In Mexico it's a common expression for clothes, specially when they're worn out, they're inappropriate or ugly, or their quality is not good.
·Me compré unas garritas nuevas. -> I bought myself new (cheap) clothes.
·¿Vas a salir con esas garras? -> Are you going out with those awful clothes on?
·Esa camisa ya está hecha una garra. -> That shirt is so worn out.
·María vino a la fiesta con una garra de vestido, estaba horrible. -> María came to the party dressed in such an ugly dress, it was horrible.
I agree on the use of "hacer garras algo / a alguien"
