4% Cashback Anywhere | Credit card reward programs | Discussion forum

Please consider registering
guest

sp_LogInOut Log In sp_Registration Register

Register | Lost password?
Advanced Search

— Forum Scope —




— Match —





— Forum Options —





Minimum search word length is 3 characters - maximum search word length is 84 characters

No permission to create posts
sp_Feed Topic RSS sp_TopicIcon
4% Cashback Anywhere
February 26, 2020
9:36 am
Top Dogg
Member
Members
Forum Posts: 10
Member Since:
October 4, 2018
sp_UserOfflineSmall Offline

Hi,

Does anyone know of a 4% cashback credit card that you can use anywhere to receive 4% cashback and not just for gas, groceries, etc.?

Just thought I'd put this out there.

Thanks,
Top Dogg

February 26, 2020
9:53 am
lhsaid
Member
Members
Forum Posts: 56
Member Since:
May 22, 2015
sp_UserOfflineSmall Offline

I'd expect everyone to cancel all other cards and jump on it if there is such card !!! I don't think there is one unless it has a large annual fee.

February 26, 2020
12:35 pm
pooreva
Member
Members
Forum Posts: 111
Member Since:
April 2, 2018
sp_UserOnlineSmall Online

No such thing or all other cards will cease to exist...

February 26, 2020
4:36 pm
Dean
Slocan Valley, West Kootenays, BC.
Member
Members
Forum Posts: 349
Member Since:
January 12, 2019
sp_UserOfflineSmall Offline

Top Dogg said

Hi,

Does anyone know of a 4% cashback credit card that you can use anywhere to receive 4% cashback and not just for gas, groceries, etc.?

Just thought I'd put this out there.

Thanks,
Top Dogg  

Not on this planet❗

Thanks for the chuckle. sf-laugh

sf-cool " Live Long And Prosper " sf-cool

February 26, 2020
5:12 pm
Norman1
Member
Members
Forum Posts: 3227
Member Since:
April 6, 2013
sp_UserOfflineSmall Offline

4% cashback, no qualifications, is not sustainable because the interchange that the card issuer receives is nowhere near 4%.

For a top-of-the-line Visa Infinite Privilege card, the interchange for an electronic transaction is 2.08%. That can drop to just 1.95% for gas stations and groceries stores. It will be just 75¢ for a utilities payment.

As lhsaid mentioned, unless there is a large annual fee, the card issuer will lose money with an across-the-board 4% cashback.

Even an 1% cashback on everything can be challenging. For a Classic, Gold, or Platinum Visa card, the interchange for an electronic charge is 1.25%. That drops to 1.07% for gas stations and 1% for grocery stores. That drops further to 0.98% for charities.

February 26, 2020
6:56 pm
Loonie
Member
Members
Forum Posts: 6196
Member Since:
October 21, 2013
sp_UserOfflineSmall Offline

The viability of such a card would depend not just on the interchange but on the amount of interest they collect on late payments and cash advances minus defaults.
If you could figure out the demographic that is typically late with payments, is a heavy user of the card, and can be relied up on to pay up, you could offer them more cashback and still be well ahead!
But if I am your customer, you will be stuck with just the interchange.
In the US, they seem to have much better CC deals, which apparently they find profitable to operate

February 28, 2020
5:41 pm
Peter
Admin
Forum Posts: 1138
Member Since:
May 15, 2007
sp_UserOfflineSmall Offline

I've seen promos for the main cash back cards for TD, BMO, and Scotiabank offering 5-10% back on all purchases for the first few months, but certainly not beyond that, and only up to a certain amount of total purchases.

February 28, 2020
7:46 pm
Save2Retire@55
Member
Members
Forum Posts: 709
Member Since:
January 3, 2013
sp_UserOfflineSmall Offline

TD Cash Back Visa Infinite - 10% on everything first 3 months up to $2K in purchases, then 3% for Gas / Grocery cashback and 1% on everything else. Also $120 in fees after the first year so not exactly what you asked as it doesn't exist.

February 29, 2020
12:42 am
User230
Member
Members
Forum Posts: 152
Member Since:
December 4, 2016
sp_UserOfflineSmall Offline

https://www.scotiabank.com/ca/en/personal/credit-cards/visa/gm-card.html

GMC Visa is 5% on the first 5000 dollars and 2% after that.

The catch is you have to use the points on buying a car from GMC. I would not get this card for this reason. It is no fee though.

The Simplii card gives 4% on restaurants up to 5000 dollars a year. I think redeeming is yearly as a statement credit.

Tangerine World gives 2% for 3 categories with monthly redemption.
Rogers Infinite card gives 1.5% flat. Redeem when get to 20 dollars.

If you're willing to have a fee based card. Which i am not. The AMEX cobalt is 5% on restaurants.

It is likely most of these cards will be downgraded soon. Due to lower interchange fees.

February 29, 2020
4:46 am
Loonie
Member
Members
Forum Posts: 6196
Member Since:
October 21, 2013
sp_UserOfflineSmall Offline

I did not know that Simplii gives 4% on restaurant as I don't deal with them.

Do you know if this rate applies to restaurants outside the country? It could compensate for the Forex if so and still give sa healthy return.

Thanks for the tip. Might have to look into that as I'm sure we spend 5K on CCs in restaurants, although a few of them don't take credit cards of any kind.
sf-smile

February 29, 2020
7:18 am
Norman1
Member
Members
Forum Posts: 3227
Member Since:
April 6, 2013
sp_UserOfflineSmall Offline

There doesn't seem to be any distinction between foreign restaurant purchases and domestic ones. It is just the merchant category.

This is the fine print from footnote #1 of the Simplii Financial Cash Back Visa product page:

1 Cash back is earned on net card purchases (purchases less returns) when your account is open and in good standing and not on cash advances, interest, fees, balance transfers, payments or Convenience Cheques. Cash back is calculated as follows: Earn 4% on the first $5,000 in net annual card purchases on restaurant, bar and coffee shop purchases, which currently include merchants classified as Eating Places and Restaurants; Drinking Places (Alcoholic Beverages) - Bars, Taverns, Nightclubs, Cocktail Lounges, and Discotheques; Fast Food Restaurants; or Caterers. Earn 1.5% on the first $15,000 in net annual card purchases on gas, grocery and drugstore purchases and pre-authorized payments. Gas, grocery and drugstore purchases currently include merchants classified as Service Stations (with or without Ancillary Services); Automated Fuel Dispensers; Grocery Stores and Supermarkets; Drugs, Drug Proprietaries, and Druggist's Sundries; or Drugstores and Pharmacies. Pre-authorized payments are payments made on a monthly or other regular basis, which are automatically billed by the merchant to your Account. Earn 0.5% on all other net annual card purchases, including those in the categories above when the $5,000 and $15,000 limits are exceeded. If a transaction could fit under more than one cash back category, you will be awarded the cash back of the higher category, subject to the $5,000 and $15,000 limits. Merchants are classified by the credit card network and the network may change the names of classifications or change the classification of merchants at any time. Simplii Financial is not responsible for merchant classification. The $5,000 and $15,000 limits will reset to zero after the day your December statement is issued. Changes to terms, conditions and eligible merchant categories may occur at any time without notice. We may cancel the cash back program on 60 days’ notice. Credit for returns made on your Account may result in a deduction of cash back at a higher earn rate, even though the return may relate to a purchase that earned cash back at a lower rate.

Currently, there is a welcome promo of 10% back on $500 of restaurant spend in the first four months.

February 29, 2020
7:43 am
Bill
Member
Members
Forum Posts: 1906
Member Since:
September 11, 2013
sp_UserOfflineSmall Offline

I use my Simplii card strictly for restaurants. When I can I even get Tim's, etc to break my bill into two transactions if needed to stay under the $4 so I don't pay the 8% tax in Ontario, that's how cheap I am.

February 29, 2020
12:20 pm
JenE
Member
Members
Forum Posts: 277
Member Since:
May 24, 2016
sp_UserOfflineSmall Offline

Bill, are you saying that restaurant bills under $4 in Ontario shouldn’t have tax on them? If so, I wasn’t aware of this, so good to know, thanks.

February 29, 2020
12:56 pm
krwilson
Member
Members
Forum Posts: 107
Member Since:
March 15, 2019
sp_UserOfflineSmall Offline

JenE said
Bill, are you saying that restaurant bills under $4 in Ontario shouldn’t have tax on them? If so, I wasn’t aware of this, so good to know, thanks.  

Here is some confusing reading....but mostly if you keep under $4 you only pay the federal 5%, not the provincial 8%. This is for Ontario.

https://www.canada.ca/en/revenue-agency/services/forms-publications/publications/gi-064/harmonized-sales-tax-ontario-point-sale-rebate-on-prepared-food-beverages.html

February 29, 2020
2:24 pm
Bill
Member
Members
Forum Posts: 1906
Member Since:
September 11, 2013
sp_UserOfflineSmall Offline

That's right, so when my wife and I want something at Tim's, etc totalling under $4 each we order separately. I instituted that practice as soon as our courting days were over, had been burning me up inside. She won't admit it but she thinks I'm very smart for coming up with this tactic.

February 29, 2020
3:10 pm
semi-retired
Member
Members
Forum Posts: 156
Member Since:
April 15, 2015
sp_UserOfflineSmall Offline

I have been doing this for many many years & it drives the wife crazy.She doesn't seen to mind the month of March in Siesta Key Fl. Lol

February 29, 2020
4:21 pm
Bill
Member
Members
Forum Posts: 1906
Member Since:
September 11, 2013
sp_UserOfflineSmall Offline

Here's the wording from the Ontario gov't site: "Qualifying prepared food and beverages that are ready for immediate consumption and are sold for a total price (for all qualifying items purchased, excluding HST) of not more than $4.00."

So appears 8% tax starts at $4.01 price. And doesn't have to be in a restaurant, here's an example from an Ontario gov't Tax Tip sheet:
"After working late one night, Andrew stops by his local grocery store on his way home to pick up a few items, including a few loaves of bread, cat litter and a roast beef sandwich for $2.50 and a 350mL bottle of apple juice for $1.00. For the purposes of determining if Andrew will be eligible for the Ontario HST point-of-sale rebate on the sandwich and apple juice, the grocery store ignores the bread and cat litter in calculating the $4.00 threshold. Since the sandwich plus the apple juice are sold for a total of $4.00 or less, the grocery store will automatically provide Andrew with the point-of-sale rebate, crediting the Ontario component of the HST and only collecting the five per cent federal component of HST on the sandwich and apple juice." Key is it's prepared and suitable for immediate consumption, wherever it's purchased.

February 29, 2020
4:34 pm
Loonie
Member
Members
Forum Posts: 6196
Member Since:
October 21, 2013
sp_UserOfflineSmall Offline

Thanks, Norman, for ferreting out the fine print.
Does anyone have any experience of actually getting the 4% on restaurants in other countries? Just wondering how universal the codes are.

I was aware of the $4 thing. It's been in place since day one but limit should be increased for inflation. It was originally intended that you should be able to buy a decent basic meal without that tax, A quaint thought.

February 29, 2020
7:34 pm
Briguy
Member
Members
Forum Posts: 505
Member Since:
March 17, 2018
sp_UserOfflineSmall Offline

One way you could earn about 5% in rewards (with highest payout if used in AMEX travel booking) is to get an AMEX Cobalt credit card through Great Canadian Rebates site which gives you 100.00 bonus, and then use it to buy gift cards at Sobeys or Longos or Food Basics or groceries there, or at restaurants to earn 5X points. It's a bit complicated and I never bothered, but you might want to give it a try. It's explained pretty well at credit card genius https://creditcardgenius.ca/cards/american-express-cobalt

and there's a huge thread on it on RFD
https://forums.redflagdeals.com/american-express-cobalt-amexcobalt-2127692/

Another way would be to churn credit cards for their bonus offers.

February 29, 2020
11:10 pm
Norman1
Member
Members
Forum Posts: 3227
Member Since:
April 6, 2013
sp_UserOfflineSmall Offline

Loonie said
Thanks, Norman, for ferreting out the fine print.
Does anyone have any experience of actually getting the 4% on restaurants in other countries? Just wondering how universal the codes are.

Someone who has used their Home Trust Visa card at a restaurant in another country can also check.

The merchant category code of Home Trust Visa card transactions is shown in the transaction details on the Home Trust Visa online site.

No permission to create posts

Please write your comments in the forum.