the best two credit card trick to do year to year

[jdgay22]

i have been doing this for three years now.every year creditcard companies give you cards with 0% offer for 12 months on purchases and balance transfers.

1. well i seen threads on balance transfer to high yield savings. the main thing to make this work good is to have the credit card offers with the first balance transfer fee waived. then i would pay it back on the 10 month to be safe


2. put all your bills and expense each month on your credit card, and just pay the minimum each month. then put all your check that you make into the high yield savings account, so u would make intrest on the money you make. then pay it off on the 10 month also to be safe

in both situation one an two there is two option u can use to pay it off and start it up again for the next year

1. you can withdraw the money from the savings . pay it off, and apply for another 0% offer for 12 months. then cancel the last card. which work well

2 if you dont plan purchasing a car or house anytime soon. then this is the gold mine. the fast way to keep it going, and the best. you keep your money in the savings account. you apply for another 0% card for 12 months. do the fee free balance transfer then cancel the payed off card. I have been doing this for 3 years now.

one word of advice only put bills, gas, random big purchase. u dont want to over spend. u want to spend your normal amount. if you budget wisely . this is a great thing.

[slimcustomer]

I don't see the advantage of waiting to use the 0% offers on purchases. Why not maximize the deal by opening a combination of high yield cds and savings accounts from the start? I do think that discussion of how to maximize 0% offers on purchases only is a good idea(since I just got an offer for 0% on all purchases for 6 months on one of my existing cards ).

[boefixepa]

I do something similar and make a few hundred dollars a year doing it. It all depends on your view of credit cards. Some people hate them, or can't bear the thought of using them. The keys are 1.) Do not to spend more than you would with cash. 2.) Don't spend money you don't have (aka..BUDGET...) Lastly 3.) Never spend the cash you have sitting...wherever..to pay them off. If you always have the cash to pay them off then you arn't really in debt. If you can do this fine, if you can't fine. Each has to do what they are able.

[debtdude]

Continually cancelling and getting new credit cards negatively effects your credit rating!

[jmjj215]

Originally Posted by debtdude

Continually cancelling and getting new credit cards negatively effects your credit rating!

I believe cancelling credit cards only hurts you because it removes history from your record. If it's a year-old card, it's no big deal to cancel it. Now, cancelling a card with a 10-year history would be a different story.

[cbmeeks]

Originally Posted by jdgay22

2 if you dont plan purchasing a car or house anytime soon. then this is the gold mine.......I have been doing this for 3 years now.

Gold mine? lol

How much money have you actually made in the three years doing this? How much time do you have invested doing the research, applying for cards, transfering money, etc?

Originally Posted by boefixepa

I do something similar and make a few hundred dollars a year doing it.

A few hundred a year?? Is it really worth it? Having that risk? The risk of the CC company sticking you some other way? DR said it best. "Sure it might work but the CC companies are snakes and when you play with snakes you get bit." :-) Good 'ole simple logic...works every time.

Originally Posted by boefixepa

If you always have the cash to pay them off then you arn't really in debt.

hmmm....so, let's say I have $1000 total to my name and I have $500 in CC debt. By your logic, I am not in debt because I could take that $500 and pay it off at any time.

Well, let's say you are driving down the road with a big smile on your face because you have "beat the system" and then your transmission goes out. Bam. $950 to fix it.

Are you in debt now?

cbmeeks

[jdgay22]

no i have the card open right now one has a citi bank dividends 10,000 limit mbna american express 10,000 limit hsbc with a 16,000 limit that has the 0% for 12 months with a 10,000 dollar ballance that all in a savings account . the first card had a balance transfer of 10,000 grand. i just keep balance transfering
10,000 grand so it wont have to be pulled out my savings. some people said this hurts your credit score. but actually the high balance part helps. because I have had super high balance which i payed off. so credit card companies will give me limits that some off you could only dream of.

[debtfreesteve]

Originally Posted by jdgay22

. so credit card companies will give me limits that some off you could only dream of.

I was going to stay out of this one, but this quote caught my eye...

Who wants to have dreams of high credit limits? Sounds more like a nightmare to me. I dream of benjamins baby, and you don't get them by playing this ridiculous game with the massive credit industry and it's institutions, They've got you, and you don't even know it.

[jdgay22]

maybe if i was spending money thet got me, but I am makin money. and i wont ever be late on a payment because i have a automatic payment straight from my savings account every month. sounds like a man that does know how to make his credit score with for him.

[debtfreesteve]

Nope, just another one of those rich dumb folks with a declining credit score...

[jdgay22]

my score is 790

[jdgay22]

so u can be broke with ur 800's scores, but real business man take advantage of credit. thats whats so great about it. making money for free without it being your own money.

[slimcustomer]

Originally Posted by debtfreesteve

I was going to stay out of this one, but this quote caught my eye...

Who wants to have dreams of high credit limits? Sounds more like a nightmare to me. I dream of benjamins baby, and you don't get them by playing this ridiculous game with the massive credit industry and it's institutions, They've got you, and you don't even know it.

What you call a ridiculous game is just what the banking industry does to make it's own "benjamins". There is a whole culture of people who make money in a similar way, by borrowing money for less than they can lend it back out to the banks at. Its actually not that difficult to manage if you do your homework or if find somene willing to let you apprentice with them. With this way of producing income, the higher your credit limits the better. Whether someone makes a few hundred a year or over $10,000, it is up to them to decide if it is woth it or not. I'm not as hardcore as some others at this, but I do enjoy the extra money I make arbitraging credit union and bank rates.

[debtfreesteve]

Originally Posted by jdgay22

so u can be broke with ur 800's scores, but real business man take advantage of credit. thats whats so great about it. making money for free without it being your own money.

As sweeps has mentioned before, we could go round and round with this one...

Goes back to 'if you play with snakes, eventually, you will get bitten' I prefer to stay away from the snakes

[jdgay22]

no i think of this more link a relationship, it only goes bad if u dis own it

[cbmeeks]

Originally Posted by jdgay22

no i have the card open right now one has a citi bank dividends 10,000 limit mbna american express 10,000 limit hsbc with a 16,000 limit that has the 0% for 12 months with a 10,000 dollar ballance that all in a savings account . the first card had a balance transfer of 10,000 grand. i just keep balance transfering
10,000 grand so it wont have to be pulled out my savings. some people said this hurts your credit score. but actually the high balance part helps. because I have had super high balance which i payed off. so credit card companies will give me limits that some off you could only dream of.

lol. I don't dream of credit limits....I call those nightmares.

My point was that having the cash to cover a debt does NOT make you debt free!!! It's like holding a piece of ice in one hand and a piece of hot coal in the other hand and saying "The cold balances out the hot so I'm not actually burning myself".

LMAO

Originally Posted by jdgay22

maybe if i was spending money thet got me, but I am makin money. and i wont ever be late on a payment because i have a automatic payment straight from my savings account every month. sounds like a man that does know how to make his credit score with for him.

Never be late? Never? Tell that to the homeless man living in the street. Tell that to the cancer cells that could get into your body any day and take that "unlimited" supply of automatic payments you have from your bank. Point is that life is not fair. Something could happen to take those giant reserves of cash you have and leave you with debt. REAL debt. You know what debt is right? Debt is when you OWE someone money.

Originally Posted by jdgay22

so u can be broke with ur 800's scores, but real business man take advantage of credit. thats whats so great about it. making money for free without it being your own money.

The only way to make money for free without using your own money is theft.

Originally Posted by debtfreesteve

They've got you, and you don't even know it.

Everyone sing now! B I N GO B I N G O B I N G O and BINGO was his name-o!

cbmeeks

[jdgay22]

ok
debt:
_____
house: just property tax each year
car: 2003 sc430 lexus owes's 00.00
credit cards
citi dividend- 200-300 just gas each month for the car
hsbc- 10,000 dept
american express- 0 balance


so i dont have much dept. and i cant be late with auto pay.

[cbmeeks]

I wasn't arguing your personal finances, I was arguing your logic.

You said that if you have the cash to cover debt then you aren't in debt. I said you were wrong.


BTW, any reason WHY you mentioned the year and model of your car? Are all Lexus owners that proud of their car?

lol

[sweeps]

Can we put this to rest? Some people responsibly use debt to make more money. Others prefer minimizing their outstanding debt to reduce financial risk. Both ways are valid, just different philosophies. Please, let's move on...

[cbmeeks]

Agreed.

Even though my way is better. :-P

lol

cbmeeks