Rules for gift cards

Our "Ask Us" reporter gave the lowdown on gift card rules in Sunday's paper.

The Department of Consumer Affairs’ Web page on gift cards and gift certificates has more information on gift cards and gift certificates.

Here's what reporter Stephanie Walton found out:

Starting Jan. 1, 2008, California consumers will be able to cash most gift certificates with less than a $10 balance. Retailers may pay out the unused portion of the gift card or certificate in cash or by check, according to California Civil Code Section 1749.5. In the case of a gift certificate for a wireless phone provider, the balance may be applied to the consumer’s wireless account if agreed upon by both the wireless provider and account holder. The new law, SB 250, was signed Oct. 13 by Gov. Arnold Schwarzenegger and amended California’s gift certificate law. In addition to allowing cash redemption of gift cards, SB 250 also modified the expiration exception for gift certificates for food products. Starting in January, only gift cards for perishable food products will be subject to expiration dates. These cards also are exempt from cash redemption for balances under $10. For the most part, gift cards issued in California don’t expire. State law exempts some cards from the expiration-date ban as well as from the new cash-redemption provision.