Have you ever read the terms and conditions that come with a credit card?
Herb_T
Posts: 1,755 ✭✭✭✭✭
If you haven’t you should be aware that some cards, like those sponsored by Elan, do not want their cards to purchase items from the US Mint. I HAD a Fidelity credit card that gave me cash back of 2.25%….but they didn’t like me buying coins, also explicitly called out, and all of a sudden, no warning they blocked the card and took my earnings….so be careful how you use your cards,…..
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Cash is King
Successful BST with ad4400, Kccoin, lablover, pointfivezero, koynekwest, jwitten, coin22lover, HalfDimeDude, erwindoc, jyzskowsi, COINS MAKE CENTS, AlanSki, BryceM
Can't buy Mint products with cash.
Never use cash when credit card rewards are available.
@jmlanzaf I buy mint products on the secondary market years after the hype goes down along with the prices. I never use a credit card unless there is an emergency.
Successful BST with ad4400, Kccoin, lablover, pointfivezero, koynekwest, jwitten, coin22lover, HalfDimeDude, erwindoc, jyzskowsi, COINS MAKE CENTS, AlanSki, BryceM
These restrictions are put in place so people for instance are buying and selling in the same day to make the reward points be they cash or airline miles.
I have 4 different cc's, all issued by major banks. Chase (2), BOFA, & Capital One. And none have those idiotic restrictions. Time to close out that cc & apply for one with another Bank.
Over at AMEX, on their "Blue Cash Everyday" card ...
Precious metal coins and bullion are treated as a 'cash advance'.
Link
This means:
~ a transaction fee of either $10, or 5% of the amount of the cash advance, whichever is greater;
~ they begin charging interest, currently 21.99% APR, on the transaction date;
~ no "reward dollars".
Reference
It is good to be aware of for sure. Thankfully my card doesn’t have those provisions but it’s good to keep an eye out as they change their terms and conditions periodically. Of course I imagine the only way they would know what it is would be by the merchant and category of sale.
I have heard of this. My card has no restrictions - and I use it for Mint purchases. Most things, I deal in cash. Cheers, RickO
Cash is king ! havent used a cc in years! As far as US mint purchases Its been over 12 years since the mint put out anything that sparked my interest.
And since i haven't made a purchase from the mint a question.
The mint doesnt accept mail orders paid by check or money order?
If not just another reason not to business with them.
"That's why I wander and follow La Vie Dansante"
This makes no sense. Why should the credit card company care what you buy when they charge the merchant 3% on the transaction?
Worry is the interest you pay on a debt you may not owe.
"Paper money eventually returns to its intrinsic value---zero."----Voltaire
"Everything you say should be true, but not everything true should be said."----Voltaire
Because it’s an opportunity to earn fees.
"Got a flaming heart, can't get my fill"
@PerryHall I think this may go back to when the mint was selling Prez Bucks for face value and people were buying them then immediately depositing them back into the bank for rewards points/cash back. The cc companies and the mint did not appreciate people gaming the system for the millions in cash back.
My Ebay Store
No but it's time to go reread the fine print
I remember when that happened. If the mint was stupid enough to sell money for face value and take credit card payments, that's on them. The credit card company should change the mint the credit card fee and then laugh all the way to the bank.
Worry is the interest you pay on a debt you may not owe.
"Paper money eventually returns to its intrinsic value---zero."----Voltaire
"Everything you say should be true, but not everything true should be said."----Voltaire
I only use my card for gas , mainly due to convienence, dont have to go inside the store.
also , stuff like renting a car or booking flights etc
and of course mint orders as mentioned.
I go thru chick fil a daily to get me a large tea before going to shop. They always want you to use a debit or cc card, I always pay in cash, they hate cash.
CC shouldn't care. They still get their 3%
I think it's more about fraud. You could buy bullion and then default on the CC and keep the money
Cash is Credit card rewards are king
Repetition of ignorance is ignorance raised to the power two.
I do believe that you nailed it on the head. I have a friend who is a bankruptcy attorney, She was telling me the amount of cases of bankruptcy they handel monthly.
So yeah one could try and run up a card and then default.....but the house always win....as I was told in some cases you are excused, in other cases a payment plan is put into place by the courts. After you paid what the court decision amount was over time your bankruptcy is dismissed.
However we all know the house always wins....im sure the any C C company writes off any losses making them another corporation that does not pay any taxes!
I noticed this starting to happen when both silver, and gold took off a few years back.
Like bid idiots purchased PM's high and not having any insight as to how fast PM's can fall as well climb in price.
Then when gold started downward they couldn't sell to cover their balances due.
"That's why I wander and follow La Vie Dansante"
This makes no sense. You could buy expense jewelry, a car, breast implants, or anything else and then default on the credit card payment.
Worry is the interest you pay on a debt you may not owe.
"Paper money eventually returns to its intrinsic value---zero."----Voltaire
"Everything you say should be true, but not everything true should be said."----Voltaire
You can use a CC for any purchase as long as the Merchant accepts the card...
But as stated in the Terms/Conditions in order to earn the card rewards it need to be tangible merchandise or services - and You agree to those terms when You activate the card
The Fidelity card is a consumer card - not an investment tool - if You are using the card to buy/sell then You are a Business and not a consumer
In the first 13 years...the Fidelity card grew to approx 552,000 cardholders across 10 different levels of rewards and included issues of Visa / Amex / MasterCard - Since Elan Financial Services converted the card in June of 2016...it has grown to well over 1 million and every card is VISA - and foreign transaction fees are only 1% with no Annual Fee
Every card Elan Financial Services has issued earns 2% rewards points per dollar spent - the Fidelity Rewards+ program adds bonus rewards depending on Your investment accounts with Fidelity - either .25% / .50% / or 1% bonuses
My coin purchases are done with PCGS Authorized Dealers and eBay vendors - not the US Mint - and every purchase earns its rewards - even on silver bullion
My 1957-2022 Proof Set Collection Has Been Sold
Source
I tried reading the terms and conditions once but finished War and Peace first.
A: The year they spend more on their library than their coin collection.
A numismatist is judged more on the content of their library than the content of their cabinet.
Also paper money is dirty because so many people touch it.
My card give 2.5% cash back. I just got $525 back this month
And that folks, is why you need crypto...
You can't buy products from the Mint with crypto
Jewelry, cars, implants and most other things that you can buy with a credit card are relatively illiquid and you will lose a large percentage on resale. If you buy a diamond ring for $5000, good luck getting someone to pay more than $3000 if you want to "flip" it. But if you bought $5000 worth of gold bullion today, you could sell it for $4800 tomorrow (assuming the price of gold hadn't changed)
Using my www.buypowercard.com card, I just saved an extra $6,300+ on the purchase of a new car... on top of the negotiated price and all other manufacturer rebates.
Cash most certainly IS NOT king!
Unless you are paying that car off next month it is. I will stick with cash.
Successful BST with ad4400, Kccoin, lablover, pointfivezero, koynekwest, jwitten, coin22lover, HalfDimeDude, erwindoc, jyzskowsi, COINS MAKE CENTS, AlanSki, BryceM
I should drive a clunker or someone else's trash? No thanks!
Nobody said anything about what kind of car you bought.
Successful BST with ad4400, Kccoin, lablover, pointfivezero, koynekwest, jwitten, coin22lover, HalfDimeDude, erwindoc, jyzskowsi, COINS MAKE CENTS, AlanSki, BryceM
Not the same as cash. Yes, you could buy jewelry and then sell it. But past is prelude. My guess is that it has happened.
What is your alternative theory for the exemption?
You might note that cash and bullion exemptions also apply to shipping regulations, insurance, etc. Is not just some credit cards.
If paying over $10k with cash for your car, be advised "Big Brother" will receive notification of such from the dealer. Form 8300 to the IRS. Places you on their watch list. Best to pay via check or cc, if it will be pif by the next billing period.
I'm not a lawyer and they should not expect a lawyerly awareness of all terms and conditions. That should stand up in court as you challenge the small print as some type of contract when most people could not be expected to understand legalese.
Why do I care if "big brother" knows I bought a car? They already know when I registered it.
You should care that they know you spent a wad of cash if you did not claim that income from a coin or weed sale.
Spending a wad of cash is perfectly legal. Explaining/proving where it came from can sometimes be difficult.
Repetition of ignorance is ignorance raised to the power two.
Income from your job? That might explain it
Successful BST with ad4400, Kccoin, lablover, pointfivezero, koynekwest, jwitten, coin22lover, HalfDimeDude, erwindoc, jyzskowsi, COINS MAKE CENTS, AlanSki, BryceM
Now we're telling a whole new story
I solve that problem by laundering all my money