What To Do With Unused Gift Cards When A Restaurant Closes For Good - Tasting Table

"We all have that pile of gift cards sitting neatly in a desk corner or tucked away in the glove compartment - and sometimes, that pile can remain untouched for months, even years. Out of sight, out of mind, right? And when you finally remember that you have them, it can be disappointing to find out that you can no longer use them because the restaurant shut down."

"This scenario isn't as rare as you might think. Experts find that almost half of all U.S. adults have at least one gift card they haven't fully spent, with an estimated $23 billion left unused nationwide ( via CBS). And nearly $2 billion of that is tied up in the unspent Starbucks gift cards people are hanging onto. Most of the time, when a restaurant closes, that unspent balance disappears with it."

Many consumers hold unused gift cards that can remain unspent for months or years, and restaurant closures can render those cards worthless. Inflation and other business pressures cause many restaurants, especially independent and local spots, to shutter without plans to honor outstanding gift cards. An estimated $23 billion in gift-card balances remains unused nationwide, including nearly $2 billion in Starbucks cards. Federal law mandates at least five years of validity after purchase, and some states extend protections up to nine years, but protections apply only while a business remains operating. Contacting the business directly and pursuing recovery methods based on how the card was purchased can sometimes recoup funds.

Read at Tasting Table