I have been busy recently making some Upcycled Scarf Bags. I use second hand scarves that I buy from thrift stores/charity shops. I make these scarves into tote style bags and add a lining with a pocket using upycled fabric too. I am making these to sell on my craft stall or on my Etsy page.
I have posted a while bag showing the original tutorial on how the standard bag is made from a scarf. Here is the link: http://www.karimascrafts.com/2013/07/scarf-surprises-30-days-of-ramadan.html
Photo above shows some of the tote bags on my craft stall.