Visa gift cards cost $5.95 to $6.95 extra: when a store gift card is the better buy

A $50 Visa gift card costs $55.95 or more once you add the purchase fee. Buy five for teachers, coaches or a Secret Santa, and you pay $29.75 in fees, nearly 12% on top. A $50 store gift card from a brand like Target usually has no purchase fee at all.

So which should you buy? We compared the fees on Visa and Mastercard gift cards, store gift cards and "choice" cards, using the card terms on Giftcards.com, checked on November 8, 2026, and the federal gift card rules.

At a glance

Digital delivery by email is free for all of these. A physical card mailed by USPS standard mail costs $1.99 per card, and faster shipping costs more.

Visa and Mastercard gift cards: flexible, with fees

Bank-issued gift cards work almost anywhere the network is accepted, which is why they're popular. But you pay for that.

• Visa Virtual Account: $5.95 per card, from $10 to $250. It works with online, mail and phone merchants in the U.S. that take Visa debit cards. It can't be added to Apple Pay or Google Pay, can't be used outside the U.S., and can't be used for recurring bills. There's no cash or ATM access.
• Visa eGift: $6.95 per card, from $10 to $100. This version can go in a digital wallet, so the recipient can tap to pay in stores.
• Mastercard eGift: $5.95 per card, from $10 to $250. Like the Visa Virtual Account, it works with online, mail and phone merchants in the U.S., and a lost or stolen one costs $5 to replace.

The bigger catch is the inactivity fee. All three cards charge a $4.95 monthly maintenance fee starting on the first day of the 13th month after 12 months with no activity. The funds don't expire, but the fee can eat them. A lost or stolen card costs $5 to replace.

Store gift cards: no fees, one store

Target's gift card, sold from $10 to $500, has no purchase fee and, in Target's words, "No fees. No expiration." It can be used at Target stores and on Target.com, but not to buy other gift cards or prepaid cards. If it's lost, stolen or damaged, Target can replace the remaining value if you have the original purchase receipt.

The downside is obvious: the recipient has to want to shop there. For a teacher, a teenager or someone who already shops at a store every week, that's rarely a problem.

Choice cards: a middle ground

The Giftcards.com Gift Card, from $25 to $500, is a "choice" card: the recipient swaps it at Giftcards.com for a card from the brand they want. No purchase fee is listed, and the funds don't expire. The catches: it can't be swapped for gift cards that carry fees, such as Visa cards, and it can't be replaced if it's lost or stolen, so treat it like cash.

Worked example: five $50 gifts

• Five Visa Virtual Accounts: $250 + 5 × $5.95 = $279.75. Fees are 11.9% of the gift.
• Five wallet-friendly Visa eGifts: $250 + 5 × $6.95 = $284.75, or 13.9% extra.
• Five Target eGift cards: $250, with no fees.
• One $250 Visa Virtual Account instead: $255.95, or 2.4% extra. The fee is flat, so it hurts most on small cards.

Now say one of those $50 Visa cards ends up in a drawer. After 12 months with no use, a $4.95 fee comes off on the first day of month 13, and every month after. Ten fees add up to $49.50, which leaves 50 cents on the card about 22 months after it was bought. A forgotten Target card would still have $50 on it.

What the law says

Federal rules in the CFPB's Regulation E limit what gift card issuers can do. A dormancy, inactivity or service fee can only be charged if there's been no activity on the card in the year before the fee, and no more than one such fee in any calendar month. The money on a card can't expire for at least five years from when it was issued or last loaded. Purchase fees aren't banned, but they have to be disclosed before you buy. Our guide to gift card rules and fees has the details, and our gift card scams guide covers card draining.

Ways to save

Buying online, rather than off a rack, also helps you avoid tampered cards. On Giftcards.com, our live offers include 10% off the featured daily deal gift card with the code DAILYDEAL (up to three uses per customer per day), and up to 10% off selected gift cards. Check which cards qualify before you buy.

Where the others have the edge

• Visa and Mastercard cards can be spent with almost any U.S. merchant that takes the network, which suits someone whose tastes you don't know, or a gift of cash that feels less like cash.
• The wallet-friendly Visa eGift is the only one here that works for tap-to-pay in physical stores, for $1 more than the virtual version.
• Choice cards let the recipient pick the brand without a purchase fee, but they can't be replaced if lost.

Our verdict

If you know where someone shops, buy that store's gift card. You save $5.95 to $6.95 per card, and there's no monthly fee if it's forgotten. If you don't, a choice card avoids the purchase fee while still letting them pick. Save Visa and Mastercard cards for when real flexibility matters, buy one larger card rather than several small ones, and remind the recipient to use it within a year.

FAQs

How much is the purchase fee? On Giftcards.com it's a flat $5.95 for the Visa Virtual Account and Mastercard eGift, or $6.95 for the wallet-friendly Visa eGift, whatever the amount.

Do Visa gift cards expire? The card has a valid thru date, but the funds don't expire. If money is left after that date, you can call for a free replacement card.

Can I use a Visa gift card abroad? Not these. Giftcards.com's Visa and Mastercard cards can only be used in the U.S.

Is a store gift card safer? It has no fees, and Target can replace a lost card's value with the receipt. Either way, keep the receipt and card number, and never give the numbers to anyone who asks you to pay a bill with them.

When you shop through Promo Magpie, part of the commission the shop pays us goes to the charity or club you pick. You pay the same price.

Sources: Giftcards.com, Visa Virtual Account terms, Giftcards.com, Visa eGift terms, Giftcards.com, Mastercard eGift terms, Giftcards.com, Target gift card terms, Giftcards.com, Giftcards.com Gift Card terms, all checked November 8, 2026, CFPB, Regulation E, 12 CFR 1005.20

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