Comments on: 10% Cashback on Home Improvement & Furnishing Store Purchases

By: Poe

Poe — Sun, 12 Mar 2006 18:38:16 +0000

I just checked my AT&T Universal card account and didn’t see anything like that…did i miss the deal or?

By: Jared Allen

Jared Allen — Fri, 10 Mar 2006 17:04:58 +0000

I received a 5% offer for home improvement stores in the mail for my Citi Platinum Select Dividend card yesterday. It included an invitation code to activate, and internet instructions. So, watch your mailbox. Not as good, but since I’ve got it…

By: LAMoneyGuy

LAMoneyGuy — Thu, 09 Mar 2006 18:16:58 +0000

I caught an interview with the CEO of Home Depot on CNBC about a week ago. He mentioned that their average register transaction was up $10 over the last year. That’s across something like 1.3billion transactions! Wow! They are being used much more for home improvements/renovations more than just stopping in for a handful of nails.

I can see that this is also likely to be the type of purchase that homeowners will more likely continue to carry a balance on.

By: lauraloops

lauraloops — Thu, 09 Mar 2006 14:54:52 +0000

Nice…will have to look into that once the mortgage is approved. I’ve put off getting any more cards (have a Citi card now) until after the house is bought. I’ll be spending a lot at Home Depot or Lowe’s soon. Thanks for the tip!

By: jim

jim — Thu, 09 Mar 2006 13:27:55 +0000

I think their statistics show that the average purchase at places like Home Depot and Lowes are significantly higher (though more infrequent) than purchases at other places and so when they try to figure out how to get a greater percentage of the CC debt that’s paid back slowly, they figured they wanted those folks who were spending a lot at home improvement stores.

By: lamoneyguy

lamoneyguy — Thu, 09 Mar 2006 09:01:45 +0000

You think they’re making money on these 10% cashback deals? I mean even 5% amazes me. Visa and M/C charge about 1.9% to the retailer. That means they are making up the 3.1% in interest and fees on the average customer. But at 10%, they’re making up 7.1%? Wow, that’s a lot!

By: jim

jim — Thu, 09 Mar 2006 01:06:06 +0000

Pass on it buddy, a better deal is to get a card that offers you 5% on gas stations and supermarkets and drugstores. You can get more than 10 cents back (if gas stays above $2) plus 5% at grocery stores and drugstores. Try this card: Citi® Dividend Platinum Select® Card