What keeps people from doing this?

[09Lexie]

Stay on topic, please. 

[Anonymous]

Unless Amex charge has a pin number like a bank card most stores will not accept and some stores no longer even allow debit cards to be used. Here in New Jersey Walmart and USPS both allow you to use your debit card, but that can get complicated because of daily spending limits. Also no store allows money orders either over 1k or like $1050. The only store that comes to mind that may allow something like that is Kmart. 

[taxi818]

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@keithB wrote:

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Come on. Not again lmao.  

[taxi818]

No. You can pay with. Debit card. That you thought was another credit card.  

[Anonymous]

maybe amex serve? I think that is a debit card.

[killer_queen229]

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@Anonymous wrote:

maybe amex serve? I think that is a debit card.

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Amex serve is a reloadable prepaid card from what I remember.

[trumpet-205]

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@Anonymous wrote:

maybe amex serve? I think that is a debit card.

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It is a prepaid card. When merchant processes Serve it will be treated as a credit card.

[sexy_kitten7]

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@FixMyCredit1992 wrote:

Oddly enough, I noticed in line at the local store, someone bought a money order, and pulled out their amex.

This store takes credit cards for money orders, which is odd as many don't.

CC's charge a ton for cash advances, and interest usually starts the second you do it.

So what keeps someone from buying a $2,000 money order, cashing it at their bank, PIF before the due date, and essentially giving themselves a 20-30 day interest free loan?

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You answered your own question.

If this was coded as a CA, then interest would accrue immediately with no grace period.

The cardholder would be "giving themselves a 20-30 day 25% interest free loan!"

The odds of this being classed as a purchase are slim to none, IMO.

[longtimelurker]

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@sexy_kitten7 wrote:

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@FixMyCredit1992 wrote:

Oddly enough, I noticed in line at the local store, someone bought a money order, and pulled out their amex.

This store takes credit cards for money orders, which is odd as many don't.

CC's charge a ton for cash advances, and interest usually starts the second you do it.

So what keeps someone from buying a $2,000 money order, cashing it at their bank, PIF before the due date, and essentially giving themselves a 20-30 day interest free loan?

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You answered your own question.

If this was coded as a CA, then interest would accrue immediately with no grace period.

The cardholder would be "giving themselves a 20-30 day 25% interest free loan!"

The odds of this being classed as a purchase are slim to none, IMO.

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It depends on where it is bought.   If it is at a grocery store then it will appear to be a purchase.   Again, despite what people think of the OPs track record, there ARE some stores in some areas where this is possible.   They may charge a $2 fee per $500 MO, but that is cheaper than many alternatives as it avoids gift card fees.