In 2005, congress passed the Presidential $1 Coin Act of 2005 with unanimous consent. In 2007, two years later, the Presidential $1 Coin Program had begun as mandated, and the US Mint minted an abundance of new one dollar coins with the portraits of United States presidents on the front. Unfortunately for them, this abundance turned out to be an overabundance; no one actually wanted to order these dollar coins, and so the Mint was left with an enormous unused stockpile.
Enter the US Mint’s new program: In order to get dollar coins out to the public, they declared they would direct ship them to anyone who ordered them, for only the value of the coins themselves. The US Mint would handle all those pesky shipping and handling costs for you.
And, incidentally, you could pay for your shiny new one dollar coins with that wondrous modern convenience known as a credit card!
People immediately began to take the obvious tack: Order massive shipments of dollar coins with your credit card, return this legal tender to your bank, and then keep all the cashback rewards and airline miles you’ve earned with these purchases for yourself.
One user on CreditCardForum.com excitedly told their fellow forum goers how to get in on the scheme, stating that they and their partner would be, “departing on a luxury first class vacation in the French Riviera using this frequent flyer miles strategy!” Various travelers regaled NPR with tales their many first-class flights around the world: Jane Liaw said that she and her spouse went to Turkey and Greece via the rewards from their coins, and travel blogger Ben Schlappig, who described himself as “not as heavy a hitter as other people, I guess," accrued “a few million miles” and had, at the time of the interview, recently returned from vacations to Australia, Singapore, and Malaysia. Meanwhile, over on flyertalk.com, popular user mrpickles was exchanging $100,000 in coins per month, earning themselves 2 million frequent flier miles by the end of 2009. By the beginning of 2011, despite their many vacations, they had 5.3 million frequent flier miles left over in their various credit cards.
Eventually, the US Mint put an end to this scheme in July 2011, announcing that they would begin charging an fulfillment fee for each box of dollar coins. But, not before thousands of people earned themselves millions of dollars worth of credit card rewards, all for free.
It seems that sometimes, you really can get something for nothing.