Most of the credit cards require some spend within 90 days of the card getting approved to unlock the credit card sign up bonus. For example, the Chase Sapphire Preferred Credit Card requires a spend of $4,000 using the new Chase Sapphire Card within 90 days of getting the card approved
For some, it will be a difficult task to put in $4,000 or any other higher amount within 90 days of the card approval. It is difficult due to the fact majority of our spend like Rents, Mortgage Payments, Student Loans, Insurance Payment, College Fees, Utility Payments, Contractor Payments, etc. do not take credit card as a form of payment they all prefer check to avoid the credit card processing fees.
So when we cannot pay a majority of our day-to-day expenses through credit card, how can we achieve the spend requirement to unlock the credit card sign up bonus?
Use Plastiq to Unlock your Bonus
Enter a service called Plastiq using the Plastiq you can register your credit card, and Plastiq will charge your credit card and send a check to your payee. You may ask what is the catch it is too good to be true. The catch Plastiq will charge a credit card processing fee of 2.5% to your card and add the fee to your card in addition to your payment.
The 2.5% fee charged by the credit card is one of the reasons why you cannot pay most of your bills using a credit card due to the fact recipient will receive 2.5 to 4.0% less because of credit card processing fee. Plastiq gives you an opportunity to pick up the processing fee for yourself and pay your bill using a credit card.
You may say well that is not going to work out I have to pay a fee of $100 for processing $4000 worth of payment through Plastiq, which is not going to work out for me. But consider when you get 50000 points from Chase the points are worth close to $750 when you value each point with 1.5 cents. You are spending $100 to get $750 which I would say worth it.
The Chase Sapphire points or any card that let you transfer points into airline miles are even more valuable considering if you use the points for Business Class travel. I would say it is worth to spend $60 to $100 to unlock the bonus points which can be used for Premier Class travel or in some cases premium brand Hotel stays.
How Plastiq Works
Sign on to Plastiq.com and setup your account after you setup your account register points earning credit card for which you want to unlock the sign on bonus after minimum spend. Using Plastiq processing service you can make a one-time payment or schedule a recurring payment.
Registering Credit Card through Plastiq
I have decided to try Plastiq and registered my credit card to get the sign on bonus. Here is the list of what you need to do to register as well as make payment through Plastiq.
After you sign on to your Plastiq account, register your credit card, the registration is a straight forward process. You will be using the registered credit card to schedule a payment.
Registering a Payee
You need to set up a payee account before you can schedule a payment. Enter a payee name and address to set up the recipient information. If you payee has an account number, you will be entering that information at the time of payment and not during the payee registration.
Enter payee address and phone number
Choose the Payment type
Scheduling a Payment
Select Manage and Payment for scheduling a one-time as well as recurring payment. After selecting Payment, choose which recipient you want to pay, enter the payment amount, enter your name, reference numbers like a loan number and information for the memo line. The information you enter in the memo line will appear in the check memo line sent by Plastiq to the recipient. After entering the above information, you can either schedule a recurring payment or just one-time payment.
Before you can schedule a payment Plastiq will display the total amount debited from your credit card account which will include the service fee charged by Plastiq to process your credit card and send a check.
Please note Plastiq Check will take anywhere from 5 to 7 business for delivery. If you are sending time critical payment like Rent or Mortgage, please make sure you allow enough time for Plastiq to process your payment so that you do not miss the payment deadline date.
Choose a Payee. (Note as of July 1, 2017, you can no longer use VISA cards to pay your mortgage payment through Plastiq payment service)
Enter the amount to be paid.
Enter your name, Reference number and memo text that will be included as part of your payment.
Payment screen showing total amount debited from your credit card account, press submit payment to send the payment.
Other Important Points
If the payment is delivered beyond the due date and if it is due to delay at the Plastiq end, Plastiq will refund any penalty assessed by your Payee. Also if you credit card flags the Plastiq payment as Cash advance, Plastiq will issue a warning notice so you can decide whether to use that credit card or not for processing your payment.
Where I cannot use Plastiq to Pay for the services
Some payee like life insurance or health insurance companies requires invoice statement be attached with your check, then, in that case, you will not be able to use Plastiq for that service. Plastiq mails the check directly to your Payee, and I find this a small drawback on Plastiq service. If Plastiq has an option to send us the check with a Payee name, we will be able to receive and mail the check along with the invoice statement. Currently, Plastiq offers no such services, so you will be able to use the Plastiq service only for those payees who accept the check with an account number without an invoice statement.
Service Fee Discount Referral. If you use my special referral link to open a Plastiq account, you will receive $500 fee free payment credit after you pay the service fee for the first $500, a saving of $6.25. You do not have to use the Plastiq service to pay the entire $1000 at one time all your payments are cumulative after you paid the service fee for the first $500 using the Plastiq payment service, the next $500 will be fee-free without any service charge. I will be getting $1000 fee free credit from Plastiq for using my referral link. Thank you for using my referral link to open the Plastiq payment service account.