Why do banks reward you to use your debit card?

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Mi$ta-Murda187

Mi$ta-Murda187

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#1
Nov 21, 2005
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I saw on my accont this morning that I've been getting money just to use my debit card? What the hell is this?

I use my card alot now. Cause most of the places I eat .. and my fav liqour store all accpet debit card as payment.

But why does WAMU give me rewards? And is this real money? Or just some prize bullshit? And when can I withdraw it? It's like a certain amount you have to get and then they pay you per year right?

And even so.. why the hell would they pay you to use your own card?
I just use it cause im too lazy to go and take out cash all the time..
 
azryda420

azryda420

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Jun 23, 2003
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This is why.

The more you use that card, the more that visa and mastercard charge merchants such as those restaraunts. On average a merchant pays 2 percent of the total sale to have it processed electronicly. Visa and mastercard give kickbacks to banks that promote these. When you are a business you have a merchant account through your bank. You pay fees based on the card type. That is why some places take amex and discover and some dont. They have to get alot of business with the card type to honor it for it to be profitable. A 1.29 jumbo jack is 1.29 to you. But 24 cents of that goes to j and the b's bank, not their account, but their actual bank. Thats why some places also have a minimum for purchases by credit as well as cash back limits. See where this is going.

I worked at citicards. Trust the info. Good question though.

It sounds as though you have a dividends rewards. Which is real money that usually is yours as you earn it. Call your bank number on the back of the debit card and get some info. The reps probably know a bunch about it cause that is part of their hustle, (getting people to enroll).

I have a citi diamon prefered rewards card. I spend like 500 bucks on gas or groceries and earn 5 to 1 points and get a 50 dollar gift card. good shit.

Plus My rate is only Prime which is like 8.0 percent for being an ex employee. lol

SICK!
 
The Visualizer

The Visualizer

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Jan 1, 2006
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Yea anywhere you use your card there's a middle man involved and they're getting a little chunk of everything. So for them to break you off a few cents is nothing compared to what they're getting

I got WAMU and I just took my brother in to get his checking card and they said it was a new program that started MAY 2006!! I straight up told the girl NO IT WASN'T I've been banking with you since 2004
 
Mi$ta-Murda187

Mi$ta-Murda187

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Nov 21, 2005
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LOL @ new program! Thanks for the info guys! Now it all makes sense! I knew they had to be getting money off me using it to be giving me a few cents here and there.

And that 50 dollar gift card is cool! just to buy the stuff you need! Thats a great deal. :)
 
S

STS

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Sep 12, 2002
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wells fargo also offers rewards when you use your debit and credit card. for debit card every $4 you spend, you get 1 point. For their credit card its every $1 you spend, you get 1 point. But for most people there is a fee for the reward program. But if you use your card a lot through the year then the outcome will be more then what you pay a year for it. I think for credit+debit its like 26 a year. I just got a $100 gift card from best buy from them for using it for like 6 months
 
Pak Dan

Pak Dan

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Apr 13, 2007
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does this also apply if i get one of those debit cards at longs like lets say if one is worth $100 or $50? does it only work when u go 2 places to eat or will it also work if you buy clothes online??
 
M

MKB

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Dec 19, 2002
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The thing I don't understand is bank of america does this with their DEBIT transactions and not the credit. But I think it is a way to get people to open a savings account with them so it is a whole different thing.
 
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5ive1en

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#11
May 7, 2002
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MKB said:
The thing I don't understand is bank of america does this with their DEBIT transactions and not the credit. But I think it is a way to get people to open a savings account with them so it is a whole different thing.
Click to expand...
Yup. BofA has a thing called Keep The Change, where when you use your atm card to pay, and lets say your cost is 4.53. They will round up to the nearest dollar. So you get the credit for the 47cents... and it adds up then after 6 months they deposit that amount in your account.

Its basically a promotion to open a savings account, because you have to have a savings account for this to work.
 
The Visualizer

The Visualizer

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Jan 1, 2006
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MKB said:
The thing I don't understand is bank of america does this with their DEBIT transactions and not the credit. But I think it is a way to get people to open a savings account with them so it is a whole different thing.
Click to expand...
B of A is the worst bank to do banking with. But yea it is an incentive

But I don't get how they can give you what ever cents left over. Say U pay $10.10 for something .90 cents will put in your savings. :confused:

A lot of incentives but money is infinite as long as banks have your $$ there's endless amounts. They keep more profits than you can expect

5ive1en beat me to it arg
 
1OLB4

1OLB4

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Aug 19, 2006
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THESE FUCKERS AT BANK OF AMERICA LIED TO ME. THEY TOLD ME THEY'D PAY ME TO OPEN AN ACCOUNT 60$ RIGHT SO I GO IN THERE AND SAY WHERE IS MY CHECK SHE SAYS U HAVE TO KEEP A BALANCE OF 100$ IN IT FOR SO LONG. BLA BLA BLA. WELL I DIDN'T WANT TO GET AN ACCOUT TO BEGIN WITH SO I WOULD JUST CASH MY CHECK AND TAKE IT ALL HOME AND STASH IT. I CAN'T SEEM TO GET OUT OF THAT STATE OF MIND I FEEL LIKE THEY GONNA TAKE IT OR SUM STUPID SHIT I DON'T KNOW. MAYBE I SHOULD JUST USE THE FUCKIN THING SINCE I OPENED IT.
 
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5ive1en

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May 7, 2002
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^^^ Yea... you need to keep your account open for a certain amount of time before you recieve the money. Otherwise anyone could just come in, open an account, get $25 and then close it the next day.

Usually its like 90days or so.
 
1OLB4

1OLB4

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Aug 19, 2006
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YEAH THEY SAID 25$ FOR OPENING IT THEN 35$ FOR SIGNING A FRIEND UP. BUT DO I HAVE TO KEEP A CERTAIN AMOUNT OF MONEY IN IT?
 
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5ive1en

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#17
May 7, 2002
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1OLB4 said:
YEAH THEY SAID 25$ FOR OPENING IT THEN 35$ FOR SIGNING A FRIEND UP. BUT DO I HAVE TO KEEP A CERTAIN AMOUNT OF MONEY IN IT?
Click to expand...

Depends on what kind of an account u opened. If you're a student, they should have opened up a Campus Edge account for you, which is for students, and does not require you to keep a limit... just don't go negative.. otherwise they charge you $35 for every transaction that takes place after you go below 0 balance. (that goes for any type of account, don't go negative!)


If you don't have a campus edge... most likey theres a certain limit u have to keep.... depends on the account. If you set up a direct deposit (with your employer depositing checks directly to yur checking account) the monthly fee's or limit of how much u have to keep in ur account can be avoided.
 
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