Target Redbird and Manufactured spending

[Anonymous]

If I load Target Redbird with my PenFed would it  consider it as manufactured spending?
how much should I load per month without alarming PenFed?

[Anonymous]

Probably should ask those questions on FT in the redbird thread.

Yes its MS and I'd load what you're comfortable with.

[Anonymous]

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@Anonymous wrote:

Probably should ask those questions on FT in the redbird thread.

Yes its MS and I'd load what you're comfortable with.

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I disagree.

[Anonymous]

Whether or not it's MS is less important. People have reported on multiple forums that banks (especially Chase) doesn't like it and has been shutting people down for doing even small RedBird load. Not something one should try, especially with a PenFed card.

[taxi818]

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@Anonymous wrote:

Whether or not it's MS is less important. People have reported on multiple forums that banks (especially Chase) doesn't like it and has been shutting people down for doing even small RedBird load. Not something one should try, especially with a PenFed card.

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Well if you're truely gambler. Then go for it. 

[kdm31091]

Whether its MS or not its not something penfed would like. I wouldn't do it. Not worth the risk.

[sunkissed]

I don’t think it is correct to classify all uses of Target’s Redbird as MS.  First, it allows for credit card reloads.  No rules are broken.  Second, one can then use the account to pay bills or shop.  For example, I might want to use the billpay through Redbird to pay my water bill because the utility charges a fee to pay by credit card.  Or, perhaps instead of being stuck with a $300 limit on a Redcard, I’ll open a Redbird to save 5% on my Target purchases.

Now…whether one should load the Redbird with a credit card is entirely a personal decision.  Some have reported being shutdown.  Many more have been happily using their Redbird without incident.  Perhaps you would feel more comfortable making a decision after doing more research.  FlyerTalk has more threads on this topic than myfico.  You may want to start there.

[longtimelurker]

When the thread was locked I PMd the OP.  I've used Penfed cards a small amount to load redbird (about $900 on each of two Penfed cards) and spend about $1500 on each card on gift cards.  

No issue from Penfed but I would use not these cards heavily.   There really isn't a lot of experience of MS with Penfed yet, though that is likely to increase with Redbird, because of the grocery bonus.  They may be fine, or may be otherwise!   (I don't value these cards highly since the redemption values changed, but others might)

[Anonymous]

Do it then call and let them know you will forfeit the rewards. Its only fair.

[longtimelurker]

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@sunkissed wrote:

I don’t think it is correct to classify all uses of Target’s Redbird as MS.  First, it allows for credit card reloads.  No rules are broken.  Second, one can then use the account to pay bills or shop.  For example, I might want to use the billpay through Redbird to pay my water bill because the utility charges a fee to pay by credit card.  Or, perhaps instead of being stuck with a $300 limit on a Redcard, I’ll open a Redbird to save 5% on my Target purchases.

Now…whether one should load the Redbird with a credit card is entirely a personal decision.  Some have reported being shutdown.  Many more have been happily using their Redbird without incident.  Perhaps you would feel more comfortable making a decision after doing more research.  FlyerTalk has more threads on this topic than myfico.  You may want to start there.

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Redbird allows for CC loads, but your card issuer (except Amex) wasn't part of that agreement.  Similarly supermarkets allow me to buy large quantities of gift cards, but Amex objected.   So it's certainly possible that ALL uses of loading Redbird are viewed as purchasing a cash equivalent (because that is what it is).   Again, your intention doesn't matter at all: you avoiding conveninece ffes and getting 5% on a bigger purchase doesn't matter to them, the question is whether they are paying rewards on cash equivalents.

In reality, volume will matter.  If you load several redcards with the same card, and pay them off and repeat, you will probably, eventually, force attention on your account