Post Office Plans to Sell Open-Loop Gift Cards

by Mercator Advisory Group 0

The U.S. Postal Service is planning to launch a two-year pilot in May, during which it will sell open-loop gift cards at 2,000 post offices. Media reports are all over the place about what the Postal Service is Actually Planning to do, but here is a quick rundown.

The Postal Service Gift Card Pilot:

1. Starts May 1, 2001 and runs for two years.

2. Will take place at 2,000 retail locations that currently sell greeting cards.

3. Will sell open-loop cards in fixed amounts and variable amounts.

4. Will charge $3.95 for a $25 card, $4.95 for a $50 card, and $5.95 for a variable amount card.

5. Variable amount cards will be sold in $1 increments starting at $26.

Link to the notice the Postal Service filed before the Postal Regulatory Commission on Jan. 5, 2011: