Paying for tuition when CC fees are charged

Outlying Anomaly

Level 2 Member
In less than a month, the Uber Expensive U bill comes due for the first time. They charge a 2.8% service fee to use a card. I'm obviously not going to pay over $1000 more for this "privilege" every semester but just want to ask if I'm missing something for such a large expense. Hoping I am in the dark about this like I am about 90% of MS and 99.9% of FT-type terminology. :D

Any advice appreciated.
 

MarkD

Level 2 Member
I'm in the same boat. Here are two options:

1. Pay with debit cards at $4.95 fee bought with a CC for 5% cashback card at drugstores, supermarkets, or gas stations. (My preferred method as it generates a slight profit per card when the CC fee is 2.8%)
2. Buy Amex GC at 3% cash back or more. This is break even or a slight loss depending upon the amount purchased.

I've sent three ~$500 debits so far without a problem in the last couple of days. Four more to go by August 1st for a ~$3200 tuition bill.

I should mention that I get reimbursed by my son's 529 plan for the payments. I use that to pay off the CC.
 

new2points

Level 2 Member
What if you use debit?

If the fees are cheaper or typically flat, time to engineer a free (or profitable) credit to debit transfer, and pay said fee. If you have a reload it source near you, might be time to pick up a T-mobile PP card otherwise, all other methods to debit equally valid. Shoot, they might even accept VGC or any other pin enabled GC.
 

Outlying Anomaly

Level 2 Member
I read the beginning of this thread (thanks for the clarification, @MarkD). I've stayed away from the MS stuff since it's going to be my 15 credit class for Empty Nester U this fall. :D Total MS newb.

Bill owed next month is 10x @MarkD 's bill. No debit cards accepted. Assuming that means I am DOA. No problem, I already knew that was the case for this semester at least, anyway.
 

new2points

Level 2 Member
I still see potential savings opportunity to earn points and save. If you loaded said tuition on BB for instance, you could simply issue paper checks or withdraw money into your account and write check yourself. Using 10,000 as an example amount, 2.8% would cost $280. If you loaded to T-mobile via reloadits, it would be entirely nearly cost free depending on how you unload.
 

Outlying Anomaly

Level 2 Member
Thanks for the tips, everyone. I read the 3% thread. I don't even have a complete grasp on the basics, so I need to back up. I'll post more in the beginner's MS thread when I get there, likely months from now.
 

Anh

Level 2 Member
Do they take Amex and do they take multiple small payments?

Back in the days when United MP Visa gave double miles on tuition, we got almost 200K miles out of paying tuition. We found a nice loophole in my friend's university tuition payment system: it allows you to pay whenever you want without taking into account whether you have any balance; you can also request refund anytime there's a negative balance and refund always comes in checks! Long story short, we eventually got caught after a few months. The school ordered us to pay some $X amount to make up for the credit card fees or they would not let my friend graduate. We split the fees (since we both shared the miles we got). It was still a good deal. I guess it was one of rare cases where it was a win win (or at least there wasn't any loss) situation for all the parties involved. United got to filled their planes, the bank got their swipe fees, the school didn't lose any money, and we got cheap miles.
 
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