If you read my Credit Card Spending for the Rest of Us, you already know that Netspend prepaid debit cards and REloadits are one of the many ways you can rack up your credit card spend. I recently signed up for my Netspend card via the Flyertalk Conga to get some free money ($20 for loading your card, plus $20 referral from the next person in the conga). As far as I've read, most miles and points collectors get their accounts shut down pretty fast, so I wasn't really planning on actually using the card much. To be honest I was only after the free $39, but then I figured why not try to use Netspend to pay taxes (which I have to pay anyway) and get some miles out of the deal. The plan was to use my favorite miles-earning credit cards to buy REloadit packs at the grocery store, then load them on the Netspend card which I can then use as a debit card to pay my quarterlies via PayUSAtax.com. The credit card fees on PayUSAtax are percentage based (yikes!) but there is a flat fee of only $3.49 to pay using a debit card. As the site points out, that's cheaper than mailing a check via certified mail with a return receipt! Too good to be true?
|Buying Prepaids and Reloads at Safeway|
So I went to Safeway today to buy my final REloadit pack for my Netspend card and I got shut down. The cashier wouldn't let me to buy the "cash only" reload using my credit card. I tried explaining that I've done it there before, and asked nicely if she'd let me try anyway, but the answer was no. My cashier then called for backup and they both kind of ganged up on me and told me I couldn't do it. I didn't want to push the issue because, well, they were right, and I actually shop regularly at that store, hence not wanting to make a scene. I didn't end up getting the reload pack so I'm still one REloadit short of having what I need to pay my taxes. There are other Safeways in the area, but I think I've had enough rejection for one day. Maybe I'll send my husband out later when he gets home from work or if not I'll try again tomorrow.
So theoretically here's how it was supposed to work:
- Buy 3 REloadits from Safeway using my credit cards at a fee of $3.95 each (Total fees: $11.85)
- Pat taxes online at PayUSAtax.com ($3.49 fee + $1 transaction fee from Netspend = $4.49)
- I'm (hopefully) getting $40 free from Netspend so subtract fees ($40- $11.85- $4.49 = $23.66)
- All said and done I'm actually coming out almost $24 ahead after earning a lot of miles and racking up spend at the grocery store (my Chase MileagePlus Select Visa which I used for one of the transactions even gets double miles!)
- I was hoping to get some Safeway Gas Rewards points on top of the miles, but unfortunately buying reload packs doesn't seem to count towards the program.
This entire process has been a