AARP Discussion Master Thread

[Dan]

Yes, if knew I was spending 6 figures in the next 6 months and there was no risk of being blacklisted for 5% abuse then it would make sence to get the AARP card.

Being that that is an impossible situation it doesn't make sense for me to waste an approval on it.

[HelpMe]

Yes, if knew I was spending 6 figures in the next 6 months and there was no risk of being blacklisted for 5% abuse then it would make sence to get the AARP card.

Being that that is an impossible situation it doesn't make sense for me to waste an approval on it.

…but the facts show differently. Many (including me) did over 100k a month using cash back cards going through a shopping portal to receive and extra 2% and no bans. The major problems came from members using Amex cards for points.

[Dan]

And many many others have been banned from Chase.  Do you deny that?

[3ZeroT]

Dan makes a good point about short and long term thinking; I had a good run with Chase a few years ago funding Citi savings accounts with a $75k chase card (nearly $750 cashback per).  I made $5000+ in a few short months with very little effort, and then got shutdown and blacklisted by Chase.   I have no regrets but I imagine after enough years go by I could have made that back and more in other Chase promotions.

[HelpMe]

And many many others have been banned from Chase.  Do you deny that?

Yes they have but why is the question. Some here have been banned after doing 2/3bm also. You always have to dig deeper.

Chase right now is a different animal. If you plan on getting the AARP card I would recommend not to churn your CL. This will put your risk as close to zero as possible.

[Dan]

Yes they have but why is the question. Some here have been banned after doing 2/3bm also. You always have to dig deeper.

Chase right now is a different animal. If you plan on getting the AARP card I would recommend not to churn your CL. This will put your risk as close to zero as possible.

From what I see the odds of being shut down due to 3BM are still very small and usually there's something else bothering Chase.  Hundreds of us do it all the time yet just a few have been banned.

If you don't churn your credit line on the AARP then it's not worthwhile as you'll never get up to the 6 figure spending where the card starts to make sense.

Dan makes a good point about short and long term thinking; I had a good run with Chase a few years ago funding Citi savings accounts with a $75k chase card (nearly $750 cashback per).  I made $5000+ in a few short months with very little effort, and then got shutdown and blacklisted by Chase.   I have no regrets but I imagine after enough years go by I could have made that back and more in other Chase promotions.

Exactly why I did it twice with Chase, twice with Citi, twice with AMEX and was done with it.
In the short term I had some fun, but I'm still able to make much more than that with churning.

[AsherO]

Chase right now is a different animal. If you plan on getting the AARP card I would recommend not to churn your CL. This will put your risk as close to zero as possible.

With a $10k CL that you can't churn, you'll be doing a max of $120k/year, netting you $6k @ 5%, when you can spend significantly less on mileage signup bonuses and get more.

[HelpMe]

Dan makes a good point about short and long term thinking; I had a good run with Chase a few years ago funding Citi savings accounts with a $75k chase card (nearly $750 cashback per).  I made $5000+ in a few short months with very little effort, and then got shutdown and blacklisted by Chase.   I have no regrets but I imagine after enough years go by I could have made that back and more in other Chase promotions.

A 1% card, ouch!  Members were using the Citi CR card and earning 5%. The links were only passed around via PM’s and that is why it lasted so long. You had to apply every three months. The Schwab card paid 2% back then also.

[Dan]

With a $10k CL that you can't churn, you'll be doing a max of $120k/year, netting you $6k @ 5%, when you can spend significantly less on mileage signup bonuses and get more.

And that's only if you get the card twice during the year and are even willing to max out your credit line.

[HelpMe]

If you don't churn your credit line on the AARP then it's not worthwhile as you'll never get up to the 6 figure spending where the card starts to make sense.

This is why I have asked several times what the best mileage card (including bonus) is. We can then find the spending threshold where one card is better to use than the other. Remember with Chase it is very easy to move and combine CL’s to have a nice large one. Over 75k requires special approval.

[Dan]

Best for bonus isn't the best for spending.  And for spending I use different cards depending on the type and amount of transaction.

[3ZeroT]

A 1% card, ouch!  Members were using the Citi CR card and earning 5%. The links were only passed around via PM’s and that is why it lasted so long. You had to apply every three months. The Schwab card paid 2% back then also.

Yeah I was playing the CR game too, but Citi caught on and stopped awarding 5% cashback on bank fundings at some point.  I had to switch to mint coins and state farm visa cards (they can be unloaded straight to your checking account right on their site)

[HelpMe]

Yeah I was playing the CR game too, but Citi caught on and stopped awarding 5% cashback on bank fundings at some point.  I had to switch to mint coins and state farm visa cards (they can be unloaded straight to your checking account right on their site)

There is no way you are the typical DDF member. I was banned from SFGC before it even made it to the forums. WildcardSystems has my picture on their wall.   

For those looking to meet spending requirements (hint, hint).

[HelpMe]

Best for bonus isn't the best for spending.  And for spending I use different cards depending on the type and amount of transaction.

All I am trying to do is get a fair comparison. You can’t compare the AARP card to 10 cards. If you plan on getting ten card in the next six months make one the AARP card. Now we can make a comparison. Nine out of the ten cards are the same so throw them out. What card did we get rid of and replace it with the AARP card? We can now compare the two cards.

[Dan]

If you plan on getting ten card in the next six months make one the AARP card.

And lose out on a $900+ signup bonus?  No thanks.
With AARP you need to put all your spending on one card.  I have a portfolio of cards to maximize my earnings on everything I spend and I open cards for signup bonuses.  What rationale would I have to put all my spend on one of my cards when there's no benefit to putting everyone on the same card?

[HelpMe]

And lose out on a $900+ signup bonus?  No thanks.
With AARP you need to put all your spending on one card.  I have a portfolio of cards to maximize my earnings on everything I spend and I open cards for signup bonuses.  What rationale would I have to put all my spend on one of my cards when there's no benefit to putting everyone on the same card?

We would count the 900 bonus in the comparison. As far as your spending how much of it would do better than 5%? My guess is less than 10%.

[AsherO]

All I am trying to do is get a fair comparison. You can’t compare the AARP card to 10 cards. If you plan on getting ten card in the next six months make one the AARP card. Now we can make a comparison. Nine out of the ten cards are the same so throw them out. What card did we get rid of and replace it with the AARP card? We can now compare the two cards.

Let's say I have $40k to spend, here are the three scenarios:

1. Get two AARP cards, one every six months. Total for the year - $2k.
2. Get 20 mileage cards, minimum return from signup bonuses is $500. Total for the year - $10k+.
3. Get 19 mileage cards, minimum return from signup bonuses is $500. Assuming I spend only $20k on signup bonuses, and have another $20k left, that $20k spent on the AARP card will only net me $400. Total for the year - $10k+, with AARP card capped at $400, which is less than the $500 I got on the other mileage cards.

These are conservative estimates, as I've had many mileage cards net me $1k+ last year.

Even if your argument (cashback > miles) holds true for spending, it isn't true overall when you consider a budget and signup bonuses as illustrated above.

[Saver2000]

We would count the 900 bonus in the comparison. As far as your spending how much of it would do better than 5%? My guess is less than 10%.

Dan is saying that he gets $900 for signing up .
To get $900 on the AARP card, you would need to spend $18,000 in 6 months.

[Dan]

But if you spend 18k on a mileage card you also need to factor those miles as well.

[HelpMe]

But if you spend 18k on a mileage card you also need to factor those miles as well.

We will add in the mileage earned and the signup bonus. Let’s make two list (2,3,5,10, I don’t care how many cards). One with the AARP card and one without. Then we can do a true comparison.