How panhandlers use free credit cards

News

Toronto Star
September 3rd, 2010

By Jim Rankin

What would happen if, instead of spare change, you handed a person in need the means to shop for whatever they needed? What would they buy? Can you spare your credit card, sir?

In New York City, an advertising executive recently handed over her American Express Platinum Card to a homeless Manhattan man after he had asked her for change. The man, who had been without home after losing a job, used the card to buy $25 worth of deodorant, water and cigarettes. And then he returned the card.

Concerns over the wisdom of sharing of credits cards and credit card fraud aside, the unlikely encounter became a talking point — a feel-good story about, as the New York Post put it in a headline: “A bum you can trust — honest!”

Is that such a surprise?

Over the past two weeks, I wandered Toronto’s downtown core with five prepaid Visa and MasterCard gift cards, in $50 and $75 denominations, waiting for people to ask for money.

When they did, I asked them what they needed. A meal at a restaurant, groceries, a new pair of pants, they said. I handed out the cards and asked that they give them back when they’d finished shopping. I either waited at a coffee shop while they shopped or — in the case of those who could not buy what they needed nearby or were reticent about leaving their panhandling post — I said I’d return on another day to pick up the card. That’s when I would reveal that I was a journalist.

Some were unbelieving at first. All were grateful. Some declined the offer. Some who accepted didn’t come back, but those that did had stories to tell.

Story continues at the Toronto Star