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Million Mile Secrets reader Missy (thanks, Missy!) alerts us to some sad news.
The US mint is NOT going to allow purchases of $1 coins via a credit card or a debit card.
However, you can still purchase $1 coins by cash, check, or wire transfer, but I suspect that there won’t be a lot of folks signing-up to do that.
The day of reckoning is upon us! But just as one door closes, another one will open.
Here’s what the statement on the mint’s website says (bolding mine):
“The Mint has determined that this policy change is prudent due to ongoing activity by individuals purchasing $1 coins with credit cards, accumulating frequent flyer miles, and then returning coins to local banks. Local banks, in turn, returned coins to the Federal Reserve. While not illegal, this activity was a clear abuse and misuse of the program.”
I guess the mint doesn’t want to help us meet our minimum spend on credit cards or get lifetime American Airlines status any longer.
I also don’t understand why the note mentions “frequent flyer miles” and not the enterprising folks who used cash back cards to rack up cash. Perhaps we just got more publicity out of it!
It goes on to say:
The Mint has undertaken several aggressive internal and external actions to mitigate this issue, including restricting chronic and repeated use of credit cards, contacting customers who frequently placed large numbers of orders to ensure they were using the coins for legitimate business purchases, and other measures. While these measures eliminated a significant amount of misuse in the program, we believe some abuse still exists. Eliminating the credit and debit card purchase of the $1 coin is the next step in our efforts to root out abuse in this program and ensure it is better targeted toward fulfilling its intended purpose—which is to get the $1 Coin into greater circulation.
Fair enough. It is the mint’s prerogative to take measures to accelerate the introduction of the $1 coin. And there certainly was a lot of publicity around the US mint, for example most recently on NPR which was then relayed on major news channels and earlier on in an article in the Wall Street Journal.
However, I wish them luck, because I don’t see the $1 coin becoming popular anytime soon. Unless the $1 currency bill is scrapped, it is unlikely that Americans will line up to use $1 coins.
Looks like I’ll have to update my 40+ ways to complete minimum spending on credit cards!
Will not being able to buy $1 coins with a credit card impact your ability to complete minimum spending on your credit cards? Tell us in the comments!