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Consumer · Gift Cards

Can a Gift Card Expire in Indiana?

Whether a store gift card can expire in Indiana, plus the cash-back rule, the fee limits, the exceptions for bank and promotional cards, and how the state compares to the federal five-year floor. Cited to the statute.

Confirmedagainst Ind. Code §32-34-1.5-3 · checked against a mirror of the official code (Cornell LII / Justia)Reviewed by Cholilurrohman · July 2026
Can a gift card expire? · Indiana
Indiana has no gift-card expiration or fee law. A bill that would have created one passed the House 96 to 0 in 2021 and then died in a Senate committee, so the federal five-year minimum is the only protection an Indiana shopper has.
Federal 5-year floor
Can it expire?Federal 5-year floor
Federal minimum5 years
StatuteInd. Code §32-34-1.5-3

The rules and exceptions in Indiana

What the law requires, when it does not apply, and how the state sits against the federal floor.

The rule in this stateWhat it means
Federal five-year minimum appliesIndiana sets no validity term, so the federal CARD Act controls: a covered gift card cannot expire earlier than five years after issuance or the last load of funds.
Fees follow federal law onlyIndiana sets no fee cap or waiting period, and its escheat definition even assumes card fees are lawful. Under federal law a dormancy fee is barred until twelve months of inactivity, then one fee per month with disclosure.
No state cash-back rightIndiana sets no dollar threshold at which a holder may demand the remaining balance in cash.
Cards never escheatGift cards are excluded from the definition of property under Indiana's Revised Unclaimed Property Act, under IC 32-34-1.5-3(24), so the balance stays with the merchant.
When it is differentWhat it means
Paper certificates are unregulatedFederal law does not cover paper-only gift certificates, and Indiana adds nothing, so a paper certificate has no statutory expiration protection.
Loyalty and promotional cardsCards given away without payment, or as part of an awards or loyalty program, fall outside the federal protections.
A dead bill, widely misquoted
Many sites claim Indiana banned gift-card expiration after December 31, 2022. That is the digest of HB 1260 (2021), which passed the House 96 to 0 and then died in the Senate Commerce and Technology Committee without a vote. It never became law.
Federal floor (CARD Act)
Indiana adds nothing to the federal rules on expiration or fees. Because gift cards are not property, the balance never reaches the state, so the merchant keeps whatever goes unspent.

What you can do right now

Concrete, neutral steps if a gift-card balance is dishonored in Indiana. This is consumer information, not legal advice.

  1. Count on five years, not a printed date

    If a covered Indiana gift card shows an expiration under five years, the federal five-year minimum overrides it. A paper certificate is not federally covered.

  2. Ignore the after-2022 claim

    The widely quoted Indiana expiration ban is a dead bill, HB 1260, that never passed. Do not rely on it as law.

  3. Watch for early inactivity fees

    A dormancy or inactivity fee before twelve months of no use is not allowed under federal law, and after that only one fee per month with disclosure.

  4. Complain if a card is dishonored

    File a complaint with the Indiana Attorney General, Consumer Protection Division.

File a complaint in Indiana

If a retailer voids a balance or charges an improper fee, a state consumer-protection office can take your complaint and enforce the gift-card rules.

Indiana Attorney General · Consumer Protection

This is general consumer information, not legal advice. Card terms and exceptions vary, so check your card and the statute, and use the complaint route if a balance is wrongly dishonored.

What Indiana gift-card holders get wrong

Indiana came within one committee hearing of having a real gift-card law. HB 1260 sailed through the House 96 to 0 in 2021, including a provision requiring a cash refund if the merchant left Indiana, and then simply stopped moving in the Senate Commerce and Technology Committee, never receiving a vote. Because the bill's digest is widely indexed online, Indiana is now one of the most frequently misdescribed states in the country: a lot of Indiana gift-card advice quotes legislation that never passed, including a supposed ban on expiration dates after December 31, 2022. In reality Indiana has no gift-card expiration or fee law, so an Indiana shopper's only protection is the federal CARD Act, which bars a covered card from expiring earlier than five years and blocks inactivity fees before twelve months. Indiana's one gift-card provision is an escheat rule: gift cards are excluded from the definition of property under IC 32-34-1.5-3(24), so the balance never reaches the state and the merchant keeps whatever goes unspent. Indiana's official code viewer serves no text to an automated fetch, so this page relies on a content mirror.

Common questions

I read that Indiana banned gift card expiration dates after 2022. Is that true?

No. That is the digest of HB 1260, a 2021 bill that passed the House 96 to 0 and then died in a Senate committee without a vote. It never became law.

How long does an Indiana gift card actually have to last?

At least five years for a covered card, under the federal CARD Act. Indiana itself sets no expiration rule.

My Indiana store closed with money on my gift card. Can the state help?

No. Gift cards are excluded from unclaimed property under IC 32-34-1.5-3(24), so the balance never escheats to the state.

Can an Indiana retailer charge me an inactivity fee?

Only under federal rules: no dormancy or inactivity fee before twelve months of no use, and then one fee per month with disclosure.

Primary source
Ind. Code §32-34-1.5-3
Indiana Code (IC 32-34-1.5-3) (mirror, official viewer serves no text) · law.justia.com
Cholilurrohman
Every figure on this page is checked line-by-line against the current statute. Editorial standards →

Not legal advicePlainStatute provides plain-language summaries of public law for general information only. This is not legal advice. Statutes change; always confirm current requirements with the official source linked above before acting.

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