Trading unwanted gift cards for credit applicable to a specific retailer involves obtaining monetary value or store credit at that retailer in return for the value of the original gift card. For example, a consumer might trade a gift card from a restaurant they do not frequent for credit usable at a preferred department store.
This practice offers consumers greater flexibility in utilizing gift card balances, reducing the likelihood of unused funds. Historically, gift cards were often confined to a single retailer, limiting their utility. The ability to convert these balances to a preferred store enhances the practicality of gift cards as presents and aligns with evolving consumer spending habits. It also provides businesses with a potential avenue to attract new customers and foster loyalty.