Don't buy stamps on your Credit Card - you'll be cahrged high rates of interest

nyermen

I've paid for stamps with my HSBC credit card many times without issue.  I wonder if it's First Direct specifically, or if its HSBC group, where stamps at a post office

MDMD

EarthBoy said:

marshaos said:

I recently purchased commemorative stamps using my credit card, and I've subsequently been charged 3 months interest at cash advance rate on that purchase, despite paying off my bill in full using DD monthly. My bank (first direct) tells me this is because stamps are considered to be a form of cash! Buying them on your credit card attracts this penalty.
Instead, I was advised, buy stamps using cash or debit card, or, if I must use my credit card, pay in and pay off the purchase on the same day.

How did First Direct know that you'd bought stamps, whether commemorative or ordinary ones?  All they will know is the retailer where you'd used the card, i.e. the Post Office.  You have could have bought envelopes, or pens, or paid to send a parcel.  If the Post Office was part of a general store, you could even have bought bread and milk etc.  

I wonder if they took a blanket assumption based on the merchant code that the post office uses that the transaction was for postal services / stamps rather than for goods.

The PO used might have a different MCC based on the product/services supplied.