Nov 10, 2013, 11:26 am
Last edit by: mcdullhk88
Dead as of 10/13/14
FAQ's
Is Amazon Payments treated as a cash advance? No CC issuer has been reported as treating an AP transaction as a cash advance unless the sender selected "Payment is for Cash Advance" on the Send Money screen.
What does it mean when your payment is "pending"? Your payment will be reviewed. We are unsure whether this review is done by a human or computer. It should take less than 24 hours but is usually within minutes.
How should you describe your payment? "Goods or services" will allow you to charge with a CC and it will not be treated as a cash advance. Note: If you choose cash advance, it may be treated as such by your CC issuer; always choose Goods/Services. There is no reason to put anything in the optional description field - leave it blank.
What is the monthly limit for sending CC payments? $1,000 per calendar month per AP account
What is the monthly limit for receiving CC payments? $1,000 per calendar month per AP account
What if it is not allowing me to send/receive more than $500 or any at all? You probably have not verified your bank and/or added a CC. In order to get the full $1,000 allowance for sending and receiving you must have a bank verified AND a CC added to your account as a payment method.
Does AP qualify for special spending categories? Specifically it qualifies for Discover's (usually 4th quarter) category of online purchases but so far, not Chase's "5% CB on Amazon.com purchases." Refer to thread for other options.
Can you get shutdown? Yes.
How do you get shutdown? No one knows. Anecdotes are found throughout the thread. Some suspicious behavior that MIGHT get your AP account(s) shut down is listed below.
Which transaction is most advisable? A -> B -> C -> A (see here)
Are any fees charged during this process? No, not by Amazon Payments. If your transaction is treated as a cash advance by your card issuer--fees are possible. Beware and always double check that goods/services is selected!
Can you liquidate Amazon GC via AP? NO!
Can you liquidate other gift cards via AP? Yes. Note that you cannot liquidate the full value of a GC because amazon places a $1 hold while it verifies the validity of the GC. You can sometimes (not always) avoid the hold by entering an incorrect expiration date for the GC when adding it to your AP account, and after you have added it, go to "Edit my account settings," then to "Add edit or delete my credit cards" and edit the expiration date there.
When does the month end? It appears as if Amazon is on pacific time, so midnight PDT/PST is when the month resets.
It bears repeating that no one knows the methodology amazon uses to police AP transactions, determines which transactions violate its T&Cs, or identifies violators. However, various people in this thread and elsewhere have confirmed that their AP account(s) were shut down for the following reasons:
Additionally, we have updated the terms and conditions of our User Agreement (https://payments.amazon.com/help/Personal-Accounts/User-Agreement-Policies/User-Agreement) that apply to your use of the products and services provided by Amazon Payments. Our updated User Agreement revises certain terms (including, among other things, the elimination of person-to-person payments). Our new User Agreement will become effective on October 13, 2014, which is more than 30 days from when we first posted our updated User Agreement. By continuing to use our services after October 13, 2014, you are agreeing to be bound by the terms and conditions of our new User Agreement.
Is Amazon Payments treated as a cash advance? No CC issuer has been reported as treating an AP transaction as a cash advance unless the sender selected "Payment is for Cash Advance" on the Send Money screen.
What does it mean when your payment is "pending"? Your payment will be reviewed. We are unsure whether this review is done by a human or computer. It should take less than 24 hours but is usually within minutes.
How should you describe your payment? "Goods or services" will allow you to charge with a CC and it will not be treated as a cash advance. Note: If you choose cash advance, it may be treated as such by your CC issuer; always choose Goods/Services. There is no reason to put anything in the optional description field - leave it blank.
What is the monthly limit for sending CC payments? $1,000 per calendar month per AP account
What is the monthly limit for receiving CC payments? $1,000 per calendar month per AP account
What if it is not allowing me to send/receive more than $500 or any at all? You probably have not verified your bank and/or added a CC. In order to get the full $1,000 allowance for sending and receiving you must have a bank verified AND a CC added to your account as a payment method.
Does AP qualify for special spending categories? Specifically it qualifies for Discover's (usually 4th quarter) category of online purchases but so far, not Chase's "5% CB on Amazon.com purchases." Refer to thread for other options.
Can you get shutdown? Yes.
How do you get shutdown? No one knows. Anecdotes are found throughout the thread. Some suspicious behavior that MIGHT get your AP account(s) shut down is listed below.
Which transaction is most advisable? A -> B -> C -> A (see here)
Are any fees charged during this process? No, not by Amazon Payments. If your transaction is treated as a cash advance by your card issuer--fees are possible. Beware and always double check that goods/services is selected!
Can you liquidate Amazon GC via AP? NO!
Can you liquidate other gift cards via AP? Yes. Note that you cannot liquidate the full value of a GC because amazon places a $1 hold while it verifies the validity of the GC. You can sometimes (not always) avoid the hold by entering an incorrect expiration date for the GC when adding it to your AP account, and after you have added it, go to "Edit my account settings," then to "Add edit or delete my credit cards" and edit the expiration date there.
When does the month end? It appears as if Amazon is on pacific time, so midnight PDT/PST is when the month resets.
It bears repeating that no one knows the methodology amazon uses to police AP transactions, determines which transactions violate its T&Cs, or identifies violators. However, various people in this thread and elsewhere have confirmed that their AP account(s) were shut down for the following reasons:
- Associating one credit card number with more than one AP account (Be Careful if authorized user card has the same number as the primary card holder - in some instances the CC numbers are completely different)
- Associating one bank account with more than one AP account
Amazon Payments
Dec 15, 2013 | 6:46 am
#3091
Join Date: Jan 2009
Location: Texas
Programs: AA, USAir
Posts: 228
I've been doing A>B, B>A for a long time now with no issues (B is my spouse, so same home address, same last name, but always separate credit cards and bank accounts).
I recently added an A2>B2, B2>A2 (again, separate ccs and bank accounts). No issues yet. In a month I'll push it further and go for A3/B3.
I recently added an A2>B2, B2>A2 (again, separate ccs and bank accounts). No issues yet. In a month I'll push it further and go for A3/B3.
If Besos' tribe decides to shut down one of your cells (the latter one), it would appear that your original cell would remain intact, compared to my case where I complete the loop, and risk all accounts to be shut down together.
Dec 15, 2013 | 2:14 pm
#3092
Join Date: Sep 2013
Posts: 829
Although I have been good with A1>B1>A2>B2>A1, I think your setup may have merit - operating in a cellular fashion.
If Besos' tribe decides to shut down one of your cells (the latter one), it would appear that your original cell would remain intact, compared to my case where I complete the loop, and risk all accounts to be shut down together.
If Besos' tribe decides to shut down one of your cells (the latter one), it would appear that your original cell would remain intact, compared to my case where I complete the loop, and risk all accounts to be shut down together.
as I reported, they shut down one account from my loop and left other accounts intact.
Dec 16, 2013 | 3:07 pm
#3096
Join Date: Mar 2008
Location: USA
Programs: SPG Platinum
Posts: 34
account suspended
Dec 16, 2013 | 3:53 pm
#3097
Join Date: Oct 2013
Location: WAS
Programs: SPG Plat. Marriott Plat. Hilton Diamond. Hyatt Diamond. IHG Plat.
Posts: 2,580
A little risky seeing as sending yourself money x3 would hit 20K very quickly...
Hopefully you haven't been doing it for more than half a year. If so, you might be getting a lovely 1099K.
Dec 16, 2013 | 4:03 pm
#3098
Join Date: Sep 2008
Location: NYC
Programs: AA PLT 2MM
Posts: 395
I believe that the trigger for a 1099 is $20K AND 200 transactions.
Dec 16, 2013 | 4:12 pm
#3099
Join Date: Nov 2013
Posts: 139
I would imagine that hitting 200 transactions is not really an easy thing to do. I guess you could possibly be liquidating 100 and 200 dollar Amex cards to get to that high total of transactions but still 200 seems high.
I believe that limit is intended for those using amazon payments business not the personal side that limits to 1k monthly.
I believe that limit is intended for those using amazon payments business not the personal side that limits to 1k monthly.
Dec 17, 2013 | 6:24 pm
#3101
Join Date: Sep 2013
Location: SNA/LAX
Posts: 1,410
I have never, but I assume it's easy for them to track IP addresses. It's just too much of a hassle for me to keep one account on one tablet/computer v. the other. One day I'd forget and it'd be as if I'm doing it how I do now.
Dec 17, 2013 | 8:15 pm
#3104
Join Date: Aug 2006
Posts: 756
Maybe not common practice but those of us that choose to be cautious like me most certainly do it as common sense as it's easy to track IP addresses these days. I believe even here at FT tracks multiple users by IP tracker. My wife and I never send money back and forth using the same computer. Just my take on this matter.
Dec 17, 2013 | 9:34 pm
#3105
Join Date: Jan 2009
Location: Texas
Programs: AA, USAir
Posts: 228
Maybe not common practice but those of us that choose to be cautious like me most certainly do it as common sense as it's easy to track IP addresses these days. I believe even here at FT tracks multiple users by IP tracker. My wife and I never send money back and forth using the same computer. Just my take on this matter.
A1 my computer using IE
B1 my computer using FF
A2 work computer
B2 my laptop using Wi-Fi hotspot
Hence, only A1 and A2 would have same IP. A2 and B2 would be totally unique from the crowd.
Not sure if it makes a difference, but easy enough to do for me. Will report back if...I mean when I run into trouble.