PowerMan572

I have a website that I belong to that allows me to fund my account with credit card at flat rate (just above 2%). Cheaper than PayPal and most other sites that I can find.

Once I load the funds to my account, the money is available immediately for withdrawal. I can withdraw the money right back to my bank account absolutely free and they cap each withdrawal at $10k. So I can basically charge $10k. Withdraw the money. Rinse and repeat. Yes, this website does work. I've used it and tested it

2.xx% is still kind of a high fee. I'm trying to see how I can make this work. All 2% cash back cards and double mile cards are out of the picture since I'd lose money each transaction.

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Example:
I see that most people value Membership Rewards around 1.7 cents a point. I actually value MR a lot and they're my favorite points program. Let's say I use my Everyday Preferred card to swipe 30 transactions a month. I would essentially earn 1.5 MR points for all transactions that I process on this website I belong to.

At 1.5 points x 1.7 cents = 2.55. With a 2.3% transaction fee, I come out slightly ahead. (I think my math is correct Going on 2 years in this game and figuring out points and value.)
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This is just an example above. Please, I don't need warnings on Amex and that I will get FR'd. I know the risks and I'm not saying I'm actually going to do it with this card.

This website will be great for meeting minimum spending requirements from the comfort of my own home, with a little bit higher fees. I've been a member of this site for years, but I haven't had to use it thanks to Vanilla Reloads and BlueBird the last couple of years.

I would just like to know if any of you can think of other cards I could do this with where I break-even or come out slightly ahead.

Thanks all!

AlohaDaveKennedy

Thinking categorically not possible. Higher point/dollar multiples are for spending in particular categories which your website is likely not in. But back in the day the AARP 5% gig might have worked. Still you can keep looking as MS opportunities change all the time

shitrus

BBVA Compass NBA card during all star weekend and finals gets you 5% CB...

NRTBound2015

Depending on how you value different points, you might be able to come out slightly ahead w/ the Everyday Preferred or SPG card, but it seems pretty marginal. I certainly wouldn't want to build up large speculative balances without a plan to use them.

The best value would seem to come from sign up bonuses, retention offers (spend $X and receive Y points), or cards that give you a bonus for hitting a spending threshold that you might not otherwise meet (think something like elite status/Elite Qualifying miles on the United/Delta/AA cards, Hilton Diamond, or the free nights offered by the Hilton or Club Carlson cards).

isriam

i'd pay 2.3% to not have to deal with MS sometimes...

inY

Do they take Discover? 3% for first year.

Phantom707

Check if it codes as any particular category with which you can get a bonus.

PowerMan572

Category: Merchandise & Supplies - Internet Purchase

Doesn't look like a bonus category. None that I can think of.

Nope. Only Visa, MasterCard and Amex. Plus, I don't use Discover They're too ghetto to make room for them in my wallet. Plus after this past December and reading about the 10% - 20% fiasco, I don't want to associate myself with a company like that. They screwed a lot of people over.

Phantom707

Potentially the AT&T Access More card. I wouldn't take a hard pull just for that opportunity, but it's something to consider if you are already interested in the card. Otherwise, maybe a category on the Amex business gold.

Also, I have no idea what you mean by ghetto as it applies to Discover. I can understand not wanting to support such bad business practices, but what do you mean by ghetto?

PowerMan572

I'm just being goofy

I guess I don't really know what I meant? I guess if I had to think hard about it, I mean that Discover just kind of seems like the step child that nobody wants. People don't take Discover (I don't have the stats but isn't it the least accepted card?) Outside the US it's not even a known credit card, etc. I feel like Discover has this stigma that it's a "less desirable" card and it's for poor people with less than desirable credit. Example: Kind of like how Amex has that myth that follows it around that Amex is only for rich people, etc.


Yeah, I'm not going to take a hard pull for that card. Thanks for the info though!

shitrus

Discover owns the network that most Chinese credit cards run on, so I would assume, based on population alone, that a lot of people (globally) take Discover.

Lets be honest here, we are all in this for the money, or the perks associated with the cards, not the aura the cards themselves present.

I made $1100 off Discover in Q4 of last year (for the Apple Pay bonus), and will get that much again at my anniversary date. That, combined with other MS due to their DiscoverDeals portal (which is fantastic), I am approaching a total cashback bonus balance of almost $10,000.

Call me ghetto all day, but I'll be ghetto with an extra 10k in my wallet.

PowerMan572

Again, I was just being goofy. Maybe one day I'll eventually sign-up for Discover. This is getting off topic though.

hateeecs

Thank you for this! One of my prop. tax bills are due during this time.

billatq

Do you have a source for that? Discover has a deal with China UnionPay to have their cards accepted there, but I'm fairly sure that the UnionPay network is owned by Chinese banks.

Phantom707

I know we're off topic, but this is the Internet.

Your statement is incorrect. UnionPay (the interbank network you're referring to that operates in China) is partnered with Discover, but it's not owned by the latter. They are still separate companies.

I'm fact, it's actually possible for some UnionPay credit cards to be affiliated with Visa, Mastercard, or American Express. All of their debut cards, however, operate on their own network (and are therefore also usable where Discover cards are accepted).