OTTAWA – Just in time for holiday shopping, the Conservative government will unveil new regulations Tuesday on pre-paid gift cards.
Global News has learned that Kevin Sorensen, minister of state for finance, is set to announce regulations that target many hidden fees in the cards, including maintenance fees, dormancy fees and expiry dates.
The new regulations will prohibit the cards from expiring and will prohibit dormancy fees or maintenance fees for one year. The cards themselves will never expire.
The rules will also call for greater transparency. The cards will have to clearly list the rules regarding the use of the card.
“The Harper Government is taking action to ensure families and consumers are never again misled by unclear information which can lead to unfair and expensive pre-paid card fees,” said a government source.
Pre-paid cards often carry fees, including monthly or annual fees, maintenance costs and ATM charges.
It is expected the new regulations will be finalized Dec. 4.
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