Reselling Gift Cards online

[fidler4]

Here is an article about a guy who buys gift cards at a discount then resells them online for a higher price then what he bought them for. After the web site takes their cut he makes 6.41%. It's an interesting concept. I don't think I would do this but if it works for him.

Reselling $18,030 of gift cards (was it worth it?) - Points with a Crew

Total gift card face value: $18,030.00 ($15,225 of these were Gap / Old Navy cards)
Purchase price: $14,540.00
Average discount: 19.4% (again most of these were 20% off Gap cards)
Sell amount (on Raise): $17,271.73
Payout (after Raise commission): $15,472.42
Total profit: $932.42
Profit percentage: 6.41%


Sent from my iPad using Early Retirement Forum

 

[Sunset]

Inventive.
Makes use of folks who can's stock up on gift cards so have to pay full price.
I won't be doing this either, but it could work for some folks.

He was lucky on a couple of issues:
The exchange he used didn't go bankrupt.
He didn't have anyone claim the card was empty and demand a refund.
He admitted it took months:
Sites get swamped with certain cards and want to drop the price....
"I ran into that with Gap gift cards but ended up selling them for a profit but I had to hold on to them for a few months."