I've seen a few rumblings out there about buying reloadable gift cards with a credit card (thus getting cc rewards) and then using those gift cards for transactions like student loans, car notes, rent, etc. that typically charge a hefty transaction fee when you use a credit card. Do any of the OT ballers do this, and would they mind explaining? To clarify, I'm not trying to pay debt with more debt, but rather just collect rewards for the transactions I complete each month regardless. I put about $350 for student loans, $2100 for rent (pay for my roommate and I who then cuts me a check for his half), & $50-100 in electric bill that doesn't take a CC. That'd be about $2500/mo or $30K/yr in mandatory payments that I could be receiving rewards on.

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Posted by hungryone

river parishes

Member since Sep 2010

11987 posts

Posted on 12/29/14 at 4:24 pm to blackoutdore

Most loan servicing companies will not accept cc or gift card payments on loans.

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Posted by Croacka

Denham Springs

Member since Dec 2008

61441 posts

Posted on 12/29/14 at 4:43 pm to blackoutdore

Maybe you can do this with a bluebird account or something like that

Others are way more knowledgeable than me about the subject

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Posted by tigeraddict

Baton Rouge

Member since Mar 2007

11783 posts

Posted on 12/29/14 at 4:55 pm to Croacka

If ur lain is through sallie Mae you can always get a Upromise credit card and earn cash back that goes to ur student loan. I earned over $500 this year.

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Posted by tigerfan4120

Member since Dec 2003

3262 posts

Posted on 12/29/14 at 5:56 pm to blackoutdore

Paying with credit cards using chargesmart for things like student loans/rent can be economical if you are trying to meet minimum spending for a 50K sign-up bonus, but not if you are just trying to get points for these transactions.

But, I'm sure there are some creative ways out there to do what you're asking.

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Posted by LSUAfro

Baton Rouge

Member since Aug 2005

12775 posts

Posted on 12/31/14 at 10:56 am to hungryone

quote:
Most loan servicing companies will not accept cc or gift card payments on loans.

Sure they will. Just not directly from their website.
You can use Evolve Money to send 1 payment per month to each lender via a GC.
https://www.evolvemoney.com/

IMO, it's a hassle to use unless you're unloading GCs to meet minimum spend requirements on cards. If you have a 5x card you're buying GCs with, it can add up over the course of a year if you're doing $1,000/month. ~$500/year. Really just depends on if you feel it's worth the hassle for the return.

American Express Serve will also allow you to unload GCs and pay certain lenders, but that's a whole different animal. You can always jump in to the big CC thread and do some reading or ask Teddy to take time out from all his travels to explain it in depth.

This post was edited on 12/31/14 at 10:58 am

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