We’ve been trying lately to figure out how we can maximize rewards for the things we do anyway, like pay rent. I was thinking that it might be possible to purchase a money order with a credit card, use the money order to pay rent, and get the rewards for it. We have some rewards cards with zero balances, and it would be easy just to pay the rent on those and immediately pay off the monthly balance. We want to earn rewards to save up and help pay for our wedding and honeymoon. I called Discover today to check if my plan is possible: It isn’t.
Any kind of wire transfer or money order purchase is considered a cash advance and is assessed a 3% cash advance transaction fee plus being billed at the high “cash advance rate.” Also, cash advances aren’t eligible for rewards. Even those checks they send you count as cash advances and are ineligible for rewards. Thank goodness the representative was able to confirm this for me, so we know never to buy any kind of money service with a credit card.
Anyone have any ideas on how to earn rewards for paying rent and other monthly obligations?