FlyerTalk Forums - View Single Post - Prepaid REDcard (Target) 2015-2016
View Single Post
Old May 9, 2015, 6:36 pm
  #7041  
kmwrestle
 
Join Date: Mar 2015
Posts: 54
Went to target today and was able to load some money with a debit card. I was talking to the guy loading it(he's assisted me several times in the past and knows me). I made a comment about target stopping the credit card loads. He told me that the credit card companies put pressure on target to stop accepting credit cards for loads because of the points and also it made them appear to have better credit worthiness because of the amount of spend and payments. He told me about how people used to come in, load the redcard with a credit card, and then pay off the credit card with the redcard right in front of him. He told me how they got all these miles and points to use for hotels and airfare because of it. I was right their with him in disbelief that people would actually do that. Then we left off with agreeing how we "wish we thought of it"


I guess I never thought of that point before though. The real risk of MS to the cc companies isn't in the points, but That it circumvents every risk model that they have. When I first got my PRGC my spending limit was approx 2500. I have had it for about 6 months now and I just checked my spending ability and a "40,000 charge would be approved." I Do ok for myself and have a 6 figure income (so I passed the FR review I quickly got) but If I swiped my car for a 40,000 car tomorrow, good luck getting me to pay that back next month. But amex sees me as someone who regularly spends 10-15k per month and PIF every month. 40k isn't that crazy to pay off for someone who does that. But that's not my normal spending and theirfore they give me a longer leash than I probably should deserve
kmwrestle is offline