Trading GM Card rewards for groceries

August 26, 2011 8:45 PM

GM Card credit card rewards. I have nearly $700 in these card rewards. They've actually have maxed it out at $2000 until September 6th. Is there any way to redeem these besides buying or leasing a new GM car? What if I bought one and resold it -- even if I could do it, that's crazy, right?

I have apparently gotten $700 in rewards, which are rapidly aging out of the system, because this is the worst credit card I have, so I never use it. They've apparently maxed them out at $2000 for the next week or so. I would like to trade these in for anything that I would buy anyway, or for cash.

But here are the earnings and redemption rules for what is the worst credit card rewards program ever. (Did I mention this was my first ever credit card? Did I mention I don't even own a car? Nor want to?) They include:

* Your GM Card Earnings are nonnegotiable and cannot be redeemed in whole or in part for cash or applied to the balance of your GM Card Account.

* As the primary GM Cardmember, you may transfer your Earnings to the following immediate family members for purchase or lease of an eligible, new GM vehicle: parents, spouse, siblings or children. However, the family member must reside at your address.... GM Card Earnings may not be brokered, bartered or sold...

Is there something I'm missing? Some little-known way to transfer to a different HSBC credit card and take the earnings with me? Some law defining "family members who live at your address" to mean "everyone on Craigslist within a 100-mile radius?" An amazing thing that GM considers to be a "new vehicle" that I would buy anyway, like groceries, jeans, or even a diesel generator? Is there any reason to think I could buy a GM car (a new GM car), save $2000 in the process, and resell it in a way that recouped some of that $2000 as cash? That's crazy, right?

posted by salvia to Work & Money (5 answers total)

Well, that's the whole things with highly targeted cards like that. They (VISA, MC) are offering bonuses to encourage you to give their partner company (GM) money. They are not interested in giving you cash, or Amazon gift cards, or anything like that, so they're not going to create an option that lets you do that.

It's like frequent flier miles - unless you actually *are* someone who flies frequently, a Delta Airlines VISA card won't do you much good. In this case, unless you are someone who has a strong brand loyalty to GM and likes buying new cars, this credit card rewards program isn't good for anything. On your side are two things: (1) you didn't use the card in ways outside of your normal use patterns so as to earn their points (i.e. you didn't give them any money), (2) you don't have an emotional investment in this card and can easily move on to a card rewards system that actually rewards you with something you find valuable.

So, ignore their blatant attempt to lure you in to a deal that is designed to work in their favor, and move on to a different rewards program.
posted by aimedwander at 9:03 PM on August 26, 2011

Is there any reason to think I could buy a GM car (a new GM car), save $2000 in the process, and resell it in a way that recouped some of that $2000 as cash?

Yeah, I'm not an expert on car sales, but I would think that as soon as you drove a new car off the lot, it would depreciate so significantly in value that you'd have a hard time making any money off it.
posted by geegollygosh at 9:12 PM on August 26, 2011

My mom has found somebody who was planning on purchasing a GM card and then made some sort of arrangement with them where she got part of the rewards and the other person got the other part for using the card to buy their new car. I'm pretty sure its not legit but they worked it out somehow.

Also, check this thread out
posted by gilsonal at 9:52 PM on August 26, 2011

I think gilsonal's idea might be legit. You're just buying the vehicle, redeeming the credit, and then reselling. Even though the availability of GM credit influenced your decision to buy the vehicle, the GM credit is not exactly exchanged, bartered, or sold.

Another shot in the dark--Subaru has a similar rewards program that I think allows you to apply money towards dealer parts and services. You could find this out by the GM 1-800 number. What's to lose?
posted by L'oeuvre Child at 10:12 PM on August 26, 2011

If it pans out that you can use the reward money for parts and service, you could get your car detailed, which many dealers do and which costs $200-$250 to have your car restored to like new inside and out. Dealers will do this kind of service for any model of car, not just the ones they sell, too. Could make a nice gift for a couple of friends and family member in addition to yourself.
posted by kindall at 12:25 PM on August 27, 2011