Chase has announced that starting October 10 you’ll no longer be able to use Chase credit cards to pay for third party Buy Now Pay Later installment plans.
Not surprising to see Chase make this change as they probably aren’t making interest on these types of charges.
Hat tip to Travel With Grant
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Along similar lines, some CU in Idaho made a small news segment because their updated ToS disallows payments to IRS, assorted other govt/legal-related services, ammunition, and dispensary products (which are legal in neighboring Oregon). Their ToS also stated they may either decline or REVERSE charges made to such things, and that they were not liable for any late fees, charges or reprisals related to reversals. So... dude on vacation in OR buys gummies, charge initially goes through but is later reversed, charges filed for theft by credit card or somesuch, ends up in the big house.
Once again this is not a good sign for financial institutions. The major family bankers. A chain reaction to what to come. Money no longer supported by nothing.
Never knew you could use cc for BNPL but I also don’t use these things.
Is it "no longer allow credit cards" as the hook says, or "no CHASE credit cards" as the quoted fine print says?
I guess it's only about third-party BNPL, not Chase BNPL and third-party credit card.
Duh genius! How could Chase stop you from using cards from other banks? 😂
Time to execute my genius Tesla model y via chase 0 apr plastiq idea.
Or just get a loan through TD bank.
You can then pay it at Walmart using CFBP
Good lucjk clearing it.
This is annoying. I get tons of prepaid $50 GCs as incentives at work and often use BNPL to make a larger purchase I can drain them to pay off. Amex doesn’t work on BNPL and now Chase won’t either. I think I have a Barclays around somewhere.
If you don’t want these prepaids send me a message and I will take them off your hands
Just add them to your Amazon.com balance, pretty easy
So if you have an Amazon prime chase card you can still charge stuff right?
I have prime visa thru chase & it's for Amazon...pay over time , with no interest..so I won't be able to use that anymore???
Thank you!!
Chase offers their own "pay over time" option which I'm assuming they're trying to force people to use instead.
They want to sucker you with spending beyond your means and are upset to see someone else do it.
I was using these services to purchase my GC's for signup bonuses then paying with cc to meet min spend. RIP ig. It was nice while it lasted.
@guest_1871898
Do you mind revealing what buy now pay later service you were using to buy gift cards?
Not at this time but I will reveal that you can generate Klarna one time cards, add them to your walmart pay app and then purchase gift cards at walmart but it's very ymmv. Walmart tends to decline the transactions for security flags. No rhyme or reason. I've had 500 fail and 1k work the next day. I tend to use self checkout and only attempt a couple of times out of consideration for the staff. You can only attempt walmart pay once per transaction and voiding requires a manual override. Also none of these services support amex so keep that in mind.
If it’s a buy now pay later what are you using credit card for ? To make payments? So you are paying interest on the buy now pay later?
Most BNPLs that I've observed do not charge interest on the initial purchase. BNPLs are counting on clients to miss their payments to charge interest and/or late fees. Assuming one paid on-time, one could potentially leverage their funds until the final payment is due.
For example, if one purchased a $100k vehicle with BNPL utilizing 4 interest-free payments in 1 year, one could pay $25k in the first payment and place $75k elsewhere to generate income until the next payment came due. For those payments, you'd utilize a credit card to earn points/miles and/or meet minimum spend with the intent to fully pay off the credit card.
It's the near equivalent of paying a loan with a credit card while being treated as a regular transaction. Usually this would be a cash-advance but Capital One and Chase has now decided to decline these transactions.
I thought those BNPL things were mostly on things that are not huge ticket prices.
Generally BNPL is for "not huge" ticket prices but when I went to a local BMW dealership, service, parts, and specific vehicles were eligible for BNPL. The example I cited was for simplicity.
A lot of BNPL doesn't have interest.
Tempted to sign up for a BNPL with a Chase card now so I can be a "class representative" on the upcoming lawsuit.
If you win that class action expect a credit for .99 cents on your charge statement in a few yrs.
This is very churner way to think and I like it.
Or dumped from Chase because you are a credit default risk,