Did anyone do this?

[Zuzu03]

Hi everyone! I just heard about this from my husband and was floored at the ingenuity of people! I just love it!!! Here's what they did:
The US mint is selling $1.00 presidential coins to get them into circulation. So people started buying them using their rewards cards (flight miles, etc) in the THOUSANDS with free shipping, no less, then taking them right to their banks, depositing them and immediately paying off their credit cards to then repeat the cycle. Evidently, people were flying all over the world, getting cash back on some credit cards and of course, Disney dollars!!! So the US mint put the kabosh on it and now you can't use your credit/debit card to order them as of July 22nd. The US mint says it's an abuse of the system and at first I was like, "What's it to them?" but then I thought about it and thought, "Oh wait, shipping for thousands of coins must have cost a fortune to the taxpayers." So I guess I get why the govt squashed it. I am curious, though, did anyone here get to do it before the change in their policy? And, if so, how many points/miles or whatever were you able to rack up?

 

[Halbleib1]

Hi everyone! I just heard about this from my husband and was floored at the ingenuity of people! I just love it!!! Here's what they did:
The US mint is selling $1.00 presidential coins to get them into circulation. So people started buying them using their rewards cards (flight miles, etc) in the THOUSANDS with free shipping, no less, then taking them right to their banks, depositing them and immediately paying off their credit cards to then repeat the cycle. Evidently, people were flying all over the world, getting cash back on some credit cards and of course, Disney dollars!!! So the US mint put the kabosh on it and now you can't use your credit/debit card to order them as of July 22nd. The US mint says it's an abuse of the system and at first I was like, "What's it to them?" but then I thought about it and thought, "Oh wait, shipping for thousands of coins must have cost a fortune to the taxpayers." So I guess I get why the govt squashed it. I am curious, though, did anyone here get to do it before the change in their policy? And, if so, how many points/miles or whatever were you able to rack up?

I don't see how free shipping was the problem because I am sure they have some sort of limit as to how many coins they want in circulation. Whatever that limit is the shipping was going to cost taxpayers no matter how people paid for them. For example: if they have a limit of 10,000 coins than it would not matter if one person bought all 10,000 or if a bunch of people bought them they were still going to offer the free shipping on those 10,000. More than likely the real reason they stopped this is because the banks were getting upset about it and complaining to the govt. as it was costing them money instead of making money for them. Although the banks could have charged a cash advance fee to those using credit cards since technically the people were getting cash with them.

This is what the mint says on the matter:

Circulating $1 Coin Direct Ship Rolls


The United States Mint has eliminated the credit and debit card purchase of $1 Coins through its Direct Ship Program effective July 22, 2011. Customers who wish to purchase $1 coins through the Direct Ship Program can still do so by wire transfer, check, or money order. Customers who wish to purchase the coins by wire transfer may fax their order to: (202) 756-6585. Customers interested in purchasing by check or money order may do so by writing to:

United States Mint
PO Box 71192
Philadelphia, PA 19176-6192
Please download the order form and follow the instructions provided on the form. (Order Form).

The Mint has determined that this policy change is prudent due to ongoing activity by individuals purchasing $1 coins with credit cards, accumulating frequent flyer miles, and then returning coins to local banks. Local banks, in turn, returned coins to the Federal Reserve. While not illegal, this activity was a clear abuse and misuse of the program. The Mint has undertaken several aggressive internal and external actions to mitigate this issue, including restricting chronic and repeated use of credit cards, contacting customers who frequently placed large numbers of orders to ensure they were using the coins for legitimate business purchases, and other measures. While these measures eliminated a significant amount of misuse in the program, we believe some abuse still exists. Eliminating the credit and debit card purchase of the $1 coin is the next step in our efforts to root out abuse in this program and ensure it is better targeted toward fulfilling its intended purpose—which is to get the $1 Coin into greater circulation.Thank you for your understanding and your continued support of the $1 coin program.

The United States Mint

 

[lizabu]

A couple weeks ago there was a thread on this board about this. I tried to find it but couldn't. It looked like a bit of a debate of people who thought it was ok to those who did not if I recall correctly.

 

[LoveBWVVBR]

That sounds like a lot of work, LOL! Seriously, how heavy would 10K coins be? You'd have to go to the bank with a suitcase full of coins...not worth it to me, but whatever!

 

[Shelly F - Ohio]

Not to mention any banking transactions 10K or over must be report to the government. The government does this to track down money laundrying.

 

[holycow]

I think it sounds Brilliant!

shame they squashed it. I say more power to them for figuring a way to get more from their $.

 

[Zuzu03]

Yeah! That must be sooooo heavy! I know when we bring our little mayonnaise jars full of coins to the bank to change, that's heavy enough! Can't imagine carrying $10,000 in coins! hahahahah!

 

[Hendrick]

Yeah! That must be sooooo heavy! I know when we bring our little mayonnaise jars full of coins to the bank to change, that's heavy enough! Can't imagine carrying $10,000 in coins! hahahahah!

save money from going to the gym

 

[Octoberbride03]

I don't see how free shipping was the problem because I am sure they have some sort of limit as to how many coins they want in circulation. Whatever that limit is the shipping was going to cost taxpayers no matter how people paid for them. For example: if they have a limit of 10,000 coins than it would not matter if one person bought all 10,000 or if a bunch of people bought them they were still going to offer the free shipping on those 10,000. More than likely the real reason they stopped this is because the banks were getting upset about it and complaining to the govt. as it was costing them money instead of making money for them. Although the banks could have charged a cash advance fee to those using credit cards since technically the people were getting cash with them.

This is what the mint says on the matter:

Circulating $1 Coin Direct Ship Rolls


The United States Mint has eliminated the credit and debit card purchase of $1 Coins through its Direct Ship Program effective July 22, 2011. Customers who wish to purchase $1 coins through the Direct Ship Program can still do so by wire transfer, check, or money order. Customers who wish to purchase the coins by wire transfer may fax their order to: (202) 756-6585. Customers interested in purchasing by check or money order may do so by writing to:

United States Mint
PO Box 71192
Philadelphia, PA 19176-6192
Please download the order form and follow the instructions provided on the form. (Order Form).

The Mint has determined that this policy change is prudent due to ongoing activity by individuals purchasing $1 coins with credit cards, accumulating frequent flyer miles, and then returning coins to local banks. Local banks, in turn, returned coins to the Federal Reserve. While not illegal, this activity was a clear abuse and misuse of the program. The Mint has undertaken several aggressive internal and external actions to mitigate this issue, including restricting chronic and repeated use of credit cards, contacting customers who frequently placed large numbers of orders to ensure they were using the coins for legitimate business purchases, and other measures. While these measures eliminated a significant amount of misuse in the program, we believe some abuse still exists. Eliminating the credit and debit card purchase of the $1 coin is the next step in our efforts to root out abuse in this program and ensure it is better targeted toward fulfilling its intended purpose—which is to get the $1 Coin into greater circulation.Thank you for your understanding and your continued support of the $1 coin program.

The United States Mint

And I am waiting for the day when the Fed. reserve actually comes up with the brilliant idea to actually follow the Canadian Govt.'s example and STOP printing the 1 dollar BILLS

Me thinks its is going to be a VERY long wait

 

[prncess674]

There were thousands of people who took advantage of this promo:

http://www.flyertalk.com/forum/mile...dollar-coins-cc-face-value-free-shipping.html

Personally I earn about 100K from biz expenses per year and couldn't be bothered with toting coins to the bank.

 

[Zuzu03]

There were thousands of people who took advantage of this promo:

http://www.flyertalk.com/forum/mile...dollar-coins-cc-face-value-free-shipping.html

Personally I earn about 100K from biz expenses per year and couldn't be bothered with toting coins to the bank.

Well, lucky you!

 

[starry_solo]

Never did it; heard about it when it was a controversy. You have to sign something (electronically acknowledge) that you will be putting the coins into circulation and not depositing it in the bank. If the govt tells all the banks not do accept a certain amount in these dollar coins and people do that, it seems they have defrauded the govt.