Abstract: A method and system for authorizing the use of merchant specific gift cards, which include a unique card number. When the numbers are entered into the merchant's financial transaction equipment, the authorization network automatically routes the authorization request to the card issuing institution. The card issuing institution verifies the validity of the gift card, that the merchant identification number corresponds to an authorized merchant at a specified location, and that sufficient funds exist in the gift card account. The card issuing institution then transmits the authorization or rejection back to the merchant through the financial transaction authorization equipment.