If you have a Toys R Us gift card, you might want to use it soon
CONCORD, Calif. - If you have a Toys R Us gift card, you might want to use it soon.
Time may be running out not only to spend that money but spend it on something you actually would want to buy. That’s because the closer a store gets to completely going out of business - the less inventory they have.
And unfortunately, most retail experts believe Toys R Us’ days are numbered.
The company filed for bankruptcy in September and it’s in the process of closing 170 stores nationwide. Now, there are reports that the company is in the process of drafting a liquidation plan.
That’s what companies do when they plan to sell off all of their assets and shut down completely.
That's why many bankruptcy experts are advising anyone with a Toys R Us gift card use that money now, before the cards become worthless and before the stores start selling off all of their inventory and there’s not much left on the shelves.
“From what I understand they're not able to get new merchandise,” said Kit Yarrow, a consumer psychologist, and professor emeritus at Golden Gate University. “It’s less and less appealing there's not going to be much do you want to buy. get my shopping done now.”
Bank experts are reminding people of what happened when borders books went out of business seven years ago. Customers had more than 17 million gift card to the store that they didn't use worth more than $210 million. Some customers filed a lawsuit to try and get some of that money back.
And a judge ruled against those customers and ruled that the unused gift card money would not be refunded.
Toys R Us still has about 800 stores nationwide including several in the Bay Area.
Toys R Us’ next bankruptcy hearing is Thursday.