Consumer complaint received 2025-11-20 00:00:00
Product: Prepaid card — General-purpose prepaid card
Issue: Trouble using the card — Trouble using the card to spend money in a store or online
Company: AMERICAN EXPRESS COMPANY
State: AZ

Complaint narrative:
i received an amex gift card as a gift. i used {$48.00} and out of the {$100.00} gift card yesterday, XX/XX/year>. i tried adding it to my XXXX pay account and it declined. instead of being like any other gift card or credit card and declining but letting me use it elsewhere, the card was put on hold. XXXX told me to wait 24 hours and if it doesn't get off hold they may need to issue me a new card. they don't explain why a declined transactions places the card on hold. they told me to call back in 25 hours if still on hold. 

i have read terrible reviews about this gift card and the company continues to sell them. people on reddit are saying amex never refunds or reissues a card and to file with CFPB. if i can't use the gift card balance of {$51.00}, i would just like a check from amex or incomm ( since that is the company that is outsourced in india that XXXX gift cards are issued not even amex ). it is a waste of money to receive a gift and not be able to spend it. i dont want to lose the {$51.00}. especially since i could use the money. i don't trust that amex or incomm will fix the issue. i was told that the XXXX transaction will be hold until XX/XX/XXXX. then i can use the card. the man on the phone said that XXXX hasn't processed the transaction yet. as you can see it is processed. according to phone support there is an issue with my card. yet they want me to wait 6 more days and call back if the card still does not work. i will do that but in the meantime i am still finally a complaint since i am sure nothing will change and on the XXXX they will tell me the same thing. my card has an issue and i cant use it and they can't do anything about it. fine then issue me a check for the amount. on reddit people are saying that only with CFPB support do they ever get their refund since the people whose cards end up on hold like mine is, never can be used again because XXXX said there is an issue with the card and they can't help. since this continues to happen and people say that card gets left on hold for weeks and XXXX tells them there is nothing they can do. why sell a product if a consumer can't use the money? that makes no sense and it's not ethical. that is fraud. someone paid for this gift card when i got it as a gift. money should be spent how the person chooses to by making purchases with the gift card. not having a now useless gift card that can't be spent after it gets put on hold. XXXX knows they have an issue with gift cards that they can't fix. they told me in 2 days if it is still on hold they have to issue a new card. now I'm being told today, XX/XX/year> that yesterday 's rep was wrong. they can't reissue a card even if there is an issue with the card and no more transactions can be made. i just need to wait until XX/XX/year>. then call on the XXXX, if it is on hold still. that makes no sense. so they know about this issue and just continue to tell consumers that they have to re issue another gift card to spend it. I've never had an issue with any other gift card in my life and i get gift cards as often. thank you for your help. i just want the {$51.00} as a check. my friend gave it to me to spend and now i can't use it.

Company response to consumer: Closed with explanation