Why Apple is charging me for Gift card that supposed to be free?

Firstly, I'm not in the US. Please appreciate that while this is an English-speaking Support Community, this is an international forum. The world is considerably larger than just North America and Canada.

Second, this is a user-to-user technical community. Contributors here are all end-users, just like you. Other than the site Moderators, Apple neither monitors nor participates within this Community.

As commented by babowa, we neither represent nor speak on behalf of Apple. Experienced Contributors here offer assistance with technical issues - and attempt to unravel and provide logical explanation for some less technical mysteries - such as yours.

Returning to your issue... the terms of Apple's back to school offer, where you receive a Gift Card, are very clear:

"Qualified Purchasers receive an Apple Gift Card when they purchase an eligible Mac or iPad at a Qualifying Location. Only one Apple Gift Card per eligible Mac or iPad per Qualified Purchaser. Offer subject to availability. While supplies last. Qualified Purchasers shall receive a discount equal to the value of the Apple Gift Card off the price of the eligible Mac or iPad, but will be charged for all items in their cart, including the Apple Gift Card. This offer cannot be combined with the Apple Employee Purchase Plan or business loyalty pricing. Availability of in-store promotion offerings may be limited by Apple Store location closures as a result of COVID-19. Additional restrictions apply"

The full terms of the are outlined here (noting that this link is for Apple's Canadian website):

Offers - Apple (CA)

Presumably you followed the direct link to Apple's Canadian back to school offers, from which the offer terms are linked:

https://www.apple.com/ca_edu_93120/shop/back-to-school

The prices that you see listed here are already net of the educational discount for qualifying purchasers - and are not the full retail price that would otherwise be paid. As such, these are the actual prices - to which AppleCare+ (if selected) and purchase tax will be added.

Where misunderstandings have seemingly occurred are:

a) your possible expectation that the Educational (i.e., already discounted) prices that you see would receive further discount, and

b) further misunderstanding of how Apple's offer concerning the Gift Card actually works - as detailed within the offer conditions.

Remember, the pricing that you see is already net of the Educational discount - and that the Gift Card effectively returns to you its face value. The Gift Card does not expire and can be redeemed against a future purchase of goods or services from Apple; this can be spent by you, or whoever that choose the give the card.

I sincerely hope this additional explanation provides some clarity as to how Apple's pricing and associated offer are structured. Apple's offer is clearly defined. While the discount that you have received is perhaps not of the scale that you had initially anticipated, you have still benefited from a substantial discount.

If you remain dissatisfied, Apple do offer the opportunity to unconditionally return an undamaged purchase for exchange or refund within 14-days of purchase. As long as you return both the goods and the unredeemed Gift Card, you should receive a refund of the full price that you have paid.

Were you entitled to an Education Discount? Student Discount programmes from Apple, where available, require that eligible students are enrolled in a recognised higher education programme within the country of purchase.

In many countries, the key to accessing Apple’s Educational Discount programme is being registered with UNiDAYS.

Education Pricing and Student Discounts - Education - Apple

https://www.myunidays.com

As such, the total cost that you paid implies that you don't qualify for the Education Discount - or the required evidence of entitlement wasn't supplied at the time of purchase. As such, you were effectively billed for the full cost of the iPad, plus the optional AppleCare plan.

Returning to the Gift Card Promotion, this was quoted as an "up to" figure; your purchase qualified for a $150 rebate. The Apple Gift Card can be used against a future purchase of your choice with Apple.

Apple reduced the cost of your iPad and AppleCare purchase by the value of the Gift Card. You were correctly billed for the total cost - i.e., the discounted iPad+AppleCare and the Gift Card.

Apple Structure the offer in this manner to avoid the situation whereby the Gift Card is redeemed and the iPad is returned for refund of the full (un-discounted) purchase price.

As is, when received, you will have goods and services (including the Gift Card) at the correct total cost. Remember, you effectively have a $150 credit to spend.

Had you received both a $150 discount and a $150 Gift Card, you would have incorrectly received a $300 price reduction!

SKB_CTG wrote:

I know I have the gift card but it was paid by me!!!

Apple charged you $150 on the line item for the gift card. They gave you a $150 credit on the line item for the computer that they would NOT have given you if you had been purchasing the gift card by itself.

$150 charge + $150 credit = you paid a total of $0 for the gift card. A gift card that will allow you to buy $150 worth of stuff from them without paying anything more out of your pocket.

The reason I say that it's a scam becuase in the promotaion it says a gift card will be provided. But no where it says, I have to pay for the gift card.

I think there's a good chance that it does say that in the fine print. I could be mistaken, but I believe that I have read words to exactly that effect in the fine print for some of these promotions.

when you say you are going to provide the gift card and then you charge me for the card and hand over the gift card to me!!!! What do you call it? If I need gift card for myslef, I can always pay for it and get it? Why is it a promotion from Apple?

If you bought a $150 Apple gift card in a retail store, and then separately bought an iPad from Apple (at a time when there was no gift card promotion), you would not get $150 taken off of the line item charge for the iPad when you purchased it separately. Bottom line: You had to pay $150.

Here, the $150 charge is immediately offset by a $150 credit on the price of the iPad. Bottom line: You didn't spend anything on the gift card – above and beyond the cost you would have paid for the iPad, if there hadn't been any gift card promotion at all.

It's called a "promotion" because getting a $150 gift card for a net cost of $0 is an enticement to purchase the iPad. The reason that they are offering the gift card for a net cost of $0 – with strings attached – is to promote sales of the iPad.

SKB_CTG wrote:

I purchased iPad after seeing apple promotion online. Apple promotion says "Save on iPad or Mac with education pricing. Plus get a gift card for up to $200.1. "

The way that Apple handles a lot of "free gift card" promotions on their invoices is to:

• Charge you full price (e.g., $150) for the gift card.
• Give you a discount off of the full price of the computer, for the amount of the gift card (e.g., $150).

What I believe they are trying to do is to make it crystal-clear that you can't order a "computer + free gift card", keep the gift card, return the computer, and get all of your money back. Thus ripping them off to the tune of the $150 (or whatever) the gift card was for.

If you keep the computer and the gift card, then the $150 discount you get off the price of the computer cancels out the $150 you were charged for the gift card. But you have the gift card and it's $150 in credit to use on your future purchases. So, despite the odd-looking accounting, if you keep the computer, the gift card is indeed free.

SK1108 wrote:

A 'GIFT CARD' is supposed to be a 'GIFT' and 'gifts are not asked to payback.

Despite the strange way Apple writes up the invoices, they are charging a net of $0 for the gift card – as long as you comply with the terms of the promotion.

(Price_of_Computer - Value_of_Gift_Card) for the Computer line item

+ ( Value_of_Gift_Card) for the Gift_Card line item

==============================================================

= (Price_of_Computer) bottom line

Whether Price_of_Computer is a list price, or a sales price, is a separate issue.

If you were just looking for Apple to give you a no-strings-attached GIFT of a $200 gift card, without you buying anything at all from them, that's not how it works.

Back to School - Terms and Conditions - Education - Apple

"The Promotion Product is redeemable for future purchase(s) only and is not a “gift.”" 

SKB_CTG wrote:

You also wrote:

  (Price_of_Computer - Value_of_Gift_Card) for the Computer line item

+ (                   Value_of_Gift_Card) for the Gift_Card line item

==============================================================

= (Price_of_Computer) bottom line

Again, as per your calculation, Gift card has nothing to do with buying the iPad (-/+).

That is a mischaracterization of what I said. I said that it did not affect the bottom line price. The receipt of the gift card has everything to do with buying the iPad. If you are not willing to buy the iPad, Apple is not willing to give you a gift card.

The opportunity to get a gift card with a value of $150, for a net cost of $0, if you buy and keep the iPad, is what makes this a promotion.

So why force people to buy the "gift Crad"?? I could have save the $150 or use it for something else.

You want Apple to give you $150 extra, in the form of cash. That is not what they advertised. They said that you could get a gift card, worth, e.g., $150, with the purchase of the iPad. They never offered an extra, instant, $150 cash discount or rebate on top of education pricing.

If they eliminated the gift card promotion, you would not have $150 more cash in your pocket. They would get rid of the $150 credit on the iPad line item at the same time that they got rid of the gift card line item with its charge for $150. They would not remove the $150 charge for the gift card, while leaving the corresponding $150 credit. That would be changing the promotion to a new one that you favor, but that they never offered.

Servant of Cats wrote:

SKB_CTG wrote:

I purchased iPad after seeing apple promotion online. Apple promotion says "Save on iPad or Mac with education pricing. Plus get a gift card for up to $200.1. "

•

The way that Apple handles a lot of "free gift card" promotions on their invoices is to:

Charge you full price (e.g., $150) for the gift card.

• Give you a discount off of the full price of the computer, for the amount of the gift card (e.g., $150).

What I believe they are trying to do is to make it crystal-clear that you can't order a "computer + free gift card", keep the gift card, return the computer, and get all of your money back. Thus ripping them off to the tune of the $150 (or whatever) the gift card was for.

If you keep the computer and the gift card, then the $150 discount you get off the price of the computer cancels out the $150 you were charged for the gift card. But you have the gift card and it's $150 in credit to use on your future purchases. So, despite the odd-looking accounting, if you keep the computer, the gift card is indeed free.

SKB,

I agree with your frustration.

These are screenshots of the advertisement.

CATS.. you are right.. It is in the fine print that Lotus references:

Qualified Purchasers shall receive a discount equal to the value of the Apple Gift Card off the price of the eligible Mac or iPad, but will be charged for all items in their cart, including the Apple Gift Card.

Ultimately, buyer's have to "be aware" or "beware".

HOWEVER, ultimately this is not a promotion, mathematically. The buyer is still paying Apple full price, either for a Macbook (or IPad), or Macbook-$200 and a $200 accessory. I guess it gives the buyer a bit of flexibility, but only with Apple.

BUT if I only wanted the Apple computer and instead non-Apple accessories (Bose headphones), there really is NO discount/promotion, per se... And the buyer is not actually saving money.

However, the advertising makes it seem that way.

I wonder how many people actually thought the gift card was free.... I and SKB did!!

If Apple wrote this fine print in big letters as part of the screenshots, I wonder how many people would not have bought this promotion.

I wouldn't have. I would've just bought the computer, then bought the Bose headphones.

CATS and LOTUS... You are absolutely right because it's in the fine print.

BUT, like SKB, I feel like I've been "tricked". They also didn't mention this at the store where I purchased and picked it up.

Would I buy from Apple again... No. All I have is a Macbook, but Windows computers are just as good.

Would I recommend this promotion?? ABSOLUTELY NOT

I already posted on my social media "Buyer BEWARE" and intend on making a youtube video.

I also lecture at a university and have told all my students to watch out for stuff like this.

Until I get my $210 back, I will continue to help protect people.

Whether Price_of_Computer is a list price, or a sales price, is a separate issue.

It is not the seprate issue. It is the main issue along with using the 'Gift Card' term for deceiving the customers. Provide me an instance where any other company uses 'Gift Card' term as an offer to its product and then charges back to the customer for this 'GIFT CARD'??? Probably none. The word 'Gift' means that you are giving something to someone without asking a return for it. So, it is nothing more than a 'SCAM' from Apple. The issue needs to be raised and complaint needs to be raised with FTC and CFPB about bad faith practice by 'Apple'. I am going to raise this issue with FTC.

"save on iPad or Mac with education pricing. Plus get a gift card for up to $200."

The advertised "educator pricing", usually meaning discounted, was the main reason why I bought the laptop.

This insinuates lower price for a Mac, plus a gift card for free.

The messaging hooked folks in to buy, then after they are charged and not wanting the card, they are told just buy more Apple stuff.

What if I don't want to?

Like everyone trying to save a bit of money, I was looking at the all-in discounted price which is what the first part of the ad says in big bold letters.

BTW, it's not just me apparently at least 75 other people said "me too" to SKBs original post.

I'm complaining because they don't make it obvious that you actually pay for the gift card.

Otherwise, why didn't they include it in the big messaging??

"Plus you can purchase a gift card for up to $200"

"plus get a gift card for $200 (charged at checkout)"

"plus buy a gift card for up to $200"

THIS IS A VERY SNEAKY AND SHAMELESS THING TO DO.

The end result is the same amount of my money going to Apple. I prefer an actual discount/saving, that is, I give Apple $200 less which didn't actually happen.

The messaging is VERY misleading.

I just asked several people to read the line below and tell. Me what they think it means.... they all said the messaging is very MISLEADING AND SNEAKY and suggests that the purchaser gets the educator pricing (discounted price for laptop) Plus a FREE $200 gift card.

"save on iPad or Mac with education pricing. Plus get a gift card for up to $200."

SAVE = "a reduction in money"

At the end of the day, I spent $3300. The "education pricing" said $3100.

IF I spent $3100, I "saved" $200. I wanted to ONLY spend $3100.

But to get charged $200, the net spend is still $3300 = no money was actually "saved."

Why didn't Apple just say "education pricing if you also purchase a $200 gift card".

It would be MORE simple, clear, and transparent.

I know you won't understand. But I will ask all the university students I teach and my IG followers what they think.....

Well then they why don't they just say that??

Instead of saying "save on iPad or Mac with education pricing. Plus get a gift card for up to $200.", why not just say, ANY of the following ...

"get educator pricing, if you purchase a $200 gift card"

"save $200 on a mac, when you purchase a $200 gift card"

"save with educator pricing when you also purchase a $200 gift card"

ALL OF THESE ARE ALL TRUE STATEMENTS AND UNAMBIGUOUS!!!

The statement currently used by Apple, is very ambiguous for the average consumer.

Honestly, do you read the Terms and Conditions of contract you enter, including each time you make a purchase using your credit card?????

SKB_CTG wrote:

@Servant of Cats:

My problem is, why Apple forced me to buy the gift card (worth $150) while it has nothing to do with the promotional device purchase?? I did not have to spent this extra $150. But becuase Apple attached this Gift card with the purchase of the device, I had no choice but to buy the gift card.

The gift card has everything to do with the second part of the promotion.  Not the part about "education pricing", whatever that is, but the part about getting a "free" gift card with the purchase of the device.

They never promised you that you could get the $150 gift card and instantly apply the value of the gift card to the  same transaction where you were getting the card.  $150 extra cash in hand, instantly, might be more attractive to the buyer - but it wasn't the deal they they promised. (For purchase of a $1000 computer, a "free" $150 gift card represents a 13% discount on $1150 of "stuff"; an instant $150 cash rebate would be a 15% discount on $1000 of "stuff".)

----------

Questions that come to my mind are:

• What are the education and list prices for the particular item that you ordered? You might need to visit both of the stores to figure this out – I see things like "this computer is $1199" in the education store, but not "this is a savings of $100 off list price."
• Is the education price for that item lower than the list price for that item?
• What was the price on the computer or tablet line item before the adjustment for the gift card price? Was that price the same as the education price? If not, why not?
• Did you make sure to order through the education store, so that you would get the education price?

Instead of giving you a free gift card if you buy an ipad, they give you a discount on the ipad if you also buy the gift card. It's not a zero net gain. Check the gift card they must have emailed you. You probably have $150 there that have not been redeemed yet.

Dnice4714 wrote:

HOWEVER, ultimately this is not a promotion, mathematically. The buyer is still paying Apple full price, either for a Macbook (or IPad), or Macbook-$200 and a $200 accessory. I guess it gives the buyer a bit of flexibility, but only with Apple.

It is a promotion, mathematically.

• Without it, you would pay $X, and get just the computer.
• With it, you pay $X, and get both the computer, and a gift card worth $200.

BUT if I only wanted the Apple computer and instead non-Apple accessories (Bose headphones), there really is NO discount/promotion, per se...

Now you're complaining that it's not the type of promotion that you wanted, as opposed to the type of promotion that was advertised.