations that may impact your purchasing decisions. One such regulation is the state law that requires merchants to cash out gift cards once they reach a certain balance. These laws vary from state to state, and understanding them can help you make the most of your gift card purchases.
In several states, when a gift card’s remaining balance falls below a specified threshold, you are legally entitled to request the remaining balance in cash from the merchant. Below is the current list of states with cash-out laws, effective as of October 1, 2023:
How to Redeem Your Gift Card for Cash
If you're in one of these states and your gift card balance meets the cash-out requirement, you can simply present the card to the merchant and request the remaining balance in cash. Not all merchants may be familiar with the law, so it’s helpful to mention the specific state regulation if necessary. Some brands like Starbucks allow for this process to be done online.
Important Considerations
- Not all states have laws requiring merchants to cash out gift cards, so if your state isn’t listed, you may not be entitled to a cash-out option.
- These laws typically apply to store-specific gift cards. Bank-issued cards (like Visa, Mastercard, or American Express gift cards) are usually excluded.
- Some states require that gift cards are non-expiring before they can be cashed out.
At CardDepot.com, we ensure you get the most value out of your gift cards by staying updated on regulations that impact you. Whether you're looking to purchase a gift card or already have one, knowing your rights can help you save money and avoid frustration. If you have any questions about your gift card or state-specific laws, feel free to contact our customer service team.
For more tips on maximizing the value of your gift cards, visit CardDepot.com's tips and tricks page.
