Another "GC>GC still works in store" post.
I didn't have too much in Target GC on hand, but I was able to use a $100 Target GC to buy a $100 eBay GC in store at self-checkout this morning. (If I can't get the extra REDcard discount, I'm going to try put this money to work for a few more churns.) This was a pure GC>GC transaction; no add-on items. The self-checkout menu looked a little different than I remember, but when I clicked ready to pay, a Target GC icon popped up along with the other usual forms of payment. I clicked Target GC, scanned the barcode off my phone, and the payment applied no problems. (I have to wonder if you can't use Target GCs to pay for a purchase containing any GCs, why still have that option pop up at checkout?)
Sadly, I think this change to target .com is permanent. The REDcard+GC trick basically allowed shoppers to double dip discounts on GCs, which we've discussed and speculated have smaller margins than other products that Target sells. Target might've finally caught on or decided that this was losing them money. You couldn't double dip in stores -- it's either use your REDcard for a 5% discount or use a GC that you might've bought at a ~5-7% discount or gotten for free. It seems this is still the case in store. The change to target .com still doesn't align online policy with in-store policy, but it's closer and doesn't allow double dipping on GCs anymore. (I've yet to try the double dipping trick on a non-GC purchase since this change. I'm assuming it still works whether because there are better margins or less risk of fraud.)
If this change really is permanent, I wonder what will happen to the price of Target GCs on the resell market. I remember learning this trick last summer when discounts could still be had for ~7-8%+. Discounted Target GCs seem to have settled around 4.5-6.5% now that a lot more people know this trick (I've seen it discussed also on SD, FB, Reddit, blogs, etc.) As long as you can still use Target GCs to buy other GCs in store, any discount greater than 5% is still better than the REDcard discount. And if you can still double dip for non-GC online orders any discount even better. But at the high end of 6.5% off, it's just an extra $15 saved on $1000 (of course, not counting credit card points, cash back, gas bonuses, etc.).
Anyway. I agree with the sentiment that it's sad seeing all these options close up, really, in just the last 3 months or so.