Gas Buddy
 

I just got a gas buddy card The way it works is like a debit card linked to your checking account. You save .15/gal on the first fill up .05/thereafter. My question is, how do they make money?, if any.

No answer for your Q...
Safeway and Fry's offers money off for gas.,
My g/f often gets $1.00 off per gallon from her Safeway card. She saves up to get that much...and unlike Fry's, Safeway has no time limit.
So she lets it build up.
I usually only get $.20 - $.30 off per gal. for my Fry's card.

CC companies charge extra for gas. Linking to a bank account removes that extra, and then they probably get a cut.

Heck even buying a Shell gas card saves me .05 cents, and the seller gets 7% (my daughter's school) and a Shell credit card would give .1 back.

Never understood the appeal to give ramdom companies access to your bank account...

It's a loyalty program. No different than giving out frequent flyer miles. It's just another way of spending marketing money to get you to spend your money with them instead of the competition.

they sell your marketing information to their valued business partners.

I'm thinkin the margin is with the company pre-purchasing fuel with a volume discount, like large trucking companies do - but they hold back say 1-2 pennies a gal.

They are making a deal with their "valued partners".

And selling marketing information

Yes they are.

Safeway gas credits do expire, good for a few months.

Credit card companies charge upwards of 3% plus 0.30 per transaction.

So thats $0.09 in fees per $3 gallon.

THe gas company is saving 40% fees by only paying $0.05 per gallon to Gas Buddy.