The payoff comes from doing it to hit signup bonuses. If you needed to spend $5000 on a card, you could buy Visa gift cards and spend $59.50, but get 105,000 miles from the bonus.
Essentially a round-trip business class ticket from the US to Asia.
Essentially a round-trip business class ticket from the US to Asia.
Buy gift card with credit card -> Unload gift card back to credit card. Repeat. Send the same $5000 around in a circle (less fees). I'm simplifying of course.
Bluebird, a prepaid debit card from Amex and Walmart, has been one of the big methods for some time but I'm not sure if that one is still viable.