As of October 1st, 2025, the Maryland Gift Card Law, also known as the Gift Card Scams Prevention Act of 2024, will officially come into effect. This new legislation brings significant changes to how retailers and brands must handle gift card products in terms of packaging, display, and security. While this law imposes new compliance requirements, it also offers businesses a valuable opportunity to enhance their brand reputation and build trust with consumers by taking a proactive approach to fraud prevention and consumer protection.

We’ll explore the key components of this Law, the specific requirements for gift card packaging and display, and how these changes can elevate your brand and provide added value to your customers.

The What and When: Key Changes and Timelines

The updated regulations will impact all gift card products that are displayed for sale at retail establishments, both at first-party and third-party channels. Specifically, if a brand or partner sells either an open or closed loop gift card, it must comply with new mandates related to pin coverings, packaging, and tamper-evident features for all types of gift cards, including :

• Card Only (CR80)
• Card on Carrier
• M6

In-Person Selling Requirements: Gift Card Packaging

Under Section 14-4601 of the legislation, the packaging of closed-loop gift cards must conceal or cover specific security features, namely the numeric codes that are crucial for the redemption of the gift cards. The law mandates that these codes be hidden in a manner that is not easily removed or replaced without signs of tampering. This helps to prevent unauthorized access to the codes and significantly reduces the likelihood of fraud.

For gift card packaging that partially conceals the numeric code, it must still be designed in a way that makes tampering evident. Whether it’s a full concealment or partial concealment of the code, the key is to ensure that any signs of tampering are immediately noticeable.

The law specifically mandates that the packaging should feature tamper-evident designs to ensure the security of the gift card until it’s in the hands of the consumer. Brands that comply with this law not only demonstrate a commitment to protecting their customers but also establish themselves as reliable, trustworthy businesses in the marketplace.

Enhancing Consumer Protection with Fraud-Preventative Packaging

As brands begin to prepare for compliance, they should consider proactive packaging solutions that provide increased protection for consumers and reduce the risk of fraud. One such approach is the use of fraud-preventative packaging that can be implemented as part of the packaging design. Below are some key packaging features and techniques to consider:

How the Maryland Gift Card Law Can Benefit Your Brand

Adhering to this Law doesn’t just help you avoid fines or compliance issues—it also provides an excellent opportunity to elevate your brand. By embracing the law’s packaging and security requirements, you’ll show consumers that your brand is committed to their safety and protection. This proactive approach can increase consumer trust, which can lead to greater brand loyalty and higher sales.

Additionally, the tamper-evident packaging solutions discussed here, such as secure glue bonding and perforated pull tabs, not only help you comply with the law but also enhance the overall presentation of your gift cards. This attention to detail and emphasis on consumer protection can become a selling point for your brand, setting you apart from competitors who may not prioritize these protections.

Compliance or Removal from Shelves

One critical aspect of the law is its strict stance on non-compliance. Brands or partners that fail to meet the updated packaging and security requirements will be required to remove their gift cards from the sales floor. These non-compliant cards must be stored securely behind the sales counter and accessed only by store employees.

While this measure aims to protect gift cards from scams and fraud, it also highlights the importance of compliance. By adhering to the new guidelines, brands can maintain the visibility and accessibility of their gift cards on the sales floor, gaining a competitive edge over non-compliant competitors.

The Maryland Gift Card Law is an important piece of legislation designed to protect consumers and reduce fraud in the gift card industry. By complying with the law’s packaging and security requirements, you can ensure that your gift cards remain secure and accessible to consumers. Furthermore, implementing proactive fraud-preventative packaging solutions not only helps your business comply with the law but also demonstrates your commitment to consumer protection.

By embracing these changes, your brand can elevate its reputation, foster customer trust, and stay ahead of the competition. So, as you prepare for the law’s implementation in October 2025, take this opportunity to invest in fraud-preventative packaging and ensure your brand remains at the forefront of the gift card industry.

About Plasticard – Locktech International

PLI is the largest Closed Loop Gift, Loyalty and Hospitality card manufacturer in North America. PLI has been in business for over 30 years, specializing in end-to-end card marketing solutions including card production, design, packaging, displays, consulting and fulfillment services and capabilities. PLI has three manufacturing facility locations including two in Las Vegas, NV and one in Asheville, NC.