James Browne (Wexford, Fianna Fail) | Oireachtas source

I again thank Senator Byrne for raising this important issue. We all know people who have been affected in terms of reducing balance fees. It is often only when a person presents a gift card given to him or her by a loved one that he or she realises the value has been reduced to a low amount or, in some cases, zero. It is incumbent that people purchasing vouchers are informed of the application of these fees. On behalf of the Minister for Finance, this issue will be raised with the European Commission in the context of the laws that are being put in place. It is important this is done. Not every voucher scheme applies such fees. In the meantime, I encourage people, when purchasing, to choose a voucher to which no fees are applied. In some cases, these fees are disproportionate, in my view.

I thank the Senator for the opportunity to speak to the House on this issue. This is an important matter for consumers. As stated, there is legislation in place in Ireland that ensures that these consumers are protected. Firms that are providing gift cards or vouchers under electronic money regulations must comply with their regulatory obligations. In this case, they must ensure consumers are informed of any fees or charges applicable to the vouchers they are purchasing and-or using. As correctly point out by Senator Maria Byrne, in some cases this information is in very small print. Companies have a duty to ensure the information they are providing is accessible and readable, as I understand the law on the matter. In addition, developments are under way at EU and domestic level to enhance the existing electronic money framework in order to align it with more stringent legislation such as the revised payment services directive.