Consumer · Gift Cards
Can a Gift Card Expire in Texas?
Whether a store gift card can expire in Texas, 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.
The rules and exceptions in Texas
What the law requires, when it does not apply, and how the state sits against the federal floor.
| The rule in this state | What it means |
|---|---|
| No extra state minimum | Texas does not add a longer minimum term or a cash-back mandate on top of the federal floor. Chapter 604 is a disclosure statute, not a no-expiration statute. |
| Disclosure required | An expiration date or policy, a fee, or a material restriction must be clearly and conspicuously disclosed at sale and legibly printed on the card. |
| Fees allowed if reasonable and disclosed | Periodic fees that reduce the balance are allowed if reasonable, disclosed, and not assessed until the card has been inactive, subject to the federal 12-month floor. |
| When it is different | What it means |
|---|---|
| Undisclosed terms are void | A stored-value card sold without the required disclosure of an expiration date or fee is valid until redeemed or replaced. The penalty for non-disclosure is that the card effectively cannot expire. |
| Federal floor still applies | Even with disclosure, expiration cannot be earlier than five years and fees cannot start before 12 months of inactivity. Where the Texas text is looser, the stricter federal rule controls. |
What you can do right now
Concrete, neutral steps if a gift-card balance is dishonored in Texas. This is consumer information, not legal advice.
- Read the card and receipt for disclosed terms
In Texas an expiration date or fee is enforceable mainly if it was clearly disclosed at sale and printed on the card. Check what you were actually told.
- Rely on the federal five-year floor
No gift card can expire earlier than five years from issuance or the last load, and fees cannot start before 12 months of inactivity, under federal law. That floor holds even where Texas text is looser.
- If terms were not disclosed, the card should not expire
A card sold without disclosing an expiration or fee is valid until redeemed or replaced. If nothing was disclosed, an attempt to expire the balance is on weak ground.
- Complain if a balance is voided
If a retailer expires an undisclosed balance or charges an improper fee, you can file a complaint with the Texas Attorney General’s consumer protection division.
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.
→ Texas Attorney General — Consumer ComplaintThis 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 Texas gift-card holders get wrong
Texas has the weakest gift-card protection of these six states, and the reason is that its law is about disclosure, not about barring expiration. Chapter 604 lets a card carry an expiration date and fees as long as they were clearly and conspicuously disclosed at sale and printed on the card. There is no Texas minimum term longer than the federal one, and no cash-back mandate. So the real floor comes from federal law: the CARD Act bars any card from expiring earlier than five years and blocks fees before 12 months of inactivity, and it overrides looser state text. The one place Texas law helps the consumer is non-disclosure: a card sold without disclosing an expiration or fee is valid until redeemed or replaced, which effectively means it cannot expire. In short, read what was disclosed, and lean on the federal five-year floor.
Common questions
Do gift cards expire in Texas?
They can, if the expiration was clearly disclosed at sale and printed on the card, but never earlier than the federal five-year minimum. Texas adds no longer state term, so the federal floor is the real limit.
Can a store charge a fee on a Texas gift card?
Yes, if the fee is reasonable and was disclosed, but not before the card has been inactive. The federal rule blocks fees until 12 months of inactivity, and it overrides looser Texas language.
What happens if the expiration was not disclosed in Texas?
The card is valid until redeemed or replaced. If a card was sold without disclosing an expiration date or fee, the missing disclosure means the balance effectively cannot expire.
Does Texas have a cash-back rule for gift cards?
No. Unlike California and New York, Texas has no statute letting you cash out a low balance. Whether a small remaining balance can be refunded is left to store policy.
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.