Thursday, July 19, 2007

Update on Discover Card

I mentioned getting cash back at supermarkets when using a Discover Card. By choosing cash back (also known as cash over) as a option during checkout, this works out as a nice interest-free loan. I pay off the card every month, and it saves me a trip to the ATM. I even said that I earn cashback on the cash back since it goes on my statement as being a purchase. Well, I guess that it couldn't last forever.

My last Discover Card statement had two supermarket transactions, that say "cashover $50". They now separate out the "cash over" part from the "purchases" part of the transaction. I am no longer earning a cashback bonus on the cash over amount. Oh well. At least it still saves me a trip to the ATM.

Again, I do not recommend this strategy to people who run a balance on their credit card, and end up paying interest charges on the cash over amount.



ungsunghero said...

I just checked the current activity on my Discover card, and noticed this "cashover" distinction as well.

Did Discover treat the cashover part of the transaction as a cash advance, or just as a purchase that does not earn cash back? In other words, did you end up having to pay a fee on the cash back amount?

pfstock said...

There was no cash advance fee for the "cashover" portion of my transaction. So, I interpret this as being treated like a transaction that does not earn cash back.

Kurazo @ earn cashback bonus said...

The post was really nice. But, as what I have read on the comments, I wanted to ask if the post is true.

But, maybe they might tried your strategy, yet had "interest charges on the cash over amount" thing. Hope I guessed it right.