Trade Your Tax Rebate for a Giftcard

[robls]

Trade Your Tax Rebate for a Giftcard | AllFinancialMatters
Did you know that many retailers are offering 10% bonuses to people who use their tax rebates to purchase store giftcards? So if you give Sears your $600 refund, for instance, they’ll hand you a $660 Sears gift card to spend.
Some of the retailers offering these offers include Kroger, Sears, K-Mart, and Lands End. Wal-Mart is expected to announce a similar plan within days. Some stores (Kroger) will give you change if you only want to use part of your rebate, while others (Sears) require your whole rebate to qualify for the deal.
Liz Pulliam Westin’s Yahoo! Finance article on the subject urges consumers to say “no” to these offers, but it has convinced me to consider the offers instead.
Even if you are planning to save your rebate, you can still take advantage of these offers. You have to buy groceries anyway, for instance, so let’s say your grocery budget is $150 per month (as mine is). I could use my $600 rebate to buy a Kroger gift card, use the gift card for groceries for the next 4.4 months, and put the $150/mo I would be spending on groceries during that time into my savings account.
So I can get a 10% return on my rebate and effectively save it anyway!

 

[HFWR]

Pretty slick, but my rebate will be direct-deposited. I wonder if there is a way to [-]game the system[/-] take advantage of this offer without presenting a paper check?

 

[d]

i've read that they (grocery stores) can/will handle direct-deposit ... apparently need to show the deposit from your bank statement unless the IRS sends some sort of confirmation. further, if you pay for the gift card with a cash-rewards credit card, you should then get an additional "bonus". assuming this works, that will be 15% for me ... certainly worth the effort.

 

[robls]

i've read that they can/will handle direct-deposit ... apparently need to show the deposit from your bank statement unless the IRS sends some sort of confirmation. further, if you pay for the gift card with a cash-rewards credit card, you should then get an additional "bonus". assuming this works, that will be 15% for me ... certainly worth the effort.

From my reading on the subject, you will have to have your bank statement showing that the money was deposited into your account to receive the offer. d beat me too it.

 

[FUEGO]

Hey, if walmart is offering 5-10% extra, I'd definitely put my $1800 rebate check on a gift card. We blow through that amount easily in 3-4 months!

 

[maddythebeagle]

Pretty slick, but my rebate will be direct-deposited. I wonder if there is a way to [-]game the system[/-] take advantage of this offer without presenting a paper check?

good question...Economic Stimulus Deals

has a thread and looks like some are allowing people to use credit/debit cards (for rewards) to buy gift cards since some wont get the checks for awhile and some wont get checks (direct deposit)....

I would be interested if more of the premium retailers or local grocery stores offered deals...I have no problem using gift cards at places that I am going to shop at anyway...

D also beat me to it 5% cash back at grocery plus 10% is worth the effort...

 

[W2R]

Hey, if walmart is offering 5-10% extra, I'd definitely put my $1800 rebate check on a gift card. We blow through that amount easily in 3-4 months!

Wow! That's a lot of walmart shopping.

I spend a lot on (presumably high quality, healthy) food, and would certainly buy a card if one were offered at a good local grocery store. Maybe it would be mentioned on their websites.

 

[FUEGO]

Wow! That's a lot of walmart shopping.

I spend a lot on (presumably high quality, healthy) food, and would certainly buy a card if one were offered at a good local grocery store. Maybe it would be mentioned on their websites.

I buy a lot of presumably high quality, healthy food, too. I just get it for cheap at Walmart. It isn't cheap providing for a family of 4 with one still in diapers. But we do essentially all of the weekly shopping at Walmart, so at least we are saving some money and time due to the convenience.

 

[CCdaCE]

Menards was/is offering a bonus. I think it was 5%. Had to use your whole rebate ($600).

-CC

 

[retire@40]

Pretty slick, but my rebate will be direct-deposited. I wonder if there is a way to [-]game the system[/-] take advantage of this offer without presenting a paper check?

I'm sure if you asked for one of those $660 gift cards for $600 in cash they would oblige, especially if you got a store manager involved. In fact, you might even be able to get more than one of those cards.

These stores pump up their retail price so much that even with a 10% discount they are making a huge profit.

 

[OAG]

The direct deposit is currently shown as "04/29/08 220 US Treasury Tax Rebate $1,200.00". So all I have to do is take a copy of the monthly statement to Kroger and get a $1,320 Kroger gift card on my PENFED VISA card with a charge of $1,200.00 and then qualify for an additional 2% Cash rebate from PENFED ($24). Sounds like $144.00 of free money. I wonder if there will be an additional gasoline discount (Kroger does this here for monthly purchases) for spending $1,200 for the gift card. I definitely will be stopping by the Customer Service Desk at Kroger next chance I get.

 

[W2R]

I buy a lot of presumably high quality, healthy food, too. I just get it for cheap at Walmart. It isn't cheap providing for a family of 4 with one still in diapers. But we do essentially all of the weekly shopping at Walmart, so at least we are saving some money and time due to the convenience.

Oh!! GREAT idea. I must be 3/4 asleep because I wasn't thinking of the possibilities for groceries! Thanks. That's a really good idea, especially because I checked a couple of local grocery stores' websites for a similar deal, and didn't have any luck.

I was just over at Best Buy a minute ago on my lunch break, and they apparently aren't going to have a deal like this either. At least there were no signs or indications of it.

 

[Art G]

Great strategy from the stores, and great idea for us to take advantage of. Win-win.

 

[al_bundy]

Oh!! GREAT idea. I must be 3/4 asleep because I wasn't thinking of the possibilities for groceries! Thanks. That's a really good idea, especially because I checked a couple of local grocery stores' websites for a similar deal, and didn't have any luck.

I was just over at Best Buy a minute ago on my lunch break, and they apparently aren't going to have a deal like this either. At least there were no signs or indications of it.

i don't have a wal mart grocery store close by but they are making a big push into organic food. my mom who shops at Sams and Whole Foods says you have to compare. a lot of things at Whole Foods are cheaper than at Sam's/Wal Mart

 

[ziggy29]

Now THAT is good capitalism.

 

[W2R]

i don't have a wal mart grocery store close by but they are making a big push into organic food. my mom who shops at Sams and Whole Foods says you have to compare. a lot of things at Whole Foods are cheaper than at Sam's/Wal Mart

Wow!! I haven't been shopping for food at our superwalmart in a long time, so I had no idea. Very interesting to know that they are moving towards organic food and higher prices.

 

[Dave J]

I did exactly as OP suggested at noon today at my local Kroger before reading this thread. I did not need to show proof of rebate, (which I have not received yet.It will be direct deposited) and I used a reward credit card that gives me 5% back. Heck of a deal.15% off and I shop there every week anyway! Had to buy in $300 increments and they told me I was the first to do this today. Their ad came in the morning paper.I bought the full $1200 worth. Had to have the Kroger customer card, which I did anyway. I "think" that is how they limit it to $1200 per person.

 

[Johnphx]

I did exactly as OP suggested at noon today at my local Kroger before reading this thread. I did not need to show proof of rebate, (which I have not received yet.It will be direct deposited) and I used a reward credit card that gives me 5% back. Heck of a deal.15% off and I shop there every week anyway! Had to buy in $300 increments and they told me I was the first to do this today. Their ad came in the morning paper.I bought the full $1200 worth. Had to have the Kroger customer card, which I did anyway. I "think" that is how they limit it to $1200 per person.

Outstanding, we shop at the Fry's (owned by Kroger) every Sat and I should get my rebate this week. I can go pick up $1200 worth of cards and look forward to the savings, plus the additional CC rebate, plus the gas discount.

Kroger's wins because you guarantee them $1200 worth of spending, and we all win because we were going to spend that money anyways and now we get a very handsome return on that money.

 

[retire@40]

Outstanding, we shop at the Fry's (owned by Kroger) every Sat and I should get my rebate this week. I can go pick up $1200 worth of cards and look forward to the savings, plus the additional CC rebate, plus the gas discount.

Kroger's wins because you guarantee them $1200 worth of spending, and we all win because we were going to spend that money anyways and now we get a very handsome return on that money.

...meanwhile, the national debt keeps piling up.

 

[BigBob]

The direct deposit is currently shown as "04/29/08 220 US Treasury Tax Rebate $1,200.00". So all I have to do is take a copy of the monthly statement to Kroger and get a $1,320 Kroger gift card on my PENFED VISA card with a charge of $1,200.00 and then qualify for an additional 2% Cash rebate from PENFED ($24). Sounds like $144.00 of free money. I wonder if there will be an additional gasoline discount (Kroger does this here for monthly purchases) for spending $1,200 for the gift card. I definitely will be stopping by the Customer Service Desk at Kroger next chance I get.

Then make a second copy of the monthly statement and take it to WalMart and get a WalMart gift card. Hmmm... wonder how many times you can "reuse" this rebate?

 

[OAG]

I did go back and read the fine print on Kroger's gift cards versus the Gas Option - According to what I read it states they do not do the Gas credits on Gift Card Purchases, darn, but still a good deal. As I was out on my walk this morning the multiple discounts at various stores dawned on me. Waiting for the CC to roll past the closing date for current month purchases (2d of the Month) and then will head out with trusty Cash Rebate VISA Card. Wonder how many of these $1,200 charges it will take before VISA says "Whats up with this guy".

 

[DownPuppy]

Hey folks - keep in mind this rebate was intended to boost our economy. By making purchases from Walmart, we will be boosting China's economy. It seems about 80% of everything sold there is from China. Even though Grocery stores import foods as well, at least many of their products come from the states.

In order for the economy boost to work, we really should be purchasing from local and small chains.

 

[retire@40]

Hey folks - keep in mind this rebate was intended to boost our economy. By making purchases from Walmart, we will be boosting China's economy. It seems about 80% of everything sold there is from China. Even though Grocery stores import foods as well, at least many of their products come from the states.

In order for the economy boost to work, we really should be purchasing from local and small chains.

Keep in mind, this was my money to begin with, not the government's money.

They are giving it back to me since they can go on without it.

My money goes in my bank account. I don't have to spend it.

 

[ziggy29]

Hey folks - keep in mind this rebate was intended to boost our economy. By making purchases from Walmart, we will be boosting China's economy. It seems about 80% of everything sold there is from China.

I've been saying this from the beginning, as has none other than Jesse Jackson, with whom I rarely agree.

I believe a "stimulus" package would have been better spent on a $150 billion infrastructure package. That would have put almost all of that stimulus to work in the U.S. economy rather than stimulating China's economy (and by extension, their ability to fund more oil purchases and push oil/gas prices even higher).

I don't believe there should be any moral strings attached to these rebates; I just think that the government screwed the pooch in terms of what they did for stimulus. This was buying votes more than boosting the economy.