A 2023 Credit score Summit ballot found that 60% of People have not less than one unredeemed reward card. In keeping with the same survey by Bankrate, the typical worth of unused reward playing cards per particular person is $187.
It appears some who obtain reward playing cards aren’t truly utilizing them.
Reward playing cards are fashionable items. 83% of the Credit score Summit respondents give reward playing cards for particular events. The Nationwide Retail Federation (NRF) reviews an estimated 44% of customers gave not less than one reward card in the course of the 2023 vacation season, and almost one-fifth of all Valentine’s presents have been reward playing cards or certificates.
Opposite to what some would possibly assume, retailers need clients to spend the reward playing cards, and for good motive. Analysis from Blackhawk Community reveals that 61% of customers who use reward playing cards spend greater than the saved worth.
Generally, that’s as a result of the reward card quantity isn’t sufficient to cowl a purchase order on the location.
Jen from Expasti obtained a $25 reward card to Fleming’s Steakhouse. She shares, “I used to be so grateful for the thought, however after all, $25 would possibly cowl one appetizer at Fleming’s.” Fortunately, her story ends on a constructive word. After telling a buddy that she was saving up to make use of the reward card, that buddy purchased her one other card to Fleming’s to assist cowl the price of her dinner.
Causes for Unused Reward Playing cards
The Credit score Summit survey reviews solely 19% of People spend reward playing cards as shortly as potential. One other 11% maintain on to reward playing cards once they do not repeatedly store at that individual retailer.
The highest three causes given for holding onto a present card:
- Ready for an important day (36%)
- Ready till they want one thing particular from the retailer (23%)
- It’s from a spot the place they don’t normally store (11%)
One other challenge folks can have is discovering time to make use of them. Margarita Ibbott, a contract journey author at DownshiftingPRO, shares, “My husband gave my daughters and me a present card to an area spa. It was for $100 every, so it was no small quantity for the three of us. That was not less than two Christmases in the past; we nonetheless have not gone. He has reminded us not less than a couple of instances already, however dwelling in several cities, we can not appear to coordinate a day to go get our nails performed!”
Paul Rose Jr., a author from Wealth of Geeks, divulges one other view on reward playing cards. “I lived in my automobile for a couple of years, so often, I’ll catch myself worrying about ending up in that scenario once more. I have a tendency to carry onto reward playing cards. For me, they’re unspent money I can draw on when my funds are hurting. Apart from, fuel at Arco is $4.18, whereas Shell is $4.89, so I will not use the $50 reward card as a result of it appears much less environment friendly than spending $50 on the different station.”
Apart from receiving reward playing cards as a present, folks additionally earn reward playing cards by way of reward applications. or by taking part in video games or apps for cash that pay out in reward playing cards as a substitute of money.
What To Do With Undesirable Reward Playing cards
There are a number of methods to ditch reward playing cards when you’re not wanting to make use of them.
Individuals can promote reward playing cards on websites like eBay and CardCash. Sellers normally obtain lower than the face worth of the reward card. Relying on the positioning, customers could also be required to mail the playing cards to a location.
An alternative choice is to regift reward playing cards. When regifting, be considerate and provides the reward card to somebody seemingly to make use of it. In any other case, they could say thanks for the reward card whereas resenting that they’re caught with it.
Some organizations will settle for reward playing cards as donations. Reward playing cards donated to GiftCards4Change are 100% tax deductible, and they’re going to present a receipt. Or folks can examine domestically for shelters or nonprofits that present providers to these in want of their group.
Giving Money vs Reward Playing cards
Money might really feel like an impersonal reward. Nevertheless, some folks want money over reward playing cards.
Statista reported that 44% of individuals wished cash as their most desired Christmas reward in 2023, with reward playing cards in second place at 38%.
Not like money, some reward playing cards have an expiration date. Additionally, the placement for the reward card may shut earlier than the particular person makes use of it.
Anna Chesley, from New England Household Life, obtained a present card from her grandma to an area restaurant. Sadly, the place closed earlier than she may redeem it.
Reward givers can ask the meant recipient or somebody near them to study their reward preferences. If reward playing cards are most well-liked, ask for a couple of advised places to cut back the possibility of an undesirable reward card. And those that favor money will be glad about the cash.
This text was produced by Media Choice and syndicated by Wealth of Geeks.