Topic Wiki

https://www.dansdeals.com/more/dans-commentary/dark-side-earning-credit-card-points-psa-dont-swipe-others/

https://www.mixcloud.com/zev-brenner/talkline-with-zev-brenner-on-credit-card-scams-affecting-the-orthodox-jewish-community/

http://podcast.headlinesbook.com/e/31616-credit-card-miles-and-points-swiping-for-rewards-buying-and-selling-miles-is-it-assur-and-a-chillul-hashem-or-a-great-way-for-a-side-parnassah/



BEFORE SWIPING FOR SOMEONE READ THIS: (first hand story)

https://forums.dansdeals.com/index.php?topic=36812.msg2062371#msg2062371
https://www.dansdeals.com/more/dans-commentary/dark-side-earning-credit-card-points-psa-dont-swipe-others/#comment-1399884


Dan's warning to DDF:
I hope people realize that any buying group or anyone else that gets merchandise in advance of payment can go south at any time. That's even if you get a check at the time of delivery.
X-posting as I don't want anyone to say that I never put a warning here.

A story that ended up in court - https://iapps.courts.state.ny.us/nyscef/DocumentList?docketId=iRcRHuyZUdOIx69D00a5XQ==&display=all&courtType=Kings%20County%20Supreme%20Court&resultsPageNum=1


I am one of the biggest buyers for buying groups, I have done millions in transactions and have sent to every group there is over the past 3 years. Most buying groups are okay, some scan in slower than others, some pay slower than others - most will lose a few packages over the year. You can research and find which are better for you.

However there is a bigger problem now with Amazon itself.  Amazon in the past has been great with any problems always ready with a refund for lost packages even if it was thousands of dollars. Lately Amazon has clamped down and has tagged these buying groups addresses  in their systems as "freight forwarder" and now no longer will fix any problem you have whatsoever. Doesn't matter what the problem is, even if it shows the package was never delivered, amazon will not help you in any way. Their copy and paste response will always be "this item was sent to a freight forwarder and we're unable to replace or refund the item. We recommend contacting your freight forwarder for more details, as we don't have any more insight or information regarding this matter, For more information about sending items via freight forwarders, please visit our Help Pages: https://www.amazon.com/gp/help/customer/display.html?nodeId=201117950." As well the amazon drivers either must know this or have been increasingly bad at delivering packages because the numbers of packages missing has gone up astronomically. Previously you would have very few packages missing, now the past 3 months I have had 59 "lost" packages. I now have over $15,000 of loses and some guy in Delaware is probably living the life with all the stuff he stole from me. I will survive, I have made a lot more than $15,000 over the years however just a warning to others here that things are not as they used to be and it really is no longer worth doing buring groups with all the loses piling up

« Last edited by Yo ssi on July 24, 2023, 06:47:26 PM »

Author Topic: PSA: Don't swipe recklessly for others  (Read 1182859 times)

Offline ChaimMoskowitz

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Re: PSA: Don't swipe recklessly for others
« Reply #760 on: May 03, 2018, 10:27:21 AM »
I had no issues before or afterward and they were proactive with the check. If they went belly up I doubt you'd take a total haircut unless they really were botching things up. But I think you'd have other clues to that well in advance. You can never totally mitigate risk. You do what you are comfortable with.

While the risks might not be clearly defined, there are clearly risks so you work to protect yourself. Most people working a regular job (for example) with clearly defined risks don't protect themselves from a much bigger risk of getting let go or not being paid timely.
You seem to understand the risks. Hopefully these few post will help others understand the risks.
I just found a new supply of forks!

Offline mmgfarb

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PSA: Don't swipe recklessly for others
« Reply #761 on: May 03, 2018, 10:29:06 AM »
POIDH
I personally know people who did multiples of that, it was ebay, not bestbuy.
"JS [is] a fetid cesspool of unvarnished linguistic manure, with lots of useless drivel and post-padding." -Moishebatchy

Offline Mordyk

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Re: PSA: Don't swipe recklessly for others
« Reply #762 on: May 03, 2018, 10:49:46 AM »
whats the average return they give you?  trying to calculate how many times you must do this until the risk goes down. for example if you get 5% eventually (after 15 times about ) even if you lose the whole deal you still break even in your pocket
#TYH

Offline mrprez27

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Re: PSA: Don't swipe recklessly for others
« Reply #763 on: May 03, 2018, 10:51:13 AM »
At the end of the day my question is is it illegal or unethical or bring any unwanted attention by a govt body?

Here are the issues people seem to be bringing up.

A. One it's difficult and not as easy as I keep saying...ok so let's assume its difficult to be playing this game - my questions still stand

B. The people could give a bounced check...this isn't swiping for others, people are bringing orders in increments of 5k or 10k and waiting for the check to clear so WORST case scenario for many they are out 5k. And if the guys don't have money but are honest he can give you the product back to return.

C. Audit...ok so IRS sees your 'moving' 100k's though you have receipts - is this legal? is it structuring? are these 'passthoughts' taxed?

D. Amex reveiw...ok worst comes to worst your card is closed.


I have two key questions:

1. What are these guys doing that they have such a backing? - when someone sells them an iPad for $499 that's on sale from $649 and they give a $10 commission - who do they sell these too...? I heard they sell it overseas and also wait for them to stop the sale and sell FBA and eBay? One this is for sure some of these deals they cant buy enough and will take as many orders as people will bring.


2. Is this is ANYWAY illegal or unethical or even slightly unkosher? Will this even cause any issues with a regulatory body?


« Last Edit: May 03, 2018, 10:55:08 AM by mrprez27 »

Offline mrprez27

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Re: PSA: Don't swipe recklessly for others
« Reply #764 on: May 03, 2018, 10:59:53 AM »
Keep in mind this is different from let's say swiping 100k for a company and they will 'pay you later'.

Most people doing this are buying many products and handing them to a guy and getting the check in hand - they are doing this in 5k-10k increments and waiting for clear.

Offline ben89

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Re: PSA: Don't swipe recklessly for others
« Reply #765 on: May 03, 2018, 11:17:36 AM »
I personally know people who did multiples of that, it was ebay, not bestbuy.
the guy was talking about Best Buy

Offline TimT

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Re: PSA: Don't swipe recklessly for others
« Reply #766 on: May 03, 2018, 11:17:54 AM »
or bring any unwanted attention by a govt body?
Which govt body are you most concerned about ?

Offline ChaimMoskowitz

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Re: PSA: Don't swipe recklessly for others
« Reply #767 on: May 03, 2018, 11:45:15 AM »
Which govt body are you most concerned about ?
Any one with three letters? There is a lot of them.  ;)
I just found a new supply of forks!

Offline LNS

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Re: PSA: Don't swipe recklessly for others
« Reply #768 on: May 03, 2018, 12:07:53 PM »
seems like everyone here is pretty educated in buying groups
any tips on how to get unblocked from best buy/staples?

Offline Iz

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Re: PSA: Don't swipe recklessly for others
« Reply #769 on: May 03, 2018, 12:19:40 PM »
seems like everyone here is pretty educated in buying groups
any tips on how to get unblocked from best buy/staples?
Seems like anyone who shares that, gets blocked from DDF.  :P

Offline LNS

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Re: PSA: Don't swipe recklessly for others
« Reply #770 on: May 03, 2018, 12:27:01 PM »
Seems like anyone who shares that, gets blocked from DDF.  :P

 :-X
i actually had an issue with a cc ( amex put misspelled name on card so didn't match order and i didn't realize ) and they needed to verify info and since then i have had a hard time with them
looks like everyone here has some work around so just looking for tips.

Offline yelped

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Re: PSA: Don't swipe recklessly for others
« Reply #771 on: May 03, 2018, 12:52:19 PM »
seems like everyone here is pretty educated in buying groups
any tips on how to get unblocked from best buy/staples?
+1 if there ever was one.

Offline Abebee

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Re: Buying Groups-Swiping
« Reply #772 on: May 03, 2018, 03:53:27 PM »
There is no way in the world that that guy got 50 MacBook orders through. POIDH
There are actually plenty of ways in this world.

Offline S209

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Re: Buying Groups-Swiping
« Reply #773 on: May 03, 2018, 04:33:04 PM »
There are actually plenty of ways in this world.
Please share. I've been completely shut down from Best Buy and eBay for ages, guest checkout to the roof but nothing doing. And I'm pretty sure buying groups are the leading form of MS these days.
Quote from: YitzyS
Quotes in a signature is annoying, as it comes across as an independent post.

Offline tzifanya54

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Re: PSA: Don't swipe recklessly for others
« Reply #774 on: May 03, 2018, 04:37:05 PM »
I had no issues before or afterward and they were proactive with the check. If they went belly up I doubt you'd take a total haircut unless they really were botching things up. But I think you'd have other clues to that well in advance. You can never totally mitigate risk. You do what you are comfortable with.

While the risks might not be clearly defined, there are clearly risks so you work to protect yourself. Most people working a regular job (for example) with clearly defined risks don't protect themselves from a much bigger risk of getting let go or not being paid timely.
Completely disagree. Risk is real, like CM said they can get screwed on their end, and they do not have unlimited funds. For that reason I try to limit the amount I give them at any one time. In the event their end user dissent pay, its very possible to take a complete haircut.

Offline mrprez27

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Re: PSA: Don't swipe recklessly for others
« Reply #775 on: May 03, 2018, 07:31:03 PM »
Guys can anyone please answer my q's. ;) ;) ;) ;) ;)

though instead of asking how not to get banned from bestbuy does ANYONE on here

A. Know if this is illegal in anyway

B. Where they are selling the products bought from the buying group

Offline mmgfarb

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Re: PSA: Don't swipe recklessly for others
« Reply #776 on: May 03, 2018, 08:20:24 PM »
Guys can anyone please answer my q's. ;) ;) ;) ;) ;)

though instead of asking how not to get banned from bestbuy does ANYONE on here

A. Know if this is illegal in anyway

B. Where they are selling the products bought from the buying group
A. No
B. Mostly overseas but who cares.
"JS [is] a fetid cesspool of unvarnished linguistic manure, with lots of useless drivel and post-padding." -Moishebatchy

Offline Eliyohu

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Re: PSA: Don't swipe recklessly for others
« Reply #777 on: May 03, 2018, 08:30:23 PM »


Guys can anyone please answer my q's. ;) ;) ;) ;) ;)

though instead of asking how not to get banned from bestbuy does ANYONE on here

A. Know if this is illegal in anyway

B. Where they are selling the products bought from the buying group

B. The smaller groups sell to the bigger groups who often sell to even bigger/established groups..., who sell to exporters who sell it overseas.. some do a little retail and some export it themselves

Offline mrprez27

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Re: PSA: Don't swipe recklessly for others
« Reply #778 on: May 04, 2018, 12:29:26 AM »
A. No
B. Mostly overseas but who cares.

A. Are you sure

B. who cares? because why just smile and make our $10 commission when there is possibly a whole other business front.

Offline mrprez27

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Re: PSA: Don't swipe recklessly for others
« Reply #779 on: May 04, 2018, 12:30:01 AM »

B. The smaller groups sell to the bigger groups who often sell to even bigger/established groups..., who sell to exporters who sell it overseas.. some do a little retail and some export it themselves

Interesting...what are they loaded onto containers and sent to China?

Why cant they just buy direct and same wholesale pricing?