What will happen to Toys “R” Us gift cards after the stores close?
We are saddened and shocked by the news that Toys “R” Us has decided to close the majority of its stores in the U.S. Where the heck are we supposed to buy our Barbies, Legos, and squirt-guns from now on? To be fair, we’re not entirely shocked. The store has been struggling for some time now. Suffering finances and not being able to compete with online retailers like Amazon finally resulted in the toy chain’s demise. But what happens to the Toys “R” Us gift cards that are still circulating throughout kid communities?
According to The Washington Post, Toys “R” Us will still honor gift cards, Rewards dollars, and Endless Earnings for the next 30 days.
Josh Friedman, a legal analyst at Debtwire, told the Post,"Gift cards are always a hot-button issue. Generally speaking, I would just try to use them as quickly as possible. Gift cards aren’t going to last forever — and neither is Toys "R" Us." Boo! But, true.
Since filing for bankruptcy, Toys “R” Us and sister-store Babies “R” Us have continued to accept gift cards at U.S. locations. Bankrupt stores aren’t legally obligated to do so, so we should count our plastic and plush blessings.
Although gift cards are in the clear, the Post noted that the company has yet to provide clarity as to what will happen with layaway and registry items.
USA Today reported that Toys "R" Us decided the best way to "maximize their recoveries" is to "liquidate the existing inventory in all...735 remaining U.S. stores and begin an orderly wind-down of the U.S. operations," according to their bankruptcy filing.
This means you can expect to see sales on top of sales at Toys “R” Us and Babies “R” Us stores in the next couple of weeks.
If you still have a Toys “R” Us gift card floating around in your wallet, get to your nearest store, and fast. Breathe in the last of the nostalgia before we bury our old friend for good next to its pal, Blockbuster. Wah!