Why you should buy gift cards on eBay instead of the merchant
It’s true that you can buy anything on eBay, including gift cards and gift certificates to retailers across the country. In certain situations, it can be a good deal for the customer, saving them 5%, 10%, or even more. Here are some frequently asked questions related to buying gift cards on eBay.
Buying Gift Cards on eBay: Why buy a gift card on eBay?
Let’s say you want your nephew to get new clothes for his birthday. If he takes you shopping yourself or buys you a gift card directly from a clothing store, maybe he can afford $75 for the gift. But spending that $75 on eBay, as long as you’re not in a hurry, you could buy a $100 gift card at the same store! A different case: A man I know bought a $200 bookstore gift card on eBay for $165 because he expected to buy a lot of books the following month and was happy to get a $35 price reduction this way.
Buying Gift Cards on eBay: How can people afford to sell these things for less than they’re worth?
Occasionally people get gift cards they personally don’t want or need, perhaps a gift from the wrong relative, a thank you from an employer, or an incentive gift for purchasing something of greater value. I once received a $50 Best Buy gift card along with a computer I purchased. Instead of gift cards worth the dollar amount of the merchandise, people may want to sell a card for less than its technical value in order to cash it out. If they are given the choice between $80 in their PayPal account or a $100 gift card to an unselected store, several people will accept the hard money. Similarly, some eBay entrepreneurs buy gift cards in bulk and receive a discount on them. Every time they buy gift cards from $50 to $40 each and sell them for $45 each, they make a profit, only the buyer saves too.
Buying Gift Cards on eBay: How Good a Deal Can I Get?
It depends on several factors: the popularity of the merchant, the value of the gift card, the expiration date (provided it exists), the duration of the auction, etc. You’re likely to get a higher deal at oddball merchants or territory stores than you are at popular national merchants like Target, Borders, and Gap. That being said, you can typically save between 5% and 20%.