Our members distribute bank issued prepaid cards that are redeemed at participating retailers through the MasterCard Network. The money is kept in a pooled bank account for the benefit of the cardholder. The card accounts have no expiry date. The money that is loaded on the card is redeemable until the funds reach a zero balance. As a group, our members in Canada distribute over 2.5 million cards per year representing over $150 million in gift card sales. Our cards are sold at over 150 locations in Canada. The cards we distribute offer a popular alternative to single store cards. Our card offers a shopper an exclusive benefit of being able to pick from multiple unaffiliated retailers.
Our distributors have a code of best practices which we all follow.
1. We tell each customer that purchases a card that there may be monthly Maintenance Fees if there is a card balance after 15 months.
2. We have a sign posted at the purchase counter disclosing all fees.
3. The front of each card is printed with the words ‘Fees may apply. See back.’ The back of each card has specific information about the use of the card and terms of any fees which may apply.
4. A summary of the terms and conditions including specific fee information is given to each purchaser on their receipt.
5. Each purchaser is given a card agreement where all the details of the terms and conditions are disclosed. This agreement is between the issuing bank and the cardholder.
6. The cardholder can go online at any time and look up the specific terms and conditions of their card by simply putting in the number of their gift card.
7. The cardholder is given a toll-free telephone number on the back of each card so that they can talk to a customer service representative and find out more information on any fees or other subjects that they may have interest in.