I thought I was overly analytical with several different credit cards in my wallet - Costco amex for their gas (4% cash back), Amex Blue cash for other gas stations and supermarkets (5%), etc., CapitalOne spark (2%) for most everything else

I thought I was being really cute / smart by buying store gift cards at the supermarket with blue cash so we'd be getting 5% on purchases at home depot rather than 2% using spark...

Reading this forum I learned about 'manufactured spending' and realized there's loads of people out there that are much better than me at this stuff. I am in awe of the things you guys are doing. But can someone spell out how much you are making on like a $1000 basis? Seems with the bluedot and other cards like that, you have purchase fees, monthly fees, ATM fees, bill pay fees, etc.

I found a grocery store recently that will refund the $6 purchase fee for amex or visa gift cards. So I've been buying a few thousand in gift cards (getting 5% back with no purchase fee, that's $50 for each $1,000 I buy. But then I have to actually spend with the cards. I am starting to pay my kid's summer school tuition (they charge 2.5% convenience fee, so that gets my 'profit' to $25 / $1,000. And our dog just got sick, so we paid the vet bill with gift cards... But it's limited by how much we can spend

So
a) I am making $50 / $1,000 for actually spending the gift cards (for school / places that charge convenience fees, that gets to $25 / 1,000)
b) I actually have to spend rather than just churn - for the efforts of buying a blue or Vanilla or similar, what do you wind up making for each $1,000, aftter the purchase, ATM, monthly, transaction etc fees? I realize you may be making less per $1,000 but you are able to buy thousands more if you are just turning around and using the card's bill pay service to pay amex or take the money out of an ATM.
c) I'm just waiting for Amex to point out their rules about not using the card to buy cash equivalents. I thought I stumbled on a secret, but based on the number of people on this forum, I am late to the game / a small fish. Yeah, there's a fair number of $500 or so purchases from supermarkets on my cards, but sounds like I am nothing compared to you guys. Have people been reprimanded by their card companies?

Thanks! I am eager to hear what you are actually making for your efforts and in awe of the number of people doing this!

thanks!

Mike

I have a question for you Sir/Madame....
Why did you bookend the word manufactured spending with commas in the beginning of the 2nd sentence/paragraph?

2nd paragragh? 'I thought I was being really cute'??

you mean para 3 and single quotes? I was just highlighting the new phrase I learned. Shows as commas on your PC?! Sorry!

I was shut down by Chase after $15k MS. I would suggest reading the threads to avoid the same. The banks know what we're up to.

shut down = closed account? I did just see a thread where someone said Amex is more 'forgiving'? but others contested that.

And 15K over what time frame? days : ) ? weeks?

Who are you?
Where do you come from?
And who are your peoples?

Join date 2009.... and no reading (or reading comprehension) whatsoever?

I mess a rat...(with all due respect)

cmon his username is clearly NOT 007... obviously he aint a dbl agent or working for any agencies.

I mean things cant get any simpler or more crystal clearer than that lol we can 'trust' him

who am I - someone looking to learn how to make more from the credit cards I have
Where do you come from? NY
who are my peeps? not really sure how to answer that : )

join date 2009 when I asked about our trip to Israel / Jordan:

http://www.flyertalk.com/forum/middl...etra-tips.html

Then in 2011 for a question about airfares

http://www.flyertalk.com/forum/trave...200-300-a.html

Other than that, kinda forgot about the site till recently when I've been buying visa gift cards at the supermarket 'cause they give you a catalina coupon to cover the $6 activation fee.

Thanks for the support FTRox!

The basic difference is that Amex MIGHT give you a Financial Review, at least in theory giving you a chance to defend yourself, whereas other issuers will just shut you down. I'm not sure that Amex is really more tolerant of any given quantity of MS (or quantity relative to CL or something)

And it also varies greatly over time. In April/May 2013, Citi was aggressively shutting down all Citi cards for those it decided were abusing the Citi 5x TYP. Once this stopped (and there was no obvious pattern as to who got hit, both light and heavy users) Citi seemed to allow unlimited MS on the card.

Silver, thanks for the info!

By the way, I'm starting to get the hang of at least some of the abbreviations, and I DID search the forum for 'definitions' , but is there a page that lists the commonly used abbreviations and what they mean?

No, and there shouldn't be.

Not really, the people that work for the bank in some case(s) know whats we are doing.

forgive me…

Its been so very long since we’ve had company.
I nearly forgot I had manners.

Say/Post no more dear friend.
Untold riches, circles and arrows await!

http://millionmilesecrets.com/

Lo… go forth and prosper.
And never ye return again until ye haveth acquired the Trillionth mileth secreths!!