prepaid Visa card, MasterCard, or American Express card that enables the user to purchase goods or services up to the value of the card. Bank-issued gift cards work much like retail merchant gift cards, serving as redeemable gift certificates. Card-issuing financial institutions profit from the float or interest earned from the date of purchase to the transaction date. Banks may treat gift cards like credit card cash advances by charging users transaction fees.
type of gift certificate in the form of a card into which value can be encoded. Used much like a credit card for the purchase of consumer goods and services, up to the limit of stored value.
card sent to the recipient of a gift or enclosed with the gift by the seller or sent directly by the donor. It is used to announce the gift and identify the donor. Gift cards are necessary in directmail marketing because the gift is usually delivered directly to the recipient through the mail rather than being personally presented by the donor. Some gift cards are computer printed with the donor’s name on the card and the recipient’s name and address on the envelope or on the opposite side of a postcard. A gift card may also be hand inscribed with the donor’s name and/or message. Gift cards range from expensive types such as are found in a greeting card store to simple postcards on white card stock. Many marketers who normally send gift cards directly to the donor will address and mail the cards to the recipients themselves during the Christmas/Chanukah holiday season to ensure that the cards are received before the holiday.