If you never sell stuffs online, the strategy described on the previous post might be a little overwhelming. If there is a way to turn an AmEx gift card into cash easily, you will earn the reward over and over. Of course, there is no such a perfect method. However, there is a way to do so with a little work and some conditions.
Sell AmEx Gift Card on eBay
The fastest way to turn AmEx gift cards into cash is to sell them on eBay. Look at the picture. It shows how much fee eBay and PayPal charge you. To get $500 by selling $500 AmEx gift card, you have to sell a gift card at the price of $574.40 (plus shipping cost). Obviously, it is a bad deal for eBay buyers. I guess nobody buys it. But what if you sell five $100 gift cards? For $100 gift card, you need to sell it for $115.15. On eBay, some gift cards are very popular. For whatever reasons, some people pay more than face values for those gift cards. Please remember about $3.95 purchase fee on each card when you buy AmEx gift cards, and $115.15 doesn’t include it. American Express offer free-purchase-fee promotion very often. You can take advantage of the promotion when you sell AmEx gift cards on eBay.
eBay’s Policy of Selling Gift Cards
However, actually I have never tried to sell any AmEx gift cards on eBay because of eBay’s gift cards policy. According to the policy, you cannot sell Visa, MasterCard, Discover, or American Express Prepaid cards regardless of the amount on the card. You cannot even sell used (no-value $0) prepaid cards as collectibles if an expiration date on the card is within 10 years. Despite the policy, so many cards are sold on eBay. You rarely see active listings of Visa, MarsterCard, Discover, and AmEx because they are sold quickly. If you click “complete listings” or “sold listings”, you will see a lot. It seems easy to sell $100 AmEx gift card for $115.15, but what if buyers report a charge-back? The items are prohibited by the policy, so I don’t think eBay’s seller protection covers these transactions. I sent a question about it to eBay by email, and I’m waiting for an answer. Until my question is clear, I don’t want to risk losing money by selling AmEx gift cards on eBay.
Buy Visa Gift Card
The reason of converting AmEx GCs into Visa GCs is that Visa GCs are much closer to “Cash form” than AmEx GCs. Unlike AmEx GCs, Visa GCs have some features of Debit Card. Depending on stores,
you can get cash back at registers. And more conveniently, you can load BlueBird or Serve with Visa GCs, and then pay bills, withdraw cash at ATM, or transfer to your bank account.
Now, the cycle is completed. You can buy another AmEx GC. There is one problem, though. That’s Visa GCs charge a purchase fee. Purchase fees vary depending on types and denomination of Visa GCs. You should choose a GC with low percentage fee.
Ways to avoid the purchase fee
There are ways to avoid the purchase fee of Visa GCs. Exactly speaking, you can never avoid a purchase fee, however, by using the following store’s gift cards, a purchase fee are offset. Here are what I have found so far.
- Buy 6% or more discounted Target GCs, and then buy $100 Target Visa GCs with Target GCs
- Buy 3.5% or more discounted Staples GCs, and then buy $200 Visa GCs with Staples GCs
Target.com and Staples.com allow to purchase gift cards with their own gift cards. If you can get these store’s GCs with equal to or more discount than a purchase fee of Visa GCs, you may as well avoid a purchase fee. It is kind of hard to find 6%-discounted Target GCs, but you can always find 3.5%-discounted Staples GCs at Gift Card Granny. This step may take extra time (a week or so for store’s GCs to be delivered). Instead, you don’t lose money in transactions of purchasing Visa GCs.
That’s all I can come up with so far. To earn a lot of rewards, you have to spend a lot of money. American Express Gift Card is the perfect choice. Use AmEx GC for everyday’s spending unless your credit card has a better reward, such as Blue Cash Preferred 6% Cash Back at grocery stores and Chase ink 5% Cash Back (5X) at office supply stores. And you can buy Visa GCs to boost up the speed of the cycle. The reward shows up and is available for you to use approximately 30 days later. By keep doing this strategy, you get a steady flow of gas reward.
You can join in Fuel Rewards Network online. FRN card will arrive 7 to 10 business days. You need FRN card to redeem the reward, but you don’t need it to earn reward. Start earning today! Click here to sign up (it’s free!)