The Division of Consumer Affairs is alerting New Jersey consumers that they have less than a week to use Payless ShoeSource gift cards and store credit as the retail chain begins shuttering its U.S. stores.
The Topeka, Kansas company announced mid-February that it would file for bankruptcy and close all stores in the U.S., Puerto Rico and Canada.
Customer gift cards and store credit will be valid until March 11, and liquidation sales are expected to continue through the end of May, according to a statement from the company.
“When stores declare bankruptcy, consumers must act quickly or risk losing the value in unused gift cards and store credit,” said Paul R. Rodriguez, Acting Director of the Division of Consumer Affairs. “We encourage New Jersey consumers to use any gift cards or store credit they may have at Payless ShoeSource before time runs out.”
Stores have already stopped accepting merchandise returns, customer coupons, and rewards.
Consumers who do not use their gift cards before the deadline may be able to file a claim with the bankruptcy estate for the value of the card, but it is difficult to know whether or how much they might recover from such a claim.
Consumers with questions can contact the Division of Consumer Affairs by calling 1-800-242-5846 or 973-504- 6200.