Originally Posted by
ddallas
Yes, gift cards are considered cash equivalents, and AMEX has had that wording in the fine print for a while. They could probably claw back the last several years rewards if they could tell what you were buying and if they felt like pursuing it. As it is now they don't know what you are buying and they have not been pursuing clawing back. They have handled it by putting a cap on the rewards your can earn.
Thanks for the insight. But the "cash equivalents" clause in T&C is new -- supposed to take effect May 1. I'm not worried about years back but going forward.
Does Amex know what you are buying? No one is sure. For example, Discover knows your "cash back" and doesn't give rebate on it. Has Amex required grocery stores to break down the "cash equivalents"? I hope not.