Don’t Let Your Gift Card Expire – Convert It Into Cash
If you search the phrase Gift Cards in Wikipedia they characterize it as a card that has a restricted cash value that is issued by either a bank or a store that is given as an alternative to purchasing a physical gift. They have become very prevalent as they offer a convenient way of giving a gift you know the other person will love. Companies love them because they are a huge source of profit. So much money, in fact, that a study in 2006 discovered that people in the U.S. and Canada spent a collective total of over $81 billion dollars on them.
From this a a lot of businesses have been created that make items such as gift card holders that compliment the cards themselves. And if you need something a bit more substantial there are available a large variety of different gift card packaging solutions like boxes, bags, envelopes and also tins. But with all of the funds spent on the cards they do not all get redeemed with some estimates being as high as 10% that are never used.
This means billions of dollars that are collected by companies without them having to ever give an item or service. While this means 100% profit for the store, a redeemed card can actually bring in more revenue. Most people usually spend much more than what the value of the card is in store.
There are a few of causes why cards go unused such as complicated usage rules or that the cards simply expire. There is another problem and that is simply that you just may not like the business the card has been issued for. Well, there are now services that are targeting this niche. Enter the gift card resale market.
These reseller sites, such as Plastic Jungle, offer the opportunity for people to buy gift cards at a reduced price or sell a card you do not want. You may also trade your card for one that you really want. They will even guarantee the actual value of cards that you purchase through the site.
For a consumer the major plus is that you won’t get saddled with credit for a retailer that does not have anything that you really want. Turning the card into real money allows you to use that money for something you want. Since many people hold a credit card balance the money can be used to pay some bills.
Some of the real popularity in the reseller sites is for buyers. This is because these gift cards are often sold at a reduced price. The amount of the discount can differ from site to site, but you can typically expect to receive a 10% discount off of the original value of the card. This can add up to significant savings specifically if you use it to buy items that are on sale.
While it is still too soon to see if these sites will make a profit the concept does seem to be getting attention. This is helping make gift cards more desirable for the general public. The monetary value can now be unlocked and put towards anything that is really needed, want, or meaningful.
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