Use That Gift Card!

Every year I add more gift cards into my gift-giving mix. My rationale: The chance for a teacher to buy books or music he likes rather than find a place for one more "Best Teacher" mug seems a kinder gift choice.

I only hope the recipients like them as much as retailers do. If they go unused, and many will, they turn into bad gifts and a boost to company bottom lines.

Consumer Reports recommends spending the gift card as quickly as possible. One, so you don't forget about it. Two, because some actually have expiration dates. I notice American Express gift cards do, while Visa gift cards do not. But certain stores put limitations and other fees on their cards, too.

Many retailers have stepped back from issuing dormancy fees and user fees for gift cards after an outcry by consumer groups. But you still need to read the small print on gift cards or ask about gift card policies before buying them.

In 2006, U.S. consumers spent $80 billion on gift cards and $8 billion went unused, according to the Tower Group. The National Retail Federation predicted the average U.S. consumer would spend $123 on gift cards this year. Earlier this year, Consumer Reports found that 27 percent of gift card recipients had not used their cards, up from 19 percent the same time a year ago.

The biggest culprit is time. It's easy to put the gift cards in a drawer and forget about them until it's too late. So if you received a gift card, use it. And remind your recipients to do the same.