Free Money Grabbing

He said it so casually, I could have hit him.

"You know, if I DON'T put my pin in when I use my debit card, I get cash back. I guess."

He said this as he was typing in his pin.

"What?"

"Yea, the bank has some program where if you use your debit card like a credit card, they give you cash back. But I always use mine as a debit card..."

Seriously, violence nearly erupted at the Hy-Vee checkout counter.

It was like he didn't even know me. That he would say such a thing. You can be sure as soon as we got home I came immediately to the computer, logged in and read the details of his cash back program.

He was automatically enrolled, so he didn't have to sign up for anything. He has to use the card as a credit card - meaning sign his name instead of enter a pin, which doesn't seem all that taxing, to me. The amounts of the cash back vary from store to store and if the purchase is made online or in person. Once he has earned cash back he has to "request" it from his bank to be put into his account.

Overall, I would have to say if you have a program like this through your bank and you're not using it, you might be a bit of a moron.

The next day, I learned that my bank had a similar program. I have to sign up for mine, though, which I did, and I don't have to use it was a credit card (though I usually do, anyway.)

Then I got to thinking about my credit card. How it is a 2% cash back card on all purchases, all the time, no matter what. Which seems a bit simpler. But do I USE my credit card on all purchases, all the time, no matter what?

No.

Even though I could use it and immediately pay the credit card with my debit card and not have a balance on my card and still get 2% cash back.

So I guess that makes me a moron, too.

I'm going to work on that. It will be like getting a 2% raise in 2011. Plus, I won't have to call myself a moron anymore.

If you want to afford pickles, look at the "easy" opportunities for free money. I know why I don't use my credit card all the time for every purchase. Because its a credit card. The broke person in me is afraid of it. Afraid to use it. Afraid to log in and see a balance on it, even if its $40 from filling up with gas on the way home and I'm logging in to pay it and it resulted in $0.80 back into my pocket.

If you buy things online, check out www.mypoints.com, which gives you "points" based on dollars spent (or reading ads, etc). I, personally, don't buy a lot online (heck, during the "online store boom" I didn't buy a lot of anything from anywhere. I had no monies.) so I use the program mainly for the occasional airline ticket or hotel room, but I have still managed to get about $200 back in four years.

This time of year there are even more opportunities for free money.

I see a lot of stores giving free gift cards this year. Buy a $100 gift card for massages, and get a $20 gift card free? I have a good friend who regularly gets massages, and it seems to me that's 20% off. If she has the cash on hand, she should be treating herself to a gift card...and keep the free one, too! :) Restaurants around here are pushing this now, too. So far I haven't seen any I had to run out and buy, but if you have the money, and you KNOW you'll eat at or shop at a business giving away free gift cards, then treat yourself!

Also, make sure you're doing everything you can to maximize "cash back" offers. Sometimes the fine print is beyond comprehension, but its worth some time to review your options before you buy.

My bank card, for example, has 10% cash back on purchases over $200 at a local bike shop. So, if I was to buy a bicycle, it would be much wiser to use my debit card, not my 2% credit card. And because its tied to my bank, the money simply never leaves my account (I don't have to wait until I accrue a certain amount and then ask for my reward.)

There are other cards out there with cash back programs, of course. If you're looking at getting a new card for the rewards, read the fine print... Make sure you know when you earn cash back and when and how you can redeem the money. For example, I recently looked at a 5% cash back credit card...but you didn't earn rewards until after you spend $2000 that calendar year, and then your earnings were only redeemable once a year. Comparatively, on my 2% card, it is always 2%, and I have to request a check in $25 increments....so as soon as I roll over to $25.01 I am requesting my check!