Posts: 9,750
Registered: ‎12-30-2011

Re: BCP $6000 limit

After a recent conversation with a friend of mine who claimed she spends 3-400/wk on groceries (3 teenagers, and coaches a U19 soccer team, and serves as the local gathering place for many her sons' friends hangout) I started realizing that 6% cashback on that *dwarfed* the Amex AF, so I'm not totally surprised that they cut it back.  


I vaguely remember my parents with between them, myself, and my slightly younger sister used to have 100-120/week on groceries, but how times have changed I guess.  6% of cal it 15K at the base of my friend's estimate, 900 bucks vs. what 75 AF?  Since virtually everyone I know makes at most two trips weekly to the grocery store (with many doing once a week) a total of 100 transactions I can't see covering the difference.  


Almost certainly Amex was losing too much money on the card I expect compared as people who can qualify for a BCP likely have other rewards cards to cover other segments of their spend without hitting the default category on whatever card they're using as their default.  FWIW I'm glad they simply capped it rather than airstriking the product altogether.


Starting Score: EQ 561, TU 567, EX 599* (12/30/11, EX lender pull 12/29/11)
Current Score: EQ 04 673, EQ 8 707, TU 720, EX 702* (09/02/14, EX older)
Goal Score: 700 on EQ '04 (01/01/15)

Take the myFICO Fitness Challenge
Regular Contributor
Posts: 244
Registered: ‎07-29-2012

Re: BCP $6000 limit

I hope they come up with a spending meter to know when the CAP is hit so I'll stop using it.

Cap1 QS $11500, Freedom $5000K, Slate $8000 Amex Sky $2000K, Discover IT $4400, BCE $8800, NFL $1500, Lowes $7000

Starting Score: 0
Current Score: 742
Goal Score: 800

Take the FICO Fitness Challenge
Established Contributor
Posts: 524
Registered: ‎08-24-2011

Re: BCP $6000 limit

Just found out as well from my billing statement. Sad!

This is so cheap, I didn't expect it from Amex...

SevenNEW, Garden Nerd - In the Garden until 2015!
4.2K 10K 24.6K
Valued Contributor
Posts: 2,255
Registered: ‎07-23-2012

Re: BCP $6000 limit

is this cap for the year or the month? (if its year that blows)


no offense but i couldnt spend 6k on groceries and gas in a month.

Current: Discover Fico 701 10/14 Walmart Fico 689 9/14

Inquiries (24 Months): EQ 3 TU 0 EX 0 | Most Recent: 09/26/2014

2014 Goals:
Lower Utility
Freedom Signature

Amex Zync(Unicorn)
Chase Freedom$1500
Discover IT$2900
Citi Diamond Preferred$6000
Citizens Mastercard$7000
Valued Contributor
Posts: 2,300
Registered: ‎01-22-2012

Re: BCP $6000 limit

creditnocash wrote:

is this cap for the year or the month? (if its year that blows)


no offense but i couldnt spend 6k on groceries and gas in a month.

It's per year, and it's not surprising. At 6% on groceries, they are clearly losing money on that end of things. There's no way they could make 6% off interchange fees.


The reason why they were able to offer 6% on groceries previously is because groceries is a self-limiting expense. There is only so much you can buy (and eat) in a given month. The same is true with gas in that there's only so much you can realistically drive in a month. Unless you have a business (in which case those expenses would be foreced to go into a business card) Amex knew there was a natural limit to the losses they'd take on BCP groceries. They'd then make up the difference in other ways such as other cards, annual fees, etc. This is in contrast to other areas like dining and travel, where spending can theoretically be unlimited.


With more people buying non-grocery items at grocery stores (like gift cards), they were circumventing this self-limiting structure that Amex had envisioned. Instead of taking a loss on only groceries, now they were taking that same loss on other spending categories such as department stores. The new $6,000 cap is designed to combat this.


FICOs: EX: 826, EQ: 817, TU: 810
Bank of America Privileges with Travel Rewards Visa Signature - $23,200 CL
Chase Sapphire Preferred Visa Signature - $12,700 CL
Chase United MileagePlus Club World Elite MasterCard - $26,500 CL
Citibank American Airlines Executive World Elite MasterCard - $22,500 CL
J.P. Morgan Ritz Carlton Visa Signature - $23,500 CL
Established Contributor
Posts: 905
Registered: ‎12-25-2010

Re: BCP $6000 limit

Was hoping the BCE would escape the $6,000 but I guess not...

Starting Score: TU 686 EX 641 EQ 690
Current Score: TU 779 EX 767 EQ 740
Goal Score: 800 Club

BCE $12.5K, 5/3 Sig $10K, Wally Discover 10K, Cash+ $9K Sam's Discover 10K, Freedom $6K, Zales $5.5K, More $5K, Cap one $5K, Barclay 2.5K, Household Plat $1.5K, Household Gold $1.5K, Credit One $1K, First Premier Plat $.675K First Premier Gold $.65K
Regular Contributor
Posts: 150
Registered: ‎11-05-2011

Re: BCP $6000 limit

You could look at your statements and be able to add up your grocery spend in less than 10 minutes since they say monthly how much you spend on groceries.  A meter would be great but you'd only have to look through a max of 11 statements to figure out the number.

myFICO is the consumer division of FICO. Since its introduction 20 years ago, the FICO® Score has become a global standard for measuring credit risk in the banking, mortgage, credit card, auto and retail industries. 90 of the top 100 largest U.S. financial institutions use the FICO Score to make consumer credit decisions.

>> About myFICO
FICO Score - The Score that matters
Click to Verify - This site chose VeriSign SSL for secure e-commerce and confidential communications.
Fair Isaac Corporation is a BBB Accredited Financial Service in San Rafael, CA
FOLLOW US Social Media Facebook Twitter Pinterest Google+