Saving money on gift cards

CLEVELAND - From music to movies to meals, there is a gift card out there that fits your loved one.

"All our relatives live out of town and I don't get to see them enough to know what coffee they like to drink or if they need a new scarf or gloves so this is perfect. We know they like to eat," shopper Erin Malloy said.

The more you spend on a gift card, the more you save. Finding savings starts by choosing the right place to shop.

"I think it's very important if you are going to buy gift cards, you might as well save money," Doretha Williams said.

You can save a few dollars off the retail price of the gift card by shopping a discount wholesale club like BJ's.

The more you spend, the more you save. We found only a few dollars in savings on most cards under $50. If you buy a $100 spa gift card bundle deal, you can get the gift for just $69.

You can save even more online. $25 Olive Garden gift cards at Bj’s retailed for $23.99. Online, you'll save $2.50.

Some gift card swapping sites even offer free shipping. It's all good news for shoppers hit hard by the economy.

"I have technically lost money because I have to pay more for my benefits so we're cutting back," Malloy said.

If you're buying online, read the site's terms and conditions. Only buy from companies that guarantee the card will have money on it. Gift card fraud is not uncommon, so stick to reputable sites.

Plastic Jungle offers free shipping and guarantees its sales, and has a dispute policy if your card is not authentic, doesn't arrive, or doesn't contain the full amount of money that was advertised.

GiftCardRescue also offers free shipping and guarantees its sales through a dispute process. Make sure you read the terms and conditions for the timeframe in which you need to report the problem.  Check the card once it arrives to make sure it's still valid. Don't wait until it's time to use it to find out it's not authentic because return policies and guarantees only last a short time after your purchase.

Cardpool also offers free shipping and a 100-day guarantee on all purchases.

These gift card swapping sites are also handy if you receive a gift card you won't use. You can trade it in for money.

Local grocery stores also offer you savings, and sometimes the retailer itself will offer you bonus money for purchasing a certain value gift card.

If you buy $50 in gift cards from Giant Eagle , you’ll earn 10 cents in Fuel Perks. Marc’s offers you 2 percent savings for popular restaurants and stores.

Added protection

While shoppers are cutting back, you're getting added benefits with gift cards. A new law prohibits fees until the card's been inactive for a year, and they can't expire for at least five years.

However, we found cards that are completely eliminating the fees and expiration dates. It’s an added gift for consumers this holiday.

While the new gift card protections took effect in August, you won't see the new rules on every card until the end of January.

Click here to read the gift cards that are exempt from the new rules. These include some prepaid gift cards with a credit card logo, and some cards you get as part of a promotion. The fees and expiration date must be clearly displayed in those cases.