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Force prepayment at hotel to meet card spend requirement?

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Old Jul 18, 2013, 3:56 pm
  #1  
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Force prepayment at hotel to meet card spend requirement?

This isn't exactly manufactured spend, but more manufactured timing, I guess. And I couldn't find anything in a search or think of a better forum to pose the question. Here's the deal:

Anyway, I'm nearing the required spend for this offer (http://www.flyertalk.com/forum/delta...000-miles.html), and if met the bonus miles will bump me up to GM on DL.

I have a 2.5 week trip coming up, and the hotel spend, even without incidentals, will meet the threshold. I would love to do this, get the bonus miles, and enjoy GM on my way home.

2.5 weeks seems to be just a long enough window to have the transaction post (2-3 days), bonus miles post (~5 days as reported in the DL thread), and DL status to update (2-3 days or over a weekend IME). Of course, this means that the hotel would need to process the charge at the beginning of the trip, rather than just place the hold and charge at checkout as usual.

So here's the question - has anyone had experience getting a hotel to charge your full room+tax up front, even on a flexible/postpay rate (which my employer requires)? And then just run a second transaction at checkout for the incidentals?

If it matters, I'm staying at a Sheraton. Something tells me that the rate may not allow them to bill everything out until the entire stay is over, but if this is possible I figured it's worth a shot.

I suppose my other option is just to buy $2k worth of something refundable to make the spend, and then cancel/return it after the postpaid hotel charge posts. But that seems like a hassle...
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Old Jul 18, 2013, 4:04 pm
  #2  
 
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Originally Posted by gooselee
I suppose my other option is just to buy $2k worth of something refundable to make the spend, and then cancel/return it after the postpaid hotel charge posts. But that seems like a hassle...
I'd buy a fully refundable first class ticket long in the future and be done with it. Canceling is only a few clicks or a phone call away.
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Old Jul 18, 2013, 4:20 pm
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Originally Posted by lad2
I'd buy a fully refundable first class ticket long in the future and be done with it. Canceling is only a few clicks or a phone call away.
The same can be done with hotels-dot-com - shall be fully refundable rate, be charged immediately. No problem with refund later, couple of days to be back to source of payment.
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Old Jul 18, 2013, 4:30 pm
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I do this on occasion for a variety of reasons. Call the hotel, they will have on hand what is called a credit card authorization form. Usually, this is done by fax.

They will be more than happy to take your money up front. Just state that you need to charge it in the next few days. You should have zero problems.
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Old Jul 18, 2013, 4:37 pm
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Originally Posted by gooselee
I suppose my other option is just to buy $2k worth of something refundable to make the spend, and then cancel/return it after the postpaid hotel charge posts. But that seems like a hassle...
Is this really the only other option that can be considered on "Manufactured Spending" forum???

Going back to the original question - some hotels (BestWestern?, DaysInn?) actually give 10-15% discount if you pay in advance.
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Old Jul 18, 2013, 6:45 pm
  #6  
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Originally Posted by LoveMountains
Is this really the only other option that can be considered on "Manufactured Spending" forum???

Going back to the original question - some hotels (BestWestern?, DaysInn?) actually give 10-15% discount if you pay in advance.
Be careful, Ive done prepaid hotels which meant I wasn't able to CX it, but my CC wasn't charged till I checked in
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Old Jul 18, 2013, 11:56 pm
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Mine didn't post until after the statement had closed, although that was 5-6 days after I finished the 5k. I'd make sure it's all finished before the statement closes to guarantee the miles posting.
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Old Jul 20, 2013, 8:21 am
  #8  
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Thanks all. The stay is in a couple days but is for two weeks, so I'm fine with a charge at check in. And I believe the reports in the DL forum for this specific bonus are that it is posting when charges post rather than at the close of the bulling cycle.

I'll probably just go the refundable F route and not mess with the hotel. It seems the most straightforward. Also slightly concerned that the hotel will get confused and charge the folio again at checkout.
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Old Jul 20, 2013, 10:19 am
  #9  
 
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If you book with third-party sites like Hotels.com, you can prepay the stay with them.

I'd shy away from purposely booking expensive plain tickets and getting a refund for quick manufactured spend. There are plenty of other (free or nearly free) ways of meeting spend requirements that do not tick off banks nearly as much as buying a refundable ticket.
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Old Jul 20, 2013, 7:29 pm
  #10  
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Originally Posted by augustus21
If you book with third-party sites like Hotels.com, you can prepay the stay with them.

I'd shy away from purposely booking expensive plain tickets and getting a refund for quick manufactured spend. There are plenty of other (free or nearly free) ways of meeting spend requirements that do not tick off banks nearly as much as buying a refundable ticket.
I must book postpay rates per employer policy.

Why would purchasing refundable plane tickets make a bank angry? It is a valid product offered by an airline with a particular purpose. I have purchased these in the past when I was unsure about a trip. Sometimes the ticket gets used, sometimes it gets cancelled for a refund. I don't see why Amex or a bank would have any opinion on this, particularly given the level of other purchasing I do with them.
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Old Jul 21, 2013, 10:33 am
  #11  
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Originally Posted by gooselee
Why would purchasing refundable plane tickets make a bank angry?
It's not the purchase itself that makes the bank angry, it's purchasing which fulfills the spend requirement and then the cancelling and refunding of that later, therefore retroactively not fulfilling the spend requirement!

Some banks will go so far as to "claw back" the bonus miles they gave to the airline in such cases. But I don't know whether Amex does that.

Many people recommend that if you have to do that, charge (after the bonus posts) enough new charges to offset the refund you're going to get by cancelling the refundable plane ticket (so the bank never has to refund you any money, you just get a credit against further charges on an upcoming statement). It then doesn't seem like you were trying to trick the bank into giving you the bonus (the way it would if you later cancel and never "make it up").

But if all you do is sign up for a card, buy a refundable ticket, get the bonus because of that, cancel the ticket, have the ticket charge refunded, and end getting the bonus with net $0 spend (when there was a $2000 or whatever spend requirement), and never use the card again, you don't think the bank will be angry???
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Old Jul 21, 2013, 10:48 am
  #12  
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Originally Posted by sdsearch
It's not the purchase itself that makes the bank angry, it's purchasing which fulfills the spend requirement and then the cancelling and refunding of that later, therefore retroactively not fulfilling the spend requirement!

Some banks will go so far as to "claw back" the bonus miles they gave to the airline in such cases. But I don't know whether Amex does that.

Many people recommend that if you have to do that, charge (after the bonus posts) enough new charges to offset the refund you're going to get by cancelling the refundable plane ticket (so the bank never has to refund you any money, you just get a credit against further charges on an upcoming statement). It then doesn't seem like you were trying to trick the bank into giving you the bonus (the way it would if you later cancel and never "make it up").

But if all you do is sign up for a card, buy a refundable ticket, get the bonus because of that, cancel the ticket, have the ticket charge refunded, and end getting the bonus with net $0 spend (when there was a $2000 or whatever spend requirement), and never use the card again, you don't think the bank will be angry???
Please re-read my OP, particularly the very last paragraph. And also the last few words in post #10, where I indicate my intent to continue spending with Amex/this card well after the fact.
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