Gift cards are a popular choice for gifts, when you are not sure what to get someone a gift card to a popular store can be the perfect gift. Few people give any thought to the financial stability of a store when they purchase a gift card, but with the current economic downturn bankruptcy of retailers has become a very common occurrence. If you think your gift card will be protected from a company’s creditors think again!

When major retailers go out of business the gift cards are worth nothing, they become a useless piece of plastic. When the Sharper Image filed for chapter 11 bankruptcy they no longer accepted gift cards. Finally after a battle the Sharper Image offered consumers the chance to use their gift cards as a 50% off coupon. Several months later all the retail locations were closed and the cards were worth nothing.

Linens ‘N’ Things went bankrupt in later 2008 forcing many of its consumers scrambling to use their gift cards before the inventory was gone. When Linens ‘N’ Things finally closed its doors over $100 million in gift cards was lost forever.

There are a few things consumers can do to protect themselves. Do not buy gift cards for stores you know are having financial trouble, use your gift cards as quickly as possible and sell gift cards you do not plan on using anytime soon. There is no reason to hang onto gift cards for more then a couple weeks. If you really need a gift card use it, if you do not need it sell your gift card for cash. Giftah will get you cash for your gift cards, just sign up for the site and you will be connected to thousands of people who want to trade you cash for your gift cards. Don’t risk losing your gift cards value to bankruptcy sell it, use it or lose it!

Popular craft store Michaels conducted a survey in April asking over 1,000 teachers what their preferences for gift giving during Teacher Appreciation Week (May 3 – 9). While many children and parents wonder what gifts they should get for the teachers Michaels survey has revealed what teachers want this Teacher Appreciation Week.

The 73% of teachers prefer gifts made by their students; they said that the handmade gifts involving creative elements. Half the teachers said they have had enough of the typical coffee mugs, candles and bath products typically given as gifts.

The most desired gifts by teachers after home made pieces were gift cards. One third of teachers enjoyed receiving gift cards to retail stores. Although the company obviously recommends Michaels gift cards as the perfect gift for teachers, most teachers have probably had enough of arts and crafts during the school year.

Giftah is in favor of giving gift cards for teacher’s week. Students can save money by using Giftah to buy discounted gift cards to give their teachers. If the teachers do not like the gift card, they can always come back on Giftah and get cash for their gift cards.

A recent gift card patent litigation trial had the potential to render all gift cards in the United States useless. Every Penny Counts claimed that any company that issued “open” or “closed” gift cards was infringing on their patent for technology that automatically deducts excess cash from gift card transactions.

The “open” gift cards cover the American Express gift cards or Visa gift cards that can be used at any store and the “closed” gift cards refer to gift cards that can be used at specific locations, for example a Best Buy gift card or Wal Mart gift card. Essentially ever single gift card in the United States was covered by the lawsuit.

Luckily the U.S. Court of Appeals affirmed the Florida federal district court’s dismissal of the lawsuits which challenged the legitimacy of gift cards technology. Had the patent litigation been successful it could have potentially banned the use of gift cards in the United States.

Although this did not happen it shows how fragile gift cards can be for storing value. The company you own gift cards for can go out of business, the card can be lost or stolen, and now even patent litigation may lead to the loss of gift card balances. Everyone should get rid of their unused gift cards. It is much better to sell gift cards you will not use or trade them for a gift card you will use. The best place to get cash for gift cards is Giftah. You can get the best price for you gift card and turn the card into a liquid asset.

Often when people have no idea what present to buy they end up getting a gift card. Most of the time the recipient can find a use for it, but what happens when you receive a gift card you know you will never use?

Many electronic, entertainment, sporting, jewelry and clothing retail stores will not offer you any money for their own gift card, but there is a way you can convert unwanted gift cards into cash.

Giftah offers an online marketplace for buying and selling gift cards. All you need to do to sell your gift card is sign up for an account with Giftah and list your card on the site. Once your card has been posted on Giftah it will be viewed by hundreds of visitors who are looking to buy gift cards. Giftah users will place bids on your card until the auction is finished. After that all you need to do is follow Giftah‘s instructions, mail the card to the successful buyer and wait for your money to arrive. It is an easy and fun way to sell your gift cards online.