Do Going-out-of-Business Sales Really Save You Money?

There is no doubt that this troubled economy has forced large and small retailers into closing their doors. In an effort to get rid of the merchandise on store shelves, many of these businesses resort to liquidation sales. The more they sell, the less of a loss they walk away with, but what does it mean for consumers buying the merchandise?

Comparison shop
Consumers may think that a liquidation sale means rock bottom prices for them to buy the merchandise they want. In reality though, just because a business is having a liquidation sale does not guarantee its sale price is the lowest. Compare the price of the item at the liquidation sale to at least two other retailers before making a purchase. Comparison shopping is just as important when dealing with liquidation sales as it is with any other major purchase you make.

No guaranteeIt's also important to remember that when you buy an item at a liquidation sale, the store isn't going to be there to stand behind the sale tomorrow. Most liquidation sales are final so if you take your item home and it breaks two days later, you can't exchange it for a new one or get a refund from the store. You'll probably have some protection from the manufacturer's warranty but not from the store itself.

Can going-out-of-business sales save you money? Yes and no. You should comparison shop before making any purchases, including liquidation sale purchases. Plus the safety and security of the retailer standing behind their sale is gone, so you may save a few bucks upfront that turns into a headache if you have to deal with the manufacturer directly if an item breaks, etc., after you've purchase it.