Does Target charge more for in-store gift card activation

A recent LA Times consumer advocate column states that a customer was upset when he found out that Target charged him a $4 activation fee.  When I tried to verify this by going through the purchasing process with Target online, I was not charged an activation fee, but only a $1.95 shipping and handling fee, a cost that seems reasonable.

Is Target charging an activation fee for its gift cards purchased in-store?  Why?


2 responses to “Does Target charge more for in-store gift card activation”

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  1. Andrew Rowe says:

    Target’s closed loop gift cards have no fees, in fact their slogan is “no fees, no expiration, no kidding”. It’s on all the signs.

    The guest may have picked up a Visa or Amex Gift Card which does have a fee, similar to other competitive Visa Gift Cards.

    Andy Rowe
    Executive Director
    The Retail Gift Card Association

  2. Ted N says:

    I’ve just encountered the same problem. They have a rack at the checkout line with those Visa or Amex Gift Card which charges $4 fee for a $25 card, and it has Target logo on it. I thought it’s a Target gift card since I didn’t see any plain Target gift cards anywhere. I ended up going home because I thought the charge is ridiculous. That’s why I ended up here researching why, and my wife skipped dinner going to Macys to buy a “normal” gift card. Looks like the genius at Target is tanking their own gift card business.