Connecticut gift card law for restaurants: no expiry, no fees

Gift cards are good business for a restaurant. They bring cash in before the meal, they bring in new guests and many cards are never fully spent. They are also regulated, and Connecticut is stricter than the federal rule. If you are used to the federal minimum life for the money on a card, you need to know that in Connecticut a gift certificate generally may not carry an expiration date at all. This guide, written in October 2026, sets out the main rules, what to do with unused balances and how to run a gift card program that guests trust. It is general information, not legal advice, so check the statute and the Department of Consumer Protection before you print cards.

Can a Connecticut restaurant put an expiration date on a gift card?

No. Connecticut law generally bars selling or issuing a gift certificate that is subject to an expiration date, and the state's consumer pages are written for cards sold by shops and restaurants alike, so assume it applies to you. Confirm the current rule with the Department of Consumer Protection or the Attorney General. A card that claims to expire, or hints that it might, breaks the rule, so remove any printed expiry date from your cards and your online store. If your point-of-sale system sets a default expiry, switch it off.

Can you charge fees on a gift card?

The state rules, as summarized by consumer-law guides, prohibit dormancy, inactivity and similar fees on gift certificates and gift cards. That means no monthly fee that drains a balance, and no charge for not using it. A charge to replace a lost card or for a physical card could be questioned, so do not add one without checking with a lawyer. Disclose anything you charge for in writing, and keep it simple.

What about unclaimed balances?

Connecticut's unclaimed property law still applies to gift cards, even though they cannot expire. Under that law, a balance that stays unused for the period set by statute may have to be reported and turned over to the State Treasurer. The period and the rules have changed over the years, and older summaries give figures that may be out of date, so ask your accountant or the Treasurer's Office for the current rule. Keep records of card sales and balances so you can show what is outstanding.

Do cash refunds apply to small balances?

Consumer-law guides report that Connecticut requires a cash refund on request for a small remaining balance. The exact amount and conditions matter, so confirm the current rule with the Department of Consumer Protection and train your staff on how to handle a request at the counter. A guest who asks to cash out a remaining balance of a few dollars is easy to satisfy and leaves with a good impression.

What about cards issued by a bank?

Cards that are issued or backed by a bank, such as a general-purpose prepaid card carrying a card network logo, are governed by federal law, which allows expiration dates and fees under certain conditions. A restaurant's own card, sold at its own counter, is not usually bank-backed. If you sell a third-party card, read the terms carefully and tell guests which rules apply.

How do you sell more gift cards the right way?

Sell them at the moments people buy: November and December, Mother's Day, Valentine's Day, graduation and Father's Day. Offer a bonus that does not erode your margin, such as a small card with a purchase of a larger one, but be careful that the bonus card is a promotion and not a gift certificate, and if it has an expiry date, state clearly that it is a promotional card. Sell online and at the counter, and make it easy to buy for a friend. Sell cards for a fixed amount and for a dinner for two.

How do you track and honor cards?

Record each card's number, amount, date and balance. Honor cards from any year, even after you have changed ownership or your menu. Train staff to check the balance, apply it to the check, and tell the guest what remains. If you close or sell the business, plan for outstanding cards, because customers hold a claim and the state expects them to be honored or turned over.

Finally, keep the paperwork tidy. Write a one-page gift card policy for staff covering how to sell a card, how to redeem it, how to handle a lost card, what to do with a small balance and who to ask when a guest has a question. Review it each year against the statute, because laws change and so do point-of-sale systems. If you use a third-party gift card platform, read its terms, and make sure its default settings do not add an expiry date or a fee that Connecticut does not allow. The business that issues the card is responsible for the rules, whoever prints it.

Do you want the cards you sell to bring new guests, not just cash?

Mosey is a food-first app where diners search by dish and mood, rate what they ate and keep lists of places to try. A gift card brings a friend in for a first meal, and the best way to turn that first meal into a regular is to be easy to find, easy to rate and easy to remember. Mosey also gives your business its own page and list of regular guests, so the new face behind a gift card can become a name on your list.

More guides for your business:

• Connecticut's 7.35 percent meals tax: what restaurants collect
• Connecticut restaurants by the numbers: sales, jobs and taxes
• How to get more customers to your Connecticut restaurant (2026)

More in the US guides for food businesses.