Did you know you can seriously profit from selling gift cards to people?
Gift card sales have soared in recent years. They’ve quickly become the preferred way for individuals looking to avoid the frustration of guesswork from gift-giving or to take control of their online purchases.
This makes selling your unused cards worthwhile.
But, similarly to any money-making scheme, you may end up overwhelmed or frustrated if you don’t understand the intricacies of gift cards well.
If that’s you, worry not—we have the solution. We’ll tell you how to sell gift cards and highlight the benefits and issues of doing so through our article.
- Why You Should Consider Selling Gift Cards
- Problems With Selling Gift Cards
- What You’ll Need to Sell Gift Cards
- Where to Sell Gift Cards
- How To Sell Gift Cards: Step-By-Step Instructions
- Things to Consider When Selling Gift Cards
- Frequently Asked Questions
- Similar Tutorials to Check Out
- Wrapping Up
Why You Should Consider Selling Gift Cards
Whether you have unwanted gift cards or are considering future purchases to capitalize on discounts, selling them can be a quick way to earn extra cash.
Amazon, Walmart, and many other major retailers have digital and physical gift cards in which people’s interest grew.
But that’s not all. There are other reasons why you should consider selling them, such as:
- Turn Your Card Into Cash: If you have cards for a retailer you don’t frequent, selling them is a quick way to receive cash to spend on something that interests you.
- No Expiration Date: Many retailer gift cards have no expiration date. So, they’re a way to hold the money until required—you can always turn them into cash whenever needed.
- Variety of Options: You don’t necessarily have to sell cards to a person. Gift card marketplaces offer exchange options. This guarantees your safety and helps prevent frustrations.
- Convenience: You can sell digital gift cards from the comfort of your home and receive electronic payments, as most come with a redeemable code.
- Free Up Space: Unwanted cards can quickly clutter your wallet. Selling them can help you declutter. You also don’t have to worry about misplacing them.
Problems With Selling Gift Cards
Selling gift cards can be lucrative if you know what you’re doing. This is especially if you run a business or a retail store whose primary practices include selling gift cards.
But there are a few reasons why you may want to hold off trying to make money this way and look for a different gig. These are:
- Fraud: Fraud is a common problem for sellers. People can buy from you using stolen credit cards, which is problematic. You can also face phishing scams or fake marketplaces that can compromise your personal information and balances. Buyers can also claim false chargebacks and potentially win their case, leaving you nothing.
- Limited Resale Value: It can be challenging to sell cards for their original price, as websites and buyers will try to lowball you, limiting your opportunities to turn worthwhile profits.
- Difficulty Finding Buyers: You may struggle with finding a buyer if you possess gift cards to niche restaurants or retailers. This is why major retailers are viable options—they offer wide selections of items to customers.
- Shipping Costs: You’ll need to ship sold physical gift cards. This can quickly ramp up your costs and lower your profit margins. Due to this, it’s best to opt for electronic gift cards.
- Competition: Gift card resale is a highly saturated market with many marketplaces and sellers offering competitive prices and services. You may have to compromise to stand out.
- Legal Issues: Legalities concerning the sale of gift cards can be complicated. We recommend you learn your state or country’s laws and regulations if you run a business that sells gift cards. This is to avoid potential legal issues, particularly money-laundering investigations.
What You’ll Need to Sell Gift Cards
You don’t need much to start selling gift cards for cash. You’ll only need the following:
- Loaded Gift Cards: Buy gift cards. You can exchange redeemable gift codes for cash on various websites. But if you have a swipeable card, you’ll have to sell it in its physical form. In this case, you’ll have to mail them to the buyer or a marketplace of your choice.
- A Device With Internet Access: You’ll need reliable Internet access to operate on digital marketplaces.
- A Gift Card Marketplace Account: You’ll need an account to do business on gift card sites or online marketplaces. Some websites require dedicated accounts. Others accept your Facebook account during sign-up. Note that some websites may have limited features depending on your location.
- A Payment Method: Most gift card exchange websites will pay you via check, direct deposit, or PayPal, but other websites can have different payment methods. So, prepare a PayPal account if you’re concerned about sharing your banking information.
Where to Sell Gift Cards
CardCash is one of the most convenient places to sell gift cards online. The website will offer up to 92% of your gift card’s balance once you input the retailer’s name and its amount.
What Makes This Option Great
You can also trade your gift card for another one. The website promises the best bang for your buck, but note that most of CardCash’s features are available only to US residents.
- Fees/Commission: 8% or more of card value
- Payment Methods: ACH deposit, PayPal, Mailed Check
2. Facebook Marketplace
For the Facebook Marketplace, you’ll need a Facebook account to access the marketplace in which you can make a listing for your gift card.
It’s best to take excellent pictures and provide a good product description. Also, give the card’s exact balance and ensure it’s unused.
Once someone buys your card, deliver it to them or arrange a local pickup.
What Makes This Option Great
It’s an excellent place to sell physical gift cards because it allows buyers to narrow their searches to items available for local pickup.
- Fees/Commission: n/a
- Payment Methods: As agreed upon with the buyer, usually cash on hand or deposit.
GiftCash is a gift card exchange service that accepts cards from over 150 brands. It’s available for US and Canadian residents.
To sell your card, create an account and input the brand name and the card’s balance. Your card must value at $25 or more, though.
The website will give you a quote before you choose to sell it.
You’ll need to provide your identification information before getting paid, though. This is to prevent money laundering.
What Makes This Option Great
The value you earn for your card depends on the brand and balance. During our testing, we found that brands like Starbucks have a 70% rate, but the website offers up to 92% of your card value.
- Fees/Commission: 8% or more of card value
- Payment Methods: Cryptocurrency, ACH deposit, Interac e-transfer.
How To Sell Gift Cards: Step-By-Step Instructions
These are everything you need to do to turn unused gift cards into cash for free spending:
Step 1: Familiarize Yourself With Gift Card Resale
It’s best to do research before delving into this side hustle.
If you plan on selling physical cards, figure out which retailers are available in your locale and learn about current market trends concerning the resale of gift cards.
Digital cards offer more selling opportunities, as you can exchange their codes for cash on many websites.
But understanding which cards sell the most can make or break your bank. So, we recommend opting for those for major retailers.
Step 2: Buy Gift Cards or Gift Card Codes
Buy loaded gift cards online or at retailers, and make sure you don’t use them.
Most retailers offer gift cards loaded upon check-out, but you can also buy them online. Some websites, such as Gift Card Granny, offer custom gift cards.
It’s best to buy cards when they’re discounted because you’ll rarely receive the value of your card, especially when selling online.
We recommend you stick to major retailers or platforms as they’re more in demand. Amazon is a safe bet, but popular cards include those from Sephora, Playstation, Steam, etc.
Step 3: Choose a Marketplace
There are many marketplaces where you can sell gift cards. Choosing one that’s reputable, has reasonable fees, and values security is best.
One way to learn which websites are suitable for selling cards is by reading their reviews. Trustpilot is a place to start.
We’ve provided you with three well-liked websites, but you can also sell your cards on eBay, GiftCardBin, and more.
Step 4: List Your Gift Card
Once you’ve found a marketplace that best meets your interests, list your gift card or sell it to them.
On eBay and Facebook Marketplace, you’ll need to take pictures of the gift card and relevant information with potential buyers. This includes the card’s balance, expiration date, condition, etc.
Ensure you demand a reasonable price—you’ll usually have to sell the card for less than its value, hence why you need to buy them during discounts.
On exchange websites, you’ll have to share some basic information about your card: its balance and brand. The website will then make you an offer.
Step 5: Ship or Hand Your Gift Card
You need to ship your card to the buyer or meet with them if you sell it in its physical form.
It’s best to prioritize your customer’s satisfaction. Ensure you ship it promptly and securely and use a reliable shipping service offering tracking numbers.
But be careful of meeting with strangers. For your safety, ensure you meet in a public space and avoid dealing with shady individuals.
Step 6: Receive Your Payment
If you sell your gift card in its physical form, you’ll receive payment before shipping it or upon meeting the buyer.
Digital websites, on the other hand, will make you an offer once you list your card.
If you’re okay with it, you can send them the code (or mail the card to them) and receive your money via PayPal, mailed check, or direct deposit.
Things to Consider When Selling Gift Cards
We’ve pointed out the main concerns that come with selling gift cards. But pay attention to these things too:
Although exchanging cards for cash digitally is convenient, you’ll typically receive less than you would if you sold cards in their physical form.
Terms and Conditions
Read the terms and conditions of the marketplace you’re using. Some retail locations require your ID to prevent fraud or don’t accept the resale of their cards.
Focus on selling gift cards to major retailers. People rarely care for niches. It’s best to invest your money in a safe place. Consider Amazon, Home Depot, Steam, Playstation, etc.
Be Wary of Scams
Pay attention to gift card scams. Many websites prey on beginners in this field, and your banking information or card balances can be easily compromised if you’re not careful!
A common trick is asking for codes to check card balances and sending fake e-mails that mimic those of a legitimate company.
Advertise yourself well. Take excellent pictures of your cards, jot down compelling descriptions, and provide competitive prices. The market is already saturated, so do your best to stand out.
Prioritize customer satisfaction. It’s best to use secure, fast, and reliable shipping services to ensure physical cards arrive promptly and in flawless condition.
Fees and Payment Methods
Choose the right marketplace. Fees and payment methods differ from one website to another.
Don’t use the cards you’ll sell! Many people complain about gift cards advertised as having a higher balance than they do on arrival. It’s frustrating, and it’ll undermine your trust as a seller.
Frequently Asked Questions
What Types of Gift Cards Can I Sell?
You can sell a variety of gift cards. The most common options are those of major retailers, restaurants, and online marketplaces.
How Much Can I Sell My Gift Cards For?
It depends on the card’s value and demand, but remember that you’ll rarely be able to sell a gift card for its value. So, ensure you buy discounted gift cards and research the market to assess the going rate.
Can I Sell My Digital Gift Cards?
Yes. Many online marketplaces exchange redeemable gift card codes for cash.
How Do I Receive Payment for My Gift Cards?
If you sell them digitally, expect to receive your payments via check, direct deposit, or PayPal. If you sell cards in their physical form, you’ll most likely receive a direct deposit or cash on hand.
How Do I Deliver Physical Gift Cards to The Buyer?
Use a reliable shipping method. Research your country’s shipping services and look for the fastest and most secure options. You can also arrange a local pickup or delivery if the buyer is nearby.
Similar Tutorials to Check Out
You’ll find our other guides interesting, such as:
- How to Sell on Etsy: Do you have a knack for crafting handmade items? We’ll tell you how to sell on Etsy and turn your hobby into a reliable income source.
- How to Sell on Walmart: Do you want to sell on the Walmart Marketing platform? This guide has all the answers.
- How to Sell on Amazon Without Inventory: Do you want to sell on Amazon but don’t have an existing inventory? Check out this comprehensive guide.
Selling gift cards is an excellent way to turn unused cards into cash to spend on preferred things.
For business owners, selling cards in bulk can be a way to capitalize on discounts and turn decent profits.
There are many card exchange websites online, but we recommend following the steps outlined in this guide to ensure the security of your personal information and prevent frustrations.
We care about your feedback. So, tell us what you think of our guide before you set out to launch a successful gift card-selling business!