Beware of Using Gift Cards This Year for Presents

Across the country the effects of a sagging economy are hitting everyone, from the lower class straight through the middle class and into the upper classes which have been losing millions in the stock market. Not one person has gone unaffected by this 'recession' and thousands of US citizens are losing homes due to foreclosure while employers are forced into laying off workers or closing their businesses.

With Christmas and the holiday season upon us, most of the middle class knows it will be a "tight' gift giving season this year. With that in mind, it would be a shame to have your money slip right out of your hands with poor planning.

Unfortunately, those who like to give gift cards need to be especially aware of store closings and the dates when they will be shutting their doors. If you are thinking of giving a gift card, be forewarned. Stores that are planning to close after Christmas are still selling the cards through the Holidays even though they will be worthless after January 1. There is no law preventing them from doing this. On the contrary, it is referred to as 'Bankruptcy Planning.' So as a consumer, you need to be aware of which stores will be closing and when they will shut their doors for good. Then you can either purchase an actual gift from the store or choose a major department store that is not on the list.

The holidays are the time of the year when we can all share the joy of the season, but let's be knowledgeable when it comes to shopping and spending money. This is a heads up for all gift-givers. Below is a partial list of stores that have already made public announcements that you will need to be cautious about purchasing gift cards from. If you're still unsure about a store, do some research online to see if stores will indeed be open in the future.

Circuit City, (filed Chapter 11)
Ann Taylor, 117 stores nationwide closing
Lane Bryant, Fashion Bug, and Catherine 's to close 150 stores nationwide
Eddie Bauer, to close stores 27 stores or more after January
Cache, will close all stores
Talbots, closing down specialty stores
J. Jill, closing all stores (owned by Talbots)
Pacific Sunwear, (also owned by Talbots)
GAP, closing 85 stores
Footlocker, closing 140 stores with more to close after January
Wickes Furniture, closing down
Levitz, closing down remaining stores
Bombay, closing remaining stores
Zales ,closing down 82 stores and 105 after January
Whitehall, closing all stores
Piercing Pagoda, closing all stores
Disney, closing 98 stores and will close more after January.
Home Depot, closing 15 stores
Macys, to close 9 stores after January
Linens and Things, closing all stores
Movie Galley, Closing all stores
Pep Boys, Closing 33 stores
Sprint/Nextel, closing 133 stores
JC Penney, closing a number of stores after January
Ethan Allen, closing down 12 stores.
Wilson Leather, closing down all stores
Sharper Image, closing down all stores
K B Toys, closing 356 stores
Loews, to close some stores
Dillard's, to close some stores