CHASE VISA TERMS Changed....Can someone clarify??

[kristenrice]

Since I always pay my Visa bill in full every month, I typically don't read the updates to the Cardmember Agreements that they send out because I don't usually care about the fees and interest rates. I am sure glad I chose to read this one! This particular change has me concerned because I think it DOES apply to me...

4. Important Definitions • The "Cash-like Transactions" section within the Important Definitions section of your Cardmember Agreement is replaced to clarify and expand the definition as follows: ​

TERM​ WHAT IT MEANS​ Cash-like Transactions​ Cash-like transactions will be treated as cash advances. Cash-like transactions include, but are not limited to, the following transactions to the extent they are accepted: •​ purchasing travelers checks, foreign currency, money orders, wire transfers, cryptocurrency, other similar digital or virtual currency and other similar transactions;​ •​ purchasing lottery tickets, casino gaming chips, race track wagers, and similar offline and online betting transactions;​ •​ person-to-person money transfers and account-funding transactions that transfer currency; and​ •​ making a payment using a third party service including bill payment transactions not made directly with the merchant or their service provider.​ The part in RED is of particular concern because I am wondering if this includes Apple Pay and PayPal? I do not use ApplePay (yet), but I do have my Disney Visa linked to my PayPal account and use it for some of my online purchases. If PayPal is now going to be classified as a "third-party service", then every transaction to my Disney Visa via PayPal will be treated as a CASH ADVANCE and subject to a fee of either $10 of 5%, whichever is greater. If that's the case, I will immediately remove my Disney Visa from my PayPal account so that doesn't happen. The odd thing is...I have (2) Disney Visas and a SWA Visa with Chase and I got this notice showing that it only applies to the account associated with the card that is currently linked to my PayPal account. Does that mean that the T&C's did not change for the other cards, or that I was simply not notified because those cards are not (and have never been) associated with my PayPal account??​

 

[T&M]

Too many changes for me. Also the 29.99% penalty APR. I am a day one long standing member. I dont understand universal changes for loyal customers. Industry standard for penalty APR is still 23.99 so why the price gouging? I called this morning and told them I dont agree to cancel my account. Too many better offers out there now that wont be something that accidentally catches you off guard with an obscure rule like you are asking about and next thing you know you owe 30% interest. When did 30% interest ever become acceptable when the average savings rate right now is like a quarter of a percent?

 

[AgentMama]

Oh my, I hadn't read this, but I use my Chase Visa through PayPal all the time. What is the effective date of that change? I guess I need to call Chase.

 

[T&M]

Quote from the Change of Terms sent out on January 30th:

We're making the following changes to your Cardmember Agreement as described below. We're changing fees, the minimum payment and Penalty Annual Percentage Rate (APR) on your account to standardize terms for cardmembers who have the same type of account. We are also updating the description of the My Chase PlanSM Fee, and making changes to these sections of the Cardmember Agreement: Amendments, Cash-like Transactions, My Chase PlanSM, and Interest-Free Period. All changes take effect 4/4/2021.

Rejecting changes: You have the right to reject the changes in the Revised Terms table (excluding the new My Chase Plan Fee), but you must contact us by 4/3/2021 if you want to do this. Call us at 1-800-300-8575 or write to us at Cardmember Services, PO Box 15098, Wilmington, DE, 19850-5098. We accept operator relay calls. If you reject these changes, we will close your account and you will not be able to use it for new transactions

 

[ruadisneyfan2]

Oh my, I hadn't read this, but I use my Chase Visa through PayPal all the time. What is the effective date of that change? I guess I need to call Chase.

I do on occasion but not every month. Does this rule apply to the Disney Visa? or all Chase Visas? I have the Sapphire Preferred and the last time I paid with PayPal was for Christmas shopping. I love my cc and wouldn't likely cancel it for that but it's good to keep in mind.
I have also rented DVC points and paid the owner through PP, charging to a credit card, so I guess that type of transaction would apply as well. Looks like we'll be using Venmo more for situations like that.

 

[kristenrice]

Quote from the Change of Terms sent out on January 30th:

We're making the following changes to your Cardmember Agreement as described below. We're changing fees, the minimum payment and Penalty Annual Percentage Rate (APR) on your account to standardize terms for cardmembers who have the same type of account. We are also updating the description of the My Chase PlanSM Fee, and making changes to these sections of the Cardmember Agreement: Amendments, Cash-like Transactions, My Chase PlanSM, and Interest-Free Period. All changes take effect 4/4/2021.

Rejecting changes: You have the right to reject the changes in the Revised Terms table (excluding the new My Chase Plan Fee), but you must contact us by 4/3/2021 if you want to do this. Call us at 1-800-300-8575 or write to us at Cardmember Services, PO Box 15098, Wilmington, DE, 19850-5098. We accept operator relay calls. If you reject these changes, we will close your account and you will not be able to use it for new transactions

I certainly do not want to close my account since it is the longest open account I have on my credit history (almost 18 years!) and closing it would drop my score significantly. If/when I get the notice on my other Disney Visa, I will consider closing that account as it has only been open for 8 years. The only concern I have is that I have some unused Rewards Dollars (~$20) on that account. If I transfer them to a Rewards Card, and then close the account, will I lose them?

 

[Avery&Todd]

I have sent Chase a secured question about this topic as DH uses PayPal on his SW credit card but I don't use it all on my Disney Visa - and I'll report back to what they say but it said it could take 2-3 days for a response.

thanks for pointing this out!

 

[gottalovepluto]

I can’t imagine using PayPal at a merchant will trigger it. Using your card to send cash to your kid on PayPal would probably trigger it- in fact I believe it already does.

Bill pay services are things like Plastiq. You input the merchant data and they send a check to the merchant. Very different than buying from a merchant and checking out with PayPal.

If you’re not convinced it will be ok switch to an Amex. (Amex loves PayPal so much they’re offering a $30/month on their personal Plat due to Covid impacting people’s ability to use the travel perks of the expensive card. They could only dream Chase would qualify all PP transactions as cash advances )

 

[Psychodisney]

I received this notice on multiple Chase cards. I’m hoping PayPal will be ok. I was thinking services such as Plastiq would be the type of services they’re trying to work around.

 

[lanejudy]

The only concern I have is that I have some unused Rewards Dollars (~$20) on that account. If I transfer them to a Rewards Card, and then close the account, will I lose them?

Not quite -- after you transfer the to the Rewards Redemption Card, then use that card to purchase a gift card from ShopDisney. Those will never expire. The Rewards Redemption Card will become null and void on closure of the credit card account.

 

[DLgal]

Pretty sure they don't mean Pay Pal or ApplePay/Google Wallet when used to pay a merchant directly.

Chase would be digging their own grave by doing something like that.

 

[AgentMama]

Pretty sure they don't mean Pay Pal or ApplePay/Google Wallet when used to pay a merchant directly.

Chase would be digging their own grave by doing something like that.

The wording definitely includes services like PayPal, so I think clarification is important so everyone isn't getting hit with some astronomical service fees.

 

[DLgal]

The wording definitely includes services like PayPal, so I think clarification is important so everyone isn't getting hit with some astronomical service fees.

That wording had been in the TOS since 2010. I don't think anything has changed.

 

[georgina]

PayPal is a category every year on the Chase Freedom 5% bonus rotation, just used it in last quarter of 2020. I doubt it would suddenly change that.

 

[cvjw]

I do on occasion but not every month. Does this rule apply to the Disney Visa? or all Chase Visas? I have the Sapphire Preferred and the last time I paid with PayPal was for Christmas shopping. I love my cc and wouldn't likely cancel it for that but it's good to keep in mind.
I have also rented DVC points and paid the owner through PP, charging to a credit card, so I guess that type of transaction would apply as well. Looks like we'll be using Venmo more for situations like that.

I got the notice today in the mail for both chase Visa cards - the disney one and the freedom unlimited one.

 

[Avery&Todd]

So I reached out to Chase vi email today for clarification on what bullet #4 actually said under Cash transactions and specifically if it included PayPal transactions and here is what they said (if you don't want to read the whole thing, basically it does NOT apply to PayPal for goods and services but it WILL apply to person-to-person transfers in PayPal):

"We're happy to provide you with additional information about the Change in Terms we sent you.

Please know that cash-like transactions are not applied to all PayPal transactions such as goods and services; it will be applied to person-to-person money transfers using a credit card. These transactions are identified and flagged by VISA / Mastercard and will be posted as a cash advance.

We'll charge the fee when you use your credit card for cash transactions. These include getting cash from ATMs, at banks or by writing account access checks.

Here are things to know about when you use your card to take a cash advance: - The annual percentage rate (APR) for a cash advance is 24.99% variable. - The cash advance fee is either 5.00% of the amount or $10.00, whichever is greater. - Cash advances do not have an interest-free period and interest charges accrue daily. - You may pay ATM fees if you use a non-Chase ATM. Check your cardmember agreement for details about your cash advance APR and other fees that may apply.

We appreciate the opportunity to help you.

We value our relationship with you and thank you for choosing Chase.

Please stay safe and healthy. "

so....there you go!

 

[piccolopat]

Anyone know what would happened if I paid for groceries using my Chase Visa and opted for cash back? I don't usually use that card for groceries and rarely get cash back when checking out but it would be good to know for the future.

 

[ruadisneyfan2]

So I reached out to Chase vi email today for clarification on what bullet #4 actually said under Cash transactions and specifically if it included PayPal transactions and here is what they said (if you don't want to read the whole thing, basically it does NOT apply to PayPal for goods and services but it WILL apply to person-to-person transfers in PayPal):

"We're happy to provide you with additional information about the Change in Terms we sent you.

Please know that cash-like transactions are not applied to all PayPal transactions such as goods and services; it will be applied to person-to-person money transfers using a credit card. These transactions are identified and flagged by VISA / Mastercard and will be posted as a cash advance.

We'll charge the fee when you use your credit card for cash transactions. These include getting cash from ATMs, at banks or by writing account access checks.

Here are things to know about when you use your card to take a cash advance: - The annual percentage rate (APR) for a cash advance is 24.99% variable. - The cash advance fee is either 5.00% of the amount or $10.00, whichever is greater. - Cash advances do not have an interest-free period and interest charges accrue daily. - You may pay ATM fees if you use a non-Chase ATM. Check your cardmember agreement for details about your cash advance APR and other fees that may apply.

We appreciate the opportunity to help you.

We value our relationship with you and thank you for choosing Chase.

Please stay safe and healthy. "

so....there you go!

Thank you for posting their full reply here for all to see. It saves us all from having to write with the same question.

For us this would definitely apply to times that we have rented DVC points and paid the owner using a cc linked to our PayPal account. I won't be doing that again.

 

[dina444444]

So I reached out to Chase vi email today for clarification on what bullet #4 actually said under Cash transactions and specifically if it included PayPal transactions and here is what they said (if you don't want to read the whole thing, basically it does NOT apply to PayPal for goods and services but it WILL apply to person-to-person transfers in PayPal):

"We're happy to provide you with additional information about the Change in Terms we sent you.

Please know that cash-like transactions are not applied to all PayPal transactions such as goods and services; it will be applied to person-to-person money transfers using a credit card. These transactions are identified and flagged by VISA / Mastercard and will be posted as a cash advance.

We'll charge the fee when you use your credit card for cash transactions. These include getting cash from ATMs, at banks or by writing account access checks.

Here are things to know about when you use your card to take a cash advance: - The annual percentage rate (APR) for a cash advance is 24.99% variable. - The cash advance fee is either 5.00% of the amount or $10.00, whichever is greater. - Cash advances do not have an interest-free period and interest charges accrue daily. - You may pay ATM fees if you use a non-Chase ATM. Check your cardmember agreement for details about your cash advance APR and other fees that may apply.

We appreciate the opportunity to help you.

We value our relationship with you and thank you for choosing Chase.

Please stay safe and healthy. "

so....there you go!

My guess is that this will also include apps like Venmo if they don't already.

 

[moericus]

Citibank did this with Venmo last year. Basically you cannot transfer a person borrowed money without a fee. was fun while it lasted.