How To Get 4% Cash Back w/ Campus Edition AmEx card

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Bksuper
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How To Get 4% Cash Back w/ Campus Edition AmEx card

Postby Bksuper » Wed Jun 05, 2013 12:01 am

Hi,

My campus book store is now selling prepaid amex cards of up to $500 that can be bought with credit card as a purchase for flat $4.95 service fee. Interestingly, they can be cashed out at ATM with no charge for $500.

Since I can get an unlimited 5% back at book stores with my Citi Forward for students, and up to $750 per month with a 10% Upromise-SallieMae Online Savings Account match at 5.5% total with my SallieMae Rewards Mastercard, would it be feasible for me to buy a bunch of these $500 cards at the book store, walk them 20 feet to the ATM, cash them out, deposit them into my savings account at same ATM, then transfer to primary bank and make a payment to my CC? Netting me around 4%?

Has anyone done this with Campus Edition cards at bookstores; I know Cashback and other members here have done this with vanilla reloads, but I don't have an uncapped 5%+ grocery store card and that's where those are sold convenient to me. The inconvenience of traveling to a B&M store that I can get 5% at and sells the reloads stopped me from this practice in the past, now that it is on campus and can be done uncapped with the Forward, is there any limit to how much I can loop it, and does anyone have experience with this particular prepaid?
Sole Ownership Cards:
1st Financial Bank Platinum Student Visa, $500 CL, Open Since 3/2012
Citi Forward Student Visa, $6k CL, Open Since 10/2012
Costco TrueEarnings Amex, $6k CL, Backdates to 1/2012
SallieMae Rewards Barclay Mastercard, $2.5k CL, Open Since 4/2013
Jointly Owned Cards (co-owner with mom, not AU, used and paid only by me):
Chase Amazon Rewards Visa Signature, $2k CL, Open Since 8/2012
US Bank Cash+ Visa Signature, $13.5k CL, Open Since 10/2012
Authorized User (Parents Pay/Use)
Costco TrueEarnings Amex $29.4k CL, AU since 11/2012


cashback
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Postby cashback » Wed Jun 05, 2013 12:04 am

Welcome to the world of churning. FutureBillionaire has the Amex campus edition I believe.

Large and frequent transactions are red flags for everyone. Don't churn with anything you aren't willing to lose. (Like your relationship with Citi)
Credit Cards
Amex BCE 25K ---- PenFed Platinum Rewards 15.5K --- US Bank Cash+ 12K --- Discover IT 6K --- Citi Dividend 5K --- Chase Freedom 12.5K --- Amex SPG 6K --- Citi Thank You Preferred 15K

Not Used
Citi Simplicity - 5K, Sam's Club Discover - 10K

Future Cards
Sallie Mae World Mastercard

FICOs
Exp 772 - TU 781 - Equ 781

Bksuper
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Postby Bksuper » Wed Jun 05, 2013 12:45 am

Is it against any rules or is it just something they won't like to see? If I add a small <$5 purchase I would buy anyway to the order to create variance among the amounts and from the known cost of the prepaid card, would that help mask it? How is this dealt with in respect to the IRS if they see massive cash deposits, do they audit you to see if it's under the table income?
Sole Ownership Cards:
1st Financial Bank Platinum Student Visa, $500 CL, Open Since 3/2012
Citi Forward Student Visa, $6k CL, Open Since 10/2012
Costco TrueEarnings Amex, $6k CL, Backdates to 1/2012
SallieMae Rewards Barclay Mastercard, $2.5k CL, Open Since 4/2013
Jointly Owned Cards (co-owner with mom, not AU, used and paid only by me):
Chase Amazon Rewards Visa Signature, $2k CL, Open Since 8/2012
US Bank Cash+ Visa Signature, $13.5k CL, Open Since 10/2012
Authorized User (Parents Pay/Use)
Costco TrueEarnings Amex $29.4k CL, AU since 11/2012

cashback
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Postby cashback » Wed Jun 05, 2013 12:58 am

There is nothing illegal about it, you are just moving money around. If you cross certain thresholds, merchants and banks are required to file Suspicious Activity Reports (SARs) on you. Go here: Manufactured Spending - FlyerTalk Forums and read until your heart is content.

It is in CC T&C's that cash equivalents are not eligible for rewards, but they have no way of seeing what you buy. There is no exact science on how to avoid shut downs. There are a million different ways you can mask what you're doing, but none have been proven to work.

Lets just say I might have "spent" 30K last month. You think the CC company will give me $1,500 a month forever? I dont think so.
Credit Cards
Amex BCE 25K ---- PenFed Platinum Rewards 15.5K --- US Bank Cash+ 12K --- Discover IT 6K --- Citi Dividend 5K --- Chase Freedom 12.5K --- Amex SPG 6K --- Citi Thank You Preferred 15K

Not Used
Citi Simplicity - 5K, Sam's Club Discover - 10K

Future Cards
Sallie Mae World Mastercard

FICOs
Exp 772 - TU 781 - Equ 781

FutureBillionaire
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Postby FutureBillionaire » Wed Jun 05, 2013 8:05 am

Cashback is correct. I have the Amex Campus Edition and 2 more of their prepaid products that you can PM me about.

I do not recommend buying multiple cards and cashing them out on a consistent basis. You will draw the ire of American Express and possibly Citi, depending on how often you buy them. If you buy one and keep loading it, the limit is 5k per year. Also, I believe that you can't withdraw cash until they send you a permanent card. To get a permanent card, you have to give them your SSN. This is not a good product to churn.

I use this product as a cash account. I load it with a CC, and then get cash out when I need cash to pay my barber or if I feel like winning/losing money at the poker table in a casino.

I would recommend not typing out the word V... R... on this forum. I would keep discussion of that product and process to PM. Folks are less likely to share info if you type specifics on forums where folks don't know the code. Ask cashback, I've learned this the hard way.

Like I said, PM me and I'm happy to answer any questions. I'm jealous that you have great access to v.... r... Extremely jealous. I'd love to know what grocery chain has them where you live.
Gas: Discover It, Penfed Platinum Rewards x2, Chase freedom, Citi TYP
Plane tickets: CSP
Groceries: AMEX BCP, Penfed Platinum Rewards,Citi TYP
Clothes: Express, Amex BCP, Discover IT
Amazon: Citi Forward, Cash +
Restaurants: Citi Forward, Chase Freedom, Discover IT, CSP
Hotels and other travel: Discover Escape, CSP
Movies: BofA travel rewards visa signature(fandango), Discover IT, Citi Forward, Freedom
Bars, clubs, tomfoolery: CSP, Citi Forward, Discover IT, Freedom
Balance transfers: Kroger 123 rewards
Bill Pay: Chase Ink Plus, Citi Forward
Everyday spending: Bofa Accelerated cash rewards amex, Discover Escape

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djrez4
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Postby djrez4 » Wed Jun 05, 2013 9:28 am

Another warning -

Citi has been shutting down accounts for people who abuse the system and confiscating TY points. Proceed with caution.
[RIGHT][size=100]- Sapphire Preferred - Freedom - Ink - Platinum - Everyday Preferred -[/size]
[/RIGHT]

FutureBillionaire
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Postby FutureBillionaire » Wed Jun 05, 2013 9:42 am

djrez4 wrote:Another warning -

Citi has been shutting down accounts for people who abuse the system and confiscating TY points. Proceed with caution.


Excellent point as well.
Gas: Discover It, Penfed Platinum Rewards x2, Chase freedom, Citi TYP
Plane tickets: CSP
Groceries: AMEX BCP, Penfed Platinum Rewards,Citi TYP
Clothes: Express, Amex BCP, Discover IT
Amazon: Citi Forward, Cash +
Restaurants: Citi Forward, Chase Freedom, Discover IT, CSP
Hotels and other travel: Discover Escape, CSP
Movies: BofA travel rewards visa signature(fandango), Discover IT, Citi Forward, Freedom
Bars, clubs, tomfoolery: CSP, Citi Forward, Discover IT, Freedom
Balance transfers: Kroger 123 rewards
Bill Pay: Chase Ink Plus, Citi Forward
Everyday spending: Bofa Accelerated cash rewards amex, Discover Escape

Bksuper
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Postby Bksuper » Wed Jun 05, 2013 10:26 pm

I like my Forward card, so if it's in the T&Cs I can't do it, then I won't. I don't want to get into any legal or credit score troubles just for a few hundred dollars either.
Sole Ownership Cards:
1st Financial Bank Platinum Student Visa, $500 CL, Open Since 3/2012
Citi Forward Student Visa, $6k CL, Open Since 10/2012
Costco TrueEarnings Amex, $6k CL, Backdates to 1/2012
SallieMae Rewards Barclay Mastercard, $2.5k CL, Open Since 4/2013
Jointly Owned Cards (co-owner with mom, not AU, used and paid only by me):
Chase Amazon Rewards Visa Signature, $2k CL, Open Since 8/2012
US Bank Cash+ Visa Signature, $13.5k CL, Open Since 10/2012
Authorized User (Parents Pay/Use)
Costco TrueEarnings Amex $29.4k CL, AU since 11/2012

Gamma
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Postby Gamma » Thu Jun 06, 2013 1:00 am

As others have said, it's not worth doing any manufactured spending with the high volume of Citi card closures currently going on. Before, you technically were allowed to with the old terms:

"You may earn ThankYou Points as long as your Card Account is open and current. If your Card Account is closed, you will not be able to earn ThankYou Points and you will lose any accumulated ThankYou Points that have not been transferred to your ThankYou Member Account. Balance transfers, cash advances, convenience checks, returned purchases, disputed or unauthorized purchases/fraudulent transactions, finance charges, Card Account fees, and fees for services and programs you elect to receive through us do not earn ThankYou Points unless otherwise specified."

They recently updated their terms and sent letters out to those with Citi cards (I got one, but rarely ever use it) and basically says if they suspect point abuse, fraud, or suspicious activity and other stuff, they will close your account and possibly blacklist you. So if you value your Citi cards, I wouldn't reccomend abusing it!

silver6054
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Postby silver6054 » Thu Jun 06, 2013 1:36 am

FutureBillionaire wrote:I'm jealous that you have great access to v.... r... Extremely jealous. I'd love to know what grocery chain has them where you live.

Yes, can you let us know the chain? Around here anyway, no grocery stores stock them, and I have only heard of a few that do and they required cash or debit.



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