Despite the new protection for consumers, not every gift card is equally appropriate. Here are tips on how to select the right ones for the family members, friends and colleagues on your shopping list. And then, advice to follow if you're the recipient of a card.

Advice for Card Buyers

1) Go familiar. Purchase a card from a shop, restaurant or retailer you know and trust. Don't be seduced by seemingly fabulous come-ons from an unknown company.

2) Check finances. You want to use a company that is solvent and not facing major legal problems. Go to google/news or the company's website and look for any such recent developments. Local and/or mom and pop stores and restaurants are fine - as long as they are busy. 

3) Read the fine print. Do so prior to purchasing the card. Find out what fees, if any, are involved. Then compare this information with the details we provided in last week's column regarding fees and restrictions. 

4) Pick an all-access card. One that can be used at the brick-and-mortar outlet as well as on the store's website. Some cards work only in one or the other which detracts from the joy of having the card.

5) Make the right match. If you want to give a $10 or $20 card, do so with a store that has plenty of items within this price range, such as a drug store or discount retailer. If you give a $20 card for an upscale store or restaurant, your giftee will wind up adding his or her own money to make a purchase.

$TIP: You can avoid having to pay a shipping fee if you pick up the card at your local store, rather than online.

Advice for Card Recipients

6) Know where you can use the card. It may be restricted to one retailer. Or, if it's a card from one of the major credit card issuers, you may be able to use it with any retailer that accepts the issuer's credit and debit cards.

7) Check for any associated fees and restrictions. And at the same time, be sure to look for information about conditions relating to lost or stolen cards. Then...

8) Write down the contact information. This includes the card's individual number and the toll-free telephone number for the retailer or issuer. Then, if your card is lost or stolen you can immediately have it canceled and get a new one issued.

9) Be budget conscious. A Consumer Report survey last year found that more than half of the consumers who received gift cards actually spent more than the card's total value.

10) Use the card right away. In the midst of the holiday rush and festivities, it's easy to put a card in a drawer or tuck it in the back recesses of your wallet and then forget about it.

11) Hang on to the card. Keep it after you've used up the entire balance and until you know that you will not be returning or exchanging any of the items you bought with it.

12) Resolve problems. Begin by contacting the issuer. Keep a log of your conversations, including the date, the full name of the person you speak with and the essence of the discussion.

If you are not successful, contact the Federal Trade Commission at: 877-FTC-HELP.

Happy Holidays!

---

Nancy's New Book Is Here!
Recession-Proof  Your Financial Life  A Financial Survival Guide for an Economy in Free Fall. Bestselling personal-finance author Nancy Dunnan offers back-to-basics advice to ease the financial squeeze of our troubled economy. Let Nancy Dunnan see you through the worst of the recession, so you and your family can live well today and prepare for a better tomorrow.	Available now on: Amazon.com Barnes & Noble

RECENT COLUMNS by Nancy Dunnan