What Would You Buy on a $27,000 Shopping Spree with 46 Credit Cards?

One of the reasons that credit cards are so popular is due to their convenience. On top of that, there is the illusion that you aren't spending your own money. (I guess you aren't. You're spending someone else's money -- money that you will have to pay back with interest.) But what if you had 46 credit cards and a $27,000 shopping list? What would do? Before your cards were flagged you were busted for fraud, of course.

A trio of would-be fraudsters were arrested last year for using credit cards obtained through less than forthright means, and a few days ago the offenders pleaded guilty. They were only a couple thousand dollars into their $27,000 shopping spree when some of the cards were flagged, reports the Peterborough Examiner:

When police searched their car they found 46 credit cards in the names of all three accused, a laptop (bought at the Peterborough Staples), clothes and a handwritten shopping list for items including computers, cameras, jewelry and gift cards, totalling more than $27,000, Crown attorney Brian Gilkinson said.

I suspect that the clothing, jewelry and computers on the scammers' shopping list were meant to be sold for money. I doubt they had any intention of paying 46 credit card bills. Of course, this led me to think about what my $27,000 shopping list would consist of.

Let's say you had $27,000 to spend. What would you spend it on? What do you already spend it on? When you stop to think about the sorts of things you buy with your credit or debit card, it becomes rather apparent that you probably spend $27,000 use plastic over the course of a few months. (Trying to spend so much all at once is probably one of the reasons that the credit cards used by our erstwhile criminal masterminds were flagged.)

I spend about $600 at the store for food, household and personal care items for my family. We spend about $100 a month eating out. Our entertainment budget is about $200 a month. And then, of course, we put our utilities on a credit card (helps us build rewards points), amounting to about $350 a month. And there is the cost of petrol, about $150 a month for our two cars. Even with all of that on there each month, it would take 19 months to reach $27,000. I guess I would have to add computers and jewelry to the list.

Flagged Credit Cards

Of course, if I started spending like crazy to meet the $27,000, my own account would be flagged. Many credit card companies take notice when you spend a lot of money at once, or if you are spending money in another part of the world, or if your online credit card purchases suddenly rocket higher. Unusual activity on your credit card can quickly result in its being flagged. You might find your account suspended, or transactions denied.

This is why, if you are planning to take a vacation somewhere, or make several substantial purchases in a short period of time, it is a good idea to call your Canadian credit card issuer and let them know. You don't want to be accused of fraud with your own credit card.

Image source: Andres Rueda via Flickr

This post was included in Canadian Finance Carnival #26 at the Canadian Finance Blog and in the Totally Money Carnival at My Personal Finance Journey.