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Ontario urged to end expiry dates on gift cards

Last Updated: Monday, June 26, 2006 | 12:29 PM ET

CBC News

The Ontario government is being urged to eliminate expiry dates on gift cards so that retailers don't make off with an unclaimed windfall.

NDP consumer critic Peter Kormos calls the practice highway robbery because, he says, too many of these cards go unredeemed and the retailer gets to keep the cash.

The Ontario legislature rose last week for summer holidays. But Kormos wants the government to introduce a bill when the legislature resumes sitting in the fall to ban the practice altogether.

Selling gift cards is on the rise among large retailers in Canada. Most stores offer plastic gift cards that resemble credit cards with a magnetic strip on the back, and many of them include expiry dates.

Consumer Affairs Minister Gerry Phillips said he plans to consult with retailers to see if there are legitimate reasons why they impose use-before dates.

Several American states already prohibit expiry dates on gift cards, including New Hampshire where stores are banned from the practice on cards worth more than $100.

This story is now closed to commenting.

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