Gift cards could be a risky option to give this Christmas, according to Martin Lewis.
The Money Saving Expert said shoppers should think carefully before buying vouchers as Christmas presents this year.
Gift cards are often chosen because they allow family members and friends to select something from a shop they like. However, Mr Lewis said they can carry a risk for the person receiving them.
Some cards have expiry dates. These dates may not always be made clear to the buyer or recipient.
If the voucher is not used in a shop or online before the deadline, the recipient could lose the value of the present. Shoppers have therefore been urged to check the expiry date of the specific gift card before buying it.
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A second risk is the financial position of the retailer. If a shop or business goes bust, its gift cards may no longer be accepted, leaving the recipient unable to use the money.
Martin Lewis said: "Many find giving a gift card more socially acceptable than cash
"I get it. Cash gifts just are not very British.
"Yes unfortunately, vouchers have risks.
"If the store goes bust, gift vouchers usually become worthless.
"Many have expiry dates, which often are not made clear enough.
"So, think carefully about the likely financial strength of the retailer, and how quickly they'll be used.
"If in doubt, cash, or money in the bank, is the ultimate gift voucher. It is totally flexible and usable anywhere."
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Shoppers who still plan to buy a voucher have been advised to consider how quickly the recipient is likely to spend it. Checking the expiry date and retailer’s financial strength may help reduce the risk.
The warning applies to gift cards bought for shops as well as those used online.
Giving cash or transferring money into someone’s bank account may be a safer alternative, according to Mr Lewis.
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