We saw warning signs a Borders bankruptcy filing was imminent and according to the Wall Street Journal's Mike Spector, the filing may happen as early as Monday night. Similar to Blockbuster Video, Borders will file for Chapter 11 bankruptcy in an effort to turn the sinking ship around.
We've listed Borders on our gift cards to avoid list for quite some time now. In all likelihood, troubled bookseller will continue to accept (and sell) gift cards. Border's gift cards will also remain on our list of gift cards to avoid.
If you own a Borders Gift Card, use it today. Remember: gift card holders of defunct companies stand very little chance of seeing any money from the bankruptcy proceedings, should the company stop accepting gift cards. Basically, you'll be just another creditor in line and most likely left with a worthless piece of plastic.
200+ Locations Expected To Close
In nearly every bankruptcy case we've written about on the ScripSmart Blog, the company filing for bankruptcy protection has closed a large percentage of it's locations; Borders will be no exception. According to the Wall Street Journal's report, 200 of the 674 locations will close with another 50 closing down the road. We won't be surprised if it's upwards of 300 locations closing in the near future. Thankfully, the borders gift card is also accepted online at borders.com. So, if the location near you closes up shop, hope online and redeem your gift card. If your reading this and it's after store hours, hop online and redeem your gift card. Bottom line, just redeem your Border Gift Card now.
ScripSmart Accounts Can Help You Avoid Getting Stuck With A Worthless Gift Card
Keeping tabs on the gift cards you own and the financial condition for each company is a pain. That's why we offer a free account system for consumers. It's easy and designed to help you get the most out of your gift cards. One of the features is a bankruptcy alert system. In short, when we catch word of a gift card in trouble and you've registered ownership in your ScripSmart accounts, we'll send you a note via email giving you a heads up. It's an easy way to add a bit of extra protection for your gift cards.
ScripSmart Accounts are easy, free and designed to make you life just a little bit easier. Sign up here.