If you’re purchasing large amounts of gift cards online, you’re not going to like this: Starting December 1, Giftcards.com, Giftcard Mall, and Cardpool will all be imposing a $30,000 monthly limit on cash back portal payouts. That’s bad news, considering in the past you could earn 1% cash back on up to $5,000 worth of Visa gift cards per day. On the positive side, shopping portals like Yazing are increasing cash back rates on MasterCard gift cards to 1.25%! I’ve never purchased MasterCard gift cards from giftcards.com before, so I have no idea which ones are issued by Metabank. [UPDATE: As of July 2018, the limit has increased to $60,000 per month]
While this sounds like horrible news, it’s actually not that bad. For starters, most people weren’t ordering $150,000 worth of gift cards per month anyway. The $30,000 limit is likely sufficient for most card churners. It means you can still produce $360,000 worth of discounted manufactured spending per year. Who really needs more miles than that? Ok, I do. But I can order gift cards using a family member’s account. I’ve been ordering gift cards for them using their credit card and giftcards.com account anyway. This just means I have to do that more frequently if I want to increase my MS. Which, for the time being, I don’t.
Another reason this new purchase limit from giftcards.com isn’t as bad as it may seem? It’s not the only gift card churning resource. At 1% cash back, about $2,500 worth of manufactured spending costs $17.20. Or $6.88 per $1,000. That’s less than then the $8.60 you’ll pay liquidating mall Visa gift cards – not a massive difference. It’s higher than the $6.43 you’ll pay to earn 1,000 Ultimate Rewards points with the Chase Ink Plus card at Staples.
The $30,000 limit on cash back eligible purchases from giftcards.com is definitely bad news, but it’s nothing we can’t work around. We’ll still be able to earn hundreds of thousands of miles every year through gift card churning. More importantly, it’s not the only Visa gift card resource. So if 360,000 miles a year isn’t enough, then you still have other options. Ideally, you shouldn’t be channeling all of your MS towards one gift card merchant anyway.
How does this $30,000 purchase limit on giftcards.com orders affect your manufactured spending plans?