Earn points from home: Everything you need to know about buying groups

Buying groups are a great way to meet large credit card spending requirements or earn card points beyond the welcome bonus.

There are many ways to generate more credit card spending, but they require significant time and effort. Buying groups can help you earn more points from the comfort of your home. It’s a relatively low-effort option but can still carry significant risks.

In this guide, we’ll go over how to minimize risks, increase efficiency, and find the best buying groups for credit card points:

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What are buying groups?

Buying groups are companies that recruit members to help them buy popular merchandise in exchange for earning credit card rewards.

Since retailers limit the number of items each customer can buy during a sale, resellers tap into buying clubs to obtain greater quantities.

Group members buy the products with their own credit cards and have them shipped directly to a specified warehouse. Once the product is delivered, buyers are reimbursed. They use the funds to pay off the resulting credit card balance, allowing them to earn points without extra costs.

Meanwhile, the company sells the products for a profit, often by shipping them abroad. It’s retail arbitrage for buying group members – without all the shipping, handling and customer service responsibilities.

Why do people join buying groups?

People join buying groups to earn credit card rewards. It’s a relatively low-effort way to generate more credit card spending without taking on debt.

Some opportunities pay above retail, so buyers can profit from them. However, most deals are at or below retail. You can minimize your out-of-pocket cost by taking advantage of credit card discounts (i.e., Amex Offers), online coupons, gift card deals, and shopping portal rewards. 

How buying groups work

Buying groups are a popular way to meet credit card spending requirements. You simply order the merchandise, have it shipped to a designated warehouse, and receive payment shortly after delivery. 

While retail arbitrage is more lucrative, it requires more effort. Buying groups allow you to earn points without leaving your house, shipping products yourself, or dealing with customer service issues. 

Here’s a step-by-step  look at how exactly buying groups work:

• Sign up: You join the group, either directly or through a referral link.
• Look for buying opportunities: Most buying groups have a “deals” page where they list all the products they’re buying, the price, payout, and where you can buy them.
• Reserve purchase quantities: Most buying groups require members to reserve purchase quantities before placing an order. This ensures that they can control incoming inventory and don’t end up with more products than they need. 
• Review the requirements: Be sure to review the requirements for each deal. Sometimes, buying groups specify a delivery deadline. You should also double-check the delivery address since this can vary by company and deal.
• Order the merchandise: Order the merchandise in the specified quantity and list the buying group’s address as the delivery location.
• Check your email for a confirmation: Once you place an order, check your email for a confirmation. Sometimes, deals get canceled because retailers know you’re shipping the product to a wholesaler. If your order is canceled, make sure to update the reserved quantity on your deal dashboard.
• Submit your tracking information: Once your order ships, copy your tracking number and enter it on the buying group’s product deal page. 
• Get paid: Most buying groups pay you within a few days of product delivery. 

How do buying groups make money?

Buying groups make money by acquiring products on sale and then reselling them for a profit. It’s effectively retail arbitrage but on a much larger scale. Sometimes, buying groups buy products from members below retail. These markdowns can help their bottom line.

Some members are willing to incur a small loss on below-retail deals to meet credit card spending requirements. Or they’re able to offset their losses by purchasing products through cash-back portals and other discount mechanisms. 

Buying group risks

Buying groups can be rewarding but they’re also risky. If you’re not aware of the drawbacks and how to avoid them, you could end up losing money. This defeats the purpose of joining buying groups to begin with.

That being said, here are some of the risks to be aware of:

Packages can get lost 

A major risk with buying groups is that your items might get lost in the mail or at the warehouse. One lost package can wipe out any profit and value you’ve gained from credit card points. 

There have been reports of this happening, and unfortunately, the only recourse is to file a claim with your credit card. They may reject it if the merchant shows proof of delivery, so keep that in mind.

Most deals are at or below retail

Most buying group deals are at or below retail, making it difficult to earn points consistently without a loss. Buying groups are primarily ideal for meeting credit card spending requirements. Of course there are exceptions: During the holidays and certain sales, these buying groups will compete with each other for products and thus offer better payouts.

But it’s important to note that even the above-retail deals aren’t always super profitable. Buying groups know that members are trying to meet credit card spending requirements. I have an inkling they’re taking advantage of that by offering below-retail deals to pad their margins. 

Sometimes, these buying groups advertise a break-even deal, but when you click on the actual product page, you’ll notice the price has changed. It’s important to always be mindful of product prices and compare them against the buying group payouts.

Orders often get canceled

The primary challenge with buying groups is avoiding order cancelations. Most retailers will recognize the warehouse shipping address you provide and subsequently cancel your order. Walmart does this consistently and so does Best Buy – this makes it tough to take advantage of certain deals.

Amazon is usually a safe bet for getting orders through, but even that isn’t foolproof.

You might get shut down

While Amazon doesn’t cancel orders shipped to buying group warehouses, this may well change. At some point, they might penalize or ban your account if they decide to crack down on buying clubs. 

Consider setting up a separate Amazon account for buying groups. It’s an added expense but could be worth it if you buy enough volume to justify paying for a separate Prime account.

This might still not be enough to avoid a shutdown. Recently, I came across a Reddit thread from a buying group member whose Amazon account was suspended. He speculated it was because he used gift cards to pay for products shipped to buying group warehouses.

While Amazon sends out an email requesting proof of gift card ownership, some Redditors speculated the account would be permanently shut down.

Best buying groups for earning points and miles

There are many buying groups for earning credit card points and miles. I’ll list them all out below, but I want to preface this by saying I haven’t tried them all, so this is in no way an endorsement. 

If you have experience buying through any of these clubs, please share in the comment section.

• BuyForMe Retail
• Buying Group 
• Closeout NJ
• Maxout Deals
• PFS Buyers Club 
• PointsMaker
• USA Buying Group

BuyForMe Retail

I prefer BuyForMe Retail (BFMR) above all the other buying groups. They have a user-friendly interface and a less complicated process. They also pay very fast – I usually get a notification of delivery the same day and the funds are in my account the next day.

BuyForMe doesn’t have as many active deals compared to other groups and they frequently buy below retail. But it might be worth it if you manage to offset those costs through shopping portals and other methods (more on that later).

Buying Group

Buying Group was formerly known as The Dealer Buyer. I’ve sold to them numerous times and never experienced a payment issue. From what I recall, it wasn’t quite as fast as BMFR but perfectly sufficient.

I’m still not a fan of their user interface and process, but that’s because I’m about as computer-savvy as a 100-year-old grandma.

Closeout NJ

I’ve never used Closeout NJ and can’t really speak to its process. But I have read reviews on discussion forums and they seem to be a legitimate buying group.

If you have any feedback on CloseOut NJ, please share in the comment section.

Maxout Deals

I heard of Maxout Deals just recently and haven’t used it yet. The reviews online seem to indicate they pay on time and are responsive when issues arrive.

One Reddit user reported that Maxout Deals lost his package (and his money). That’s a risk with any buyers club, so it’s worth keeping in mind.

MYS Buying Group (AVOID)

I haven’t used MYS Buying Group in a few years and a few folks in my Facebook Group and other channels reported not getting paid on a few orders.

I have not had a similar experience but I suggest you do your research before getting involved with MYS Buying Group. I personally wouldn’t deal with a buying club that’s had issues paying members. That’s usually a sign that things are going downhill.

Update: On October 8, 2024, a member of my Facebook group stated that the MYS has stopped paying its members. The staff are reporting that the company owner is in the hospital and they have no access to accounts for payment. This sounds very similar to the story The Plastic Merchant peddled before biting the dust. Steer clear of MYS Buying Group.

PFS Buyers Club

PFS Buyers Club has been around for a few years and mostly buys U.S. Mint coins. Some of them are quite lucrative too, so you might be able to pocket some cash while earning points.

In my experience, popular U.S. Mint coins are incredibly difficult to purchase. I’ve had zero luck so far, though I’ve definitely tried.

U.S Mint coins can be expensive. So if you can figure out how to buy them when they go on sale, PFS Buyers Club can be a great choice for drumming up credit card spending and points.

PointsMaker

PointsMaker appears to use the same platform as Buying Group – which isn’t quite as straightforward as BFMR’s. However, PointsMaker generally offers more buying opportunities than BFMR.

I had one payment issue with them but it was resolved when I submitted a ticket. Basically, they tracked the purchase and delivery correctly but took several weeks to actually pay it out. But they did resolve it and I haven’t had issues since.

USA Buying Group

According to the USA Buying Group website, the company was founded in 2011 – I had no idea buying groups had been around that long. They mostly buy Apple electronics, which you can find on Amazon.

I haven’t read anything negative about them yet, but as usual: Proceed with caution.

Tips for success with buying groups

Buying groups can be a hit or miss – they can help you earn tons of rewards but as demonstrated, they also carry substantial risk. To get the most from buying groups, make sure to follow these tips.”

Avoid order cancellations

The workaround is to stick with Amazon deals only. Amazon will approve pretty much all orders, so it’s the safest option. But it’s always possible they’ll change their policy and begin canceling orders shipped to warehouse addresses. 

You can also avoid order cancelations by having products delivered to your home address and then shipping them to the buying group. You’ll incur more expenses and effort by doing this. You’ll also pay sales tax unless you live in a state that doesn’t impose it.

Utilize a tracking system

You can avoid this scenario by creating a spreadsheet or tracking system. That way, you won’t miss out on payments because you forgot to submit a tracking number. You can also keep track of lost packages and submit a claim with the retail, if necessary. Lastly, you should use a credit card that offers purchase protection so you can get reimbursed if your package goes missing during shipping or in the warehouse.

I use this very simple spreadsheet and also track all orders and notofications in dedicated email folders.

Always pay your balance in full

The key to success with buying groups is to pay your balance in full every month. Setting up auto-pay can help you avoid interest, which can otherwise eliminate any value gained from credit card points.

This can still come with significant risks if you don’t have a “cushion” to fall back on. For example, if you charge $10,000 in merchandise to your card and the buying group pays you late, you’re still responsible for paying your credit card balance.

Don’t charge more than you can afford to pay off, in case you don’t get reimbursed on time (or at all).

Use shopping portals for extra rewards

Shopping portals are key to generating extra rewards on purchases. Through portals like TopCashBack and Rakuten, you can earn extra cash back or points at certain retailers. Simply click through these sites to the retailer and you’ll automatically earn bonus rewards. Rakute even has a browser that lets you easily activate cash-back rewards when shopping online.

If you’re taking advantage of below-retail offers, shopping portals can help you recoup your losses.

To find the highest shopping portal cash back or rewards rates, use a shopping portal aggregator site like Cashback Monitor. On the homepage, enter the retailer you want to check rates for. Cashback Monitor will generate a list of shopping portal payouts, divided by type (cash back, travel rewards, and credit card points).

You can earn between 2-10X more rewards or cash back by using shopping portals

Save with Capital One, Chase, Citi and Amex Offers

Credit card rebate deals like Amex Offers can help you save money and earn more points. Amex Offers often has 5X bonuses on Amazon purchases, making it ideal for buying club purchases. You have to periodically check your account for these offers. I do it pretty much weekly across all of my credit cards.

Capital One, Chase, and Citi have merchant rebates similar to American Express. With these, you can save significantly and reduce your out-of-pocket costs while earning points.

Avoid below-retail offers (whenever possible)

The best way to avoid below-retail deals is to shop around the holidays or during sales. You can also reduce your out-of-pocket costs by purchasing discounted retailer gift cards and using them to pay for products. You’ll give up important purchase protections, but it’s an option.

You can’t rely on these groups to have the most up-to-date product price information on their site. So do your own due diligence and ensure that you’re not buying products for them at a substantial mark-up.

Best credit cards for buying groups

Using the right credit card can help you maximize rewards on buying group offers. The best credit cards for buying groups depend entirely on your objective: Are you trying to meet a spending requirement? Stock up on transferrable rewards for a first-class flight? Spend your way to hotel elite status? All of these questions should factor into your card choice.

I’d recommend choosing a card that earns a generous welcome bonus and offers purchase protection, in case your order goes missing.

If you’re looking to earn points beyond welcome bonuses, use a card that earns above-average rewards. For example, the Capital One Venture Card earns 2X miles on all purchases.

Some credit cards offer bonus rewards for meeting annual spending thresholds. These can include free night awards, elite qualifying nights, and other perks. By being strategic with your credit card usage, you can make your buying group purchases even more rewarding.

Note: If you apply for the Venture card or Amex Blue Business with my link, I’ll earn bonus miles if you’re approved. You don’t have to use my links, but I’d appreciate if you do!

Capital One Venture Rewards Credit Card

The Capital One Venture Rewards Credit Card is a great choice for buying groups because it earns 2X miles on all purchases. The miles are versatile; you can use them towards travel purchases at one cent each or you can transfer them to 18 airline and hotel programs.

You’ll get a minimum 2% return on your purchases, earning above-average rewards.

An American Express Card

The Blue Business® Plus Credit Card is ideal for buying club purchases because it earns 2X Membership Rewards on all spending (up to $50,000). But any Amex card could be a contender if you’re targeted for a lucrative Amex Offer.

For example, Amex frequently runs bonus point promotions on Amazon through Amex Offers. You might get targeted with your Amex Blue Business Card, your Amex Gold, or any other card. That’s why it’s important to check your Amex Offers periodically for bonus point opportunities.

Hopefully the timing aligns with buying club promos so you can elevate your point earnings.

Chase Freedom Flex^®️

The Chase Freedom^®️ Flex offers 5% cash back on rotating categories every quarter, and historically, Amazon makes the list at least once a year. You can earn 5% cash back on the first $1,500 spent each quarter, which is pretty substantial.

The rotating 5% bonus is great for times when buying groups are offering below-retail deals. They can offset the loss you’d otherwise incur and allow you to keep earning points.

If you have another Ultimate Rewards-earning credit card, like the Chase Sapphire Preferred® credit card, you can convert your cash-back rewards to Chase Ultimate Rewards. These points are much more valuable since you can transfer them to popular travel programs like World of Hyatt and Flying Blue, to name a few.

Citi® Double Cash Card

The Citi® Double Cash Card earns 2% cash back on all purchases: 1% when you buy and 1% when you pay it off. The card has no annual fee, making it a popular alternative to the Capital One Venture Card.

If you have a card that earns Citi ThankYou points (i.e., Citi Strata Premier℠ Card), you can essentially convert your cashback to Citi ThankYou points. Citi has 18 airline and hotel partners you can transfer points to. Popular options include Turkish Airlines Miles&Smiles, Virgin Atlantic Flying Club, and Avianca Lifemiles.

Hotel credit cards

Hotel credit cards can be great for spending via buying clubs because many offer annual spend-based rewards. For example, the World of Hyatt Credit Card offers an annual free night award when you renew the card, plus a second one when you spend $15,000 in a calendar year.

These free nights are valid at Category Hyatt 1-4 hotels and can save you hundreds of dollars. Furthermore, cardholders earn two elite night credits for every $5,000 spent. This can help you earn elite status via credit card spending.

Citi® / AAdvantage® Platinum Select® Card

If you’re looking to fast-track your way to AAdvantage elite status, the Citi® / AAdvantage® Platinum Select® Card is a good option. The card earns just 1 mile per dollar spent outside of restaurants, gas stations, and American Airlines purchases.

In addition to earning 1 redeemable mile per dollar spent, it also earns 1 Loyalty Point towards elite status. Furthermore, cardholders who spend $20,000 receive a $125 American Airlines Flight Discount.

Are buying groups worth it?

Buying groups can be worth it if you want to increase your credit card spending. They can help you earn more points and meet credit card spending requirements faster. The caveat? You have to carefully track your purchases, pay off your card on time, and never incur any losses. Doing so would negate the value of any rewards you may have earned.

While not all of these factors are in your control, you can protect yourself by only joining reputable buying groups and using a credit card with purchase protection. Above all else, it’s important to be aware of the risks involved with buying groups and to determine if the potential reward is worth it.

Frequently Asked Questions