Risks of Reward/Loyalty Card/Point Programs?

[Yen Tanuki]

(hope this is an appropriate forum for this concern? Please move if it's not!)

My dad is always really concerned about loyalty cards... (he keeps discouraging my getting a Scene Card, myaa... that's the one I really want, lol) and now browsing such sites as SmartCanucks, I'm even more tempted than ever to get some!

But I want to get informed more as to why he and others are concerned about privacy, and if I can weigh the privacy risks of getting certain rewards cards.

I wanted to ask SmartCanuckers opinions? If we are smart we should be smart about our privacy too :3 the days of personalized targetted marketing and pricing are coming nearer, with all this data mining and technology. Plus I'm really scared of identity theft.

I didn't know, but discount card programs are often outsourced to different third-party companies! And there seem to be different, less strict rules about monitoring our personal contact information...

If big secure banks can lose our identity info, what about unsecure third party discount-card-running businesses?

I liked this suggestion that I will prolly follow:

"Get access to your info. Find out how your store controls your information, how it's maintained, and how you can get access to it. Contact their press office and customer service representatives and demand to have your personal profile provided to you. If you want it removed, find out what it will take, if they charge fees, if employees get bonuses for recruiting for loyalty programs, etc. "

Has anyone done such inquiring?
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Another issue I dislike about loyalty cards is profiling for upper-income people; as a poor student, I don't want supermarkets catering to the wealthy elite:

"If you ask the stores, they will tell you that the card programs are designed to help them “reward our valuable customers with better prices.” Though this sounds nice on the surface, what the stores won’t tell you is that the phrase “valuable customers” is an industry code word meaning “shoppers who spend the most money in our stores.” The truth is that cards are designed to identify and reward the wealthiest shoppers the ones who spend a lot of money on food while the rest of shoppers particularly those at the lower end of the income scale may soon find their access to affordable food dwindling. ""

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Also I came across this privacy concern I hadn't even known about o__o chips in our clothing to track us?? Sounds crazy! Are others aware of this?

Spy Chips in Consumer Products: http://www.spychips.com/faqs.html

I'd appreciate any info and comments : D I really want to sign up for some lower-risk reward programs!

Some webpages I just skimmed:

> http://www.infosecurity-magazine.com...-the-rewards-/

> http://www.nocards.org/faq/index.shtml (<--this website has a bit of a paranoid, snooty tone to it but also lots of great info/advice)

> http://www.consumeraffairs.com/news0...#ixzz0wJm23ojY

[collett]

I am not worried at all about privacy issues. I have every reward card that you can think of and I never get any telemarketers calling me or junkmail. My husband on the other hand isn't signed up for any rewards cards and telemarketers call for him at least once a day ugh....

I really don't see what the big deal is with stores knowing what you buy. If the retailer wants to give me rewards for that info I am completely ok with it. I have gotten about $400 in rewards this year so far. I figure the worst that could happen is that a company whose products I buy might send me some junk mail, but then it would probably have coupons it lol. But seriously what is the worst that could happen. There is no risk of identity theft because rewards cards never ask for your SIN.

They are called loyalty cards for a reason and that is to keep customers spending their money at their store. And it works just check out the SDM thread.

[carmelon]

While I don't think there is a risk having rewards cards, I do think you "pay" for the rewards . The prices in stores that have rewards cards tend to be a little higher. That being said, if you are going to be buying it anyways, you might as well get rewarded somehow for it!

[coupon girl]

thats right they dont ask for your social insurance number as collett stated.I have every loyalty card going- just recieved $160.00 in free gas from airmiles,hbc points got me a dishwasher almost free at the bay last year on $45.00 dollars- tend to go to zellers a lot for the points - shoppers got me free merchandise last time 200.00- just joined aeroplan- do i fly a lot heck no- im just putting pins in from food i buy and see where that takes me- free stuff in life is so great now a days with everything going up and up

[lekate]

Eh, they never ask for something that you can't find from a phone book, most don't require things like your phone number anyways. I'm not too concerned about privacy, the few things that are inherent to my privacy are ridiculous for a rewards program to ask for.

that being said, I'm on the poor end too, but use rewards points because I'll still get something from it, even if it takes longer! my consumption habits are much lower than most people on this site, which is why my AM points take forever to accumulate, I spend maybe 200$ a month on food, and for optimum points, I really only get them from buying gcs and using those to buy tickets!

[Zonny]

While I don't think there is a risk having rewards cards, I do think you "pay" for the rewards . The prices in stores that have rewards cards tend to be a little higher. That being said, if you are going to be buying it anyways, you might as well get rewarded somehow for it!

Well yes, I think that's true as well. But you can beat them at their own game if you're careful.

Here in NS, SDM gives Optimum points on prescriptions. Since my prescriptions are covered 100% by insurance, no cost to me. My bus passes don't normally earn points, but I buy a gift card for them first, so that's nearly 17,000 points that don't cost me any more than it would anywhere else. Plus I mostly just buy the things that are on sale - a *bit* more money, but figuring in the reward, makes it worth it to me.

Also in NS, Sobeys gives Air Miles. This, plus the fact that Sobeys is closet to my house than Superstore, makes me buy most of my basics there. I know my prices, and the two stores are comparable for the most part. I still visit Superstore for the sales though, I don't just go to Sobeys for everything just to get Air Miles.

Z

[ahatt]

I have practically every rewards card out there, and have never had an issue with any of my personal information compromised. I also have never had any telemarketing calls from any companies I have a loyalty/rewards card from. Honestly, if a store/company is giving me free rewards for things that I already have to buy, I'll take it!!

[heinz]

loosen up.

[blueoceanflower]

The thought has crossed my mind, but really, in regards to identity theft, if someone really wanted to, they could get most of the info needed by going through your garbage, if you are not too careful

[EdLeafs]

...as a poor student, I don't want supermarkets catering to the wealthy elite

Maybe you want to come back to reward programs when you graduate from school and have a real job then you'll find out that spending $100 a week on grocery isn't a lot of money taken from your total earnings/salary.

[Poirot]

If you want to see an invasive website this is it www.192.com I looked up some of my relatives who live in the U.K. this info on the website is accurate.

[carlyincanada]

I'm not worried about it...I love SDM points & have redeemed for over $1000 in free stuff in the past year! Just for buying groceries & stuff that I need!

Doing the MIR are great too...you get the product & the money back...Sweet!

[Yen Tanuki]

Ahah, thanks everyone for your input :3 I wanted to get some more experienced peoples opinions~

@Poirot: and yes I know! There are lots of those reverse number/address search places in Canada @__@

[FallenPixels]

haha that UK thing still has me listed at an address I lived at and moved from several years before I moved here

I am not worried, I have more issues with Bell selling my phone number to their 'select partners'

[OctoberSun]

You should definately get a Scene Card they are so worth it if even if you only see movies every once in a while!