Gift cards are the ultimate gift because they have the potential to become anything. According to the National Retail Federation's (NRF) 2008 Holiday Consumer Intentions and Actions Survey, 54.9% of consumers said that they would like to receive a gift card--making them the most requested gift. If you are thinking about buying a gift card for someone this holiday season, it's important to consider what type of card you want to buy and what potential snags to avoid.

Gift cards are great for those hard-to-buy-for people. However, 22.7% of gift-givers said they are less likely to buy gift cards because they think the gift is impersonal, according to the NRF survey.

If you're really stuck and a gift card is the only way to go, try pairing it with a small item that would complement the card. For example, give a coffee gift card with a mug and some chocolate-covered coffee beans. Also, many retailers give you the option of personalizing gift cards online. Embellishing a card with messages, photos, and designs might add the personal touch it needs.

General-purpose gift cards have the flexibility of cash, but the security of a card. They act as credit cards with a predetermined spending limit, which is set when you buy the card.

It’s best to make sure the card is widely accepted so the recipient has a lot of options as to where to use it--from buying a tank of gas to buying 10 packs of ShamWows. It’s also important to check the card’s terms and conditions for fees and expiration dates so that the recipient doesn’t get stuck with a gift that bites back.

Regardless of the type of card you give, encourage the recipient not to hold onto the card for too long. There are three reasons for this:

1. New social-science research suggests that people tend to procrastinate not only on unpleasant tasks (like cleaning the garage) but also on enjoyable experiences (like planning a vacation). So, if the card isn’t used soon after it is received, the likelihood of forgetting about the card is high.
2. For cash gift cards especially, maintenance fees can kick in and be deducted from the balance if the balance isn’t used within six months to a year.
3. Most gift cards no longer have expiration dates, but in more than 35 states, unused balances can be claimed by the state under unclaimed property laws if the gift cards aren’t used after a specified period of time.

Sources: nrf.com; creditcards.com; giftcards.com; bankrate.com; visa.com; theatlantic.com; allbusiness.com; wsj.com