Large payments above credit limit, earning points

[exceladdict]

Hi AFF,
I was wondering if anyone has experience with Visa/MC cards that allow you to make large payments (far above your credit limit) by overloading the card with cash into a positive balance; and what the points earning experiences on those may be.
In particular I'm eyeing off the anz black which is uncapped and with 0.5 points per dollar above $7500.
Any experiences of banks capping or retrospectively taking points away would be interesting to hear.
Thanks for your advice!

 

[Scr77]

That card would be a perfect choice. Never had an issue overloading it.

 

[exceladdict]

That card would be a perfect choice. Never had an issue overloading it.

Points awarded in full for amounts above your credit limit? I spoke to someone on live chat and they indicated they may not be 'detected by the system'

 

[Scr77]

Points awarded in full for amounts above your credit limit? I spoke to someone on live chat and they indicated they may not be 'detected by the system'

Yes, all good. My only hesitation is if credit, are you covered in the event of fraud.

 

[Captain Halliday]

I’ve also done this on a couple of Amex cards. Platinum Edge and QF Ultimate IIRC.

Both tracked fine.

 

[Daver6]

If you're concerned, is splitting into multiple smaller payments an option for you? Ie, use full limit, pay-off, rinse and repeat? Ideally crossing over the month boundary so that you can get to lots of full points earning.

 

[TheRealTMA]

Hi AFF,
I was wondering if anyone has experience with Visa/MC cards that allow you to make large payments (far above your credit limit) by overloading the card with cash into a positive balance; and what the points earning experiences on those may be.
In particular I'm eyeing off the anz black which is uncapped and with 0.5 points per dollar above $7500.
Any experiences of banks capping or retrospectively taking points away would be interesting to hear.
Thanks for your advice!

Isn't the $7500 limit a monthly limit not a transaction limit?

 

[exceladdict]

Thanks for the responses. The fraud callout is a good point though hopefully the card will only be in a positive balance for less than an hour. I might stage the money in an ANZ savings account of some sort as transferring over from another institution via bpay might take a day or two.

If you're concerned, is splitting into multiple smaller payments an option for you? Ie, use full limit, pay-off, rinse and repeat? Ideally crossing over the month boundary so that you can get to lots of full points earning.

Unfortunately there won't be a lot of flexibility with dates; but that's a good idea.

Isn't the $7500 limit a monthly limit not a transaction limit?

I believe so, yes, but it's only the point at which the rate changes from 1 to 0.5/$ - I don't believe there's a 'total' cap on this particular card. Many other banks' cards have either monthly or annual spend limits that would limit the benefit of this exercise.

Unfortunately amex is not an option otherwise I agree the QF Ultimate would be the way to go here.

 

[TheRealTMA]

Thanks for the responses. The fraud callout is a good point though hopefully the card will only be in a positive balance for less than an hour. I might stage the money in an ANZ savings account of some sort as transferring over from another institution via bpay might take a day or two.


Unfortunately there won't be a lot of flexibility with dates; but that's a good idea.


I believe so, yes, but it's only the point at which the rate changes from 1 to 0.5/$ - I don't believe there's a 'total' cap on this particular card. Many other banks' cards have either monthly or annual spend limits that would limit the benefit of this exercise.

Unfortunately amex is not an option otherwise I agree the QF Ultimate would be the way to go here.

I mean the $7.5K is the monthly limit for full reward points where the points change so any spend over a total of $7.5K for the month, even in paid in advance by deposits etc, will cause the reward to drop to 0.5 per $ over ther $7.5K in total for the month.

 

[exceladdict]

Understood yep that's my understanding too.

It won't work for me based on the calendar but it appears the st george amplify may be worth considering for anyone in a similar situation. $250k/calendar year limit for rewards points but you receive a 10% bonus of points earned in the last year on your birthday. If you have a mid year birthday and can time things right, that could net over 30k points.

 

[albyd]

I didn’t realize amplify had an annual limit on points earn as it says “uncapped” everywhere on the site. Can you please share a link?

 

[exceladdict]

I didn’t realize amplify had an annual limit on points earn as it says “uncapped” everywhere on the site. Can you please share a link?

Sorry I'm specifically looking at the amplify Qantas: Frequent Flyer Credit Cards | St.George Bank

 

[albyd]

Phew

 

[craven morehead]

Thanks for the responses. The fraud callout is a good point though hopefully the card will only be in a positive balance for less than an hour. I might stage the money in an ANZ savings account of some sort as transferring over from another institution via bpay might take a day or two.


Unfortunately there won't be a lot of flexibility with dates; but that's a good idea.


I believe so, yes, but it's only the point at which the rate changes from 1 to 0.5/$ - I don't believe there's a 'total' cap on this particular card. Many other banks' cards have either monthly or annual spend limits that would limit the benefit of this exercise.

Unfortunately amex is not an option otherwise I agree the QF Ultimate would be the way to go here.

Why not pay via the Sniip App attached to your Amex? Full points and no cap

 

[exceladdict]

Why not pay via the Sniip App attached to your Amex? Full points and no cap

Very interesting, I'll check it out. I won't be able to deduct any fees in this instance so that may hold back the value proposition.

 

[craven morehead]

Very interesting, I'll check it out. I won't be able to deduct any fees in this instance so that may hold back the value proposition.

Yep, only you can make that judgement. Just over a cent per point (sans tax benefit) vs 0.5 point per dollar for nought.

 

[Daver6]

Why no tax benefit? I'm not a tax expert, but if you're paying an expense that is tax deductible, then surely any cost associated with paying that expense is tax deductible too? Ie, a credit card surcharge or Sniip surcharge?

 

[exceladdict]

Why no tax benefit? I'm not a tax expert, but if you're paying an expense that is tax deductible, then surely any cost associated with paying that expense is tax deductible too? Ie, a credit card surcharge or Sniip surcharge?

Unfortunately in my case this payment itself isn't tax deductible. But completely agree with you if it was a deductible expense.