Discover It - grocery cashback options?

[Anonymous]

So yeah, I am still in my first year with Disco so I don’t really want to leave $150 on the table but I don’t have $1500 worth of groceries in a quarter, I’m going wild if I break $600, do they frown on gift card purchases to get your spend? 

I really don’t see any other way I can get my spend as my roommates provide most of the  household stuff but I also don’t want to break any rules along the way. I was thinking about getting $100 gift cards for Amazon when I go shopping... I’ll end up with a huge balance for Amazon (I already have $650 from capping my 5% spend this quarter but Discover specifically says that’s allowed in the terms for Amazon cash back) but I can spend money quick when I want a new TV anyway. 

[Anonymous]

Yes, Discover is fine with GC purchases but the most important element often not discussed in rewards chasing, do not fall into the trap of spending more than what you otherwise would have, this is one of the ways they get you.

[Anonymous]

I am still 0% until June on that card and my cashback match payout is 3/21 so this is my last chance to double my rewards so I figured I would go for it. 

I definitely wouldn’t do it if it wasn’t 0% or the card didn’t have a limit that could buffer it sufficiently especially since I’m working on my BBVA $100 for $1500 SUB as well but at $7500 limit, $1500 is only 20% utilization. 

So much Amazon though... I’ll have to think about it. Thanks for the info, I just didn’t want to violate some rule somewhere since only Amazon says gift cards in the fine print. 

Also my Disco is unlikely to get usage until 4Q after this anyway because the other categories don’t do much for someone who’s home bound with agoraphobia and my cashRewards’ ongoing 1.5% is better than Disco offers too. 

[Anonymous]

Well, you can do GC just the same for 2nd quarter gas stations, Discover counts convenient store purchases attached to gas stations, you won't get cashback match but it's still 5%.

[kdm31091]

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@Anonymous wrote:
Yes, Discover is fine with GC purchases but the most important element often not discussed in rewards chasing, do not fall into the trap of spending more than what you otherwise would have, this is one of the ways they get you.

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I would agree. There's no rule that has you have to spend up to the cap or something! I know it feels like leaving money on the table, but you're saving so much more by not forcing spend. Even with double rewards, you save 100% by not spending money you don't need to spend to begin with.

Personally I just utilize the categories for my actual spend and I find the gift card thing a hassle (keeping track of various GC balances, etc). I mean, yes, it's a savings, but it's only $5 for every $100, so nothing to go too crazy about IMO. Keep things in perspective.

[Anonymous]

@Anonymous wrote:
Well, you can do GC just the same for 2nd quarter gas stations, Discover counts convenient store purchases attached to gas stations, you won't get cashback match but it's still 5%.

I am unable to actually go to the store myself, I have a personal care assistant that does that for me but they are only allowed to go to the grocery store (although sometimes they bend the rules and get me fast food if I ask). 

I probably won’t do it because it does seem like an added hassle and any extra balance on Amazon would likely not be used if I were to make a big purchase anyway because I would rather get the cashback, especially for something like a TV, so I guess I’ll just loosen up my normally very tight $150 a month grocery budget and stock up on frozen and canned stuff I enjoy. 

[Anonymous]

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@kdm31091 wrote:

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@Anonymous wrote:
Yes, Discover is fine with GC purchases but the most important element often not discussed in rewards chasing, do not fall into the trap of spending more than what you otherwise would have, this is one of the ways they get you.

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I would agree. There's no rule that has you have to spend up to the cap or something! I know it feels like leaving money on the table, but you're saving so much more by not forcing spend. Even with double rewards, you save 100% by not spending money you don't need to spend to begin with.

Personally I just utilize the categories for my actual spend and I find the gift card thing a hassle (keeping track of various GC balances, etc). I mean, yes, it's a savings, but it's only $5 for every $100, so nothing to go too crazy about IMO. Keep things in perspective.

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To be fair, Amazon gift cards you just redeem on your Amazon account and they just pile up your Amazon.com gift card balance so they’re not really a big hassle but point well taken. I’ll just get my SUB from BBVA and wait and see if there’s an offer for a BT from Navy so I can get rid of this personal loan that’s costing me 18.99% right now. I always forget about that thing and it’s definitely costing me more in interest than I’m gaining in cash back on my cards. 

[Anonymous]

Depending on your grocery store, that might well be other types of gift cards that could be useful, depending on where else you buy things.  Mine have stuff ranging from clothing (such as GAP), chain restaurants, gas, cell phone topups, home improvement (Lowes, Home Depot), sporting goods (REI), crap (build-a-bear etc) as well as Amazon etc.

So bearing in mind KDMs comment about not overspending, if there is something that you will use soon, it CAN be worth it.

But 5% is only 3% more than you would get with a standard 2% card, so it's not all that imperative to spend it all!

[Anonymous]

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@Anonymous wrote:

Depending on your grocery store, that might well be other types of gift cards that could be useful, depending on where else you buy things.  Mine have stuff ranging from clothing (such as GAP), chain restaurants, gas, cell phone topups, home improvement (Lowes, Home Depot), sporting goods (REI), crap (build-a-bear etc) as well as Amazon etc.

So bearing in mind KDMs comment about not overspending, if there is something that you will use soon, it CAN be worth it.

But 5% is only 3% more than you would get with a standard 2% card, so it's not all that imperative to spend it all!

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Yeah it’s King Soopers (Kroger) - they have tons and tons of different GCs but really outside of Amazon, I don’t buy much anyway. I don’t eat out often because I won’t pay delivery charges and I can’t do normal things like go to see a movie so all that is out too. And Amazon cards are just easy to redeem to boot. 

[Anonymous]

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@Anonymous wrote:

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@Anonymous wrote:

Depending on your grocery store, that might well be other types of gift cards that could be useful, depending on where else you buy things.  Mine have stuff ranging from clothing (such as GAP), chain restaurants, gas, cell phone topups, home improvement (Lowes, Home Depot), sporting goods (REI), crap (build-a-bear etc) as well as Amazon etc.

So bearing in mind KDMs comment about not overspending, if there is something that you will use soon, it CAN be worth it.

But 5% is only 3% more than you would get with a standard 2% card, so it's not all that imperative to spend it all!

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Yeah it’s King Soopers (Kroger) - they have tons and tons of different GCs but really outside of Amazon, I don’t buy much anyway. I don’t eat out often because I won’t pay delivery charges and I can’t do normal things like go to see a movie so all that is out too. And Amazon cards are just easy to redeem to boot. 

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Makes sense.   The only issue with Amazon is that there are cards (for Prime members) that get 5% on Amazon anyway, so giftcards aren't really saving.   But if you don't have such cards, then this strategy is as good as any

ETA: forgot you were in the first year with discover, so its 10%, which is worth it!