Making Money from Credit Cards??

Hello

Now how is this for a suggestion - is it possible to do?

1) Open a credit card account with 0% on purchases for 6-9 months
2) Lets say the credit limit is £10000
3) Transfer all this into a savings account with a high interest e.g. ICICI (5.15%)
4) You are making 5% on £10K - around £500 over 12 months
5) Open plenty of credit cards and do the same with those.
6) Pay back balance when the 0% offer is due to finish

Will this work??
is it possible??
«1

Replies

  • ClarimanClariman Forumite
    1.5K Posts
    Part of the Furniture 1,000 Posts Combo Breaker
    Errr, yes it will work and does work .... and that is precisely what stoozing is! There is a bit more to it than that. Take a look at the stoozing link above on this page and take a look at the stoozing website to read up on the techniques. It is very important to do the research first because it is easy to get caught out.

    You can't use a 0% on purchases card to move money directly into a bank account but you can use it for what we call slow stoozing. To move the whole balance in one go you need a 0% on Balance Transfers card and another card (e.g. Egg Money) that allows you to route the money into a bank account. You also have to take into account Balance Transfer fees.

    Clairman
    Co-author/owner of the official stoozing website https://www.stoozing.com and Creator of the SOA & Snowball calculators.
  • aj9648aj9648 Forumite
    1.3K Posts
    Part of the Furniture 500 Posts
    Sorry - first time I have ever heard of Stoozing and I guess I will be applying for and Egg Money account !!!!
  • aj9648aj9648 Forumite
    1.3K Posts
    Part of the Furniture 500 Posts
    Right I am being really stupid here I know...............but please hear me out

    1) I open an Egg Money account - I gain 4% on positive balances.
    2) I open a Virgin CC - lets say a credit limit of £7K and 0% on BT and purchases
    3) I move the £7K from my virgin card to Egg Money card and gain interest on this.

    Now (this is the silly bit) who do I ask to do the BT - do I ask egg to do it or get Virgin to do it?

    i know I am daft - but any clarification?

    Thanks
  • YorkshireBoyYorkshireBoy Forumite
    31.5K Posts
    Part of the Furniture 10,000 Posts Name Dropper
    Forumite
    aj9648 wrote:
    ...any clarification?
    You'll find all the 'clarification' you need on the stoozing website Clariman pointed you to earlier.

    Specifically though, read the stoozing full guide.
  • i made around 30.000 pounds its what we call legal nicking i had a visa card 45000 pounds i had a good job ; put the money in to u bank account or high intreast account . dont pay back the banks apenny wait till it gets passes to debt collectors mine was draycott. offer them 10 pounds month as atoken payment by law thay have to take it. afer 6 months ring them and say i come in to some money i have 15 000 pounds as full anf final they went back to nat west bank and they ok it some thing is better then nothing . and guess what u pay them back with there money 30 000 pounds profit this is 100 p/c real no messing my debt all intreast and charges frozzen from day 1, i got letters here from the bank and draycott to say my balance is 0 and the excess well be written of and well not be passed out again anf my credit file is marked as sett and closed
  • Danni19Danni19 Forumite
    122 Posts
    Sounds like a great way to never get credit again.

    Nice one.
  • yer if a debt is sett as afull and final it really does not go against you this was some time now since then i have brought a house and a car on credit so i had the last laugh any way i have around 15 credit cards which i have had for years i tell u with some high limits ; look the banks have been ripping people of for ages; so is the saying dont get mad get even .
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  • PoorDavePoorDave Forumite
    952 Posts
    500 Posts
    Danni19 wrote:
    Sounds like a great way to never get credit again.

    Nice one.

    So don't do it then.

    There are warnings all over Martin's advice guides on stoozing about not doing it if you actually need credit, as it can harm your ability to get credit when you really need it.

    However, if you don't need credit (apart from mortgage), it can be profitable.
    Annual income twenty pounds, annual expenditure nineteen nineteen and six, result happiness. Annual income twenty pounds, annual expenditure twenty pounds ought and six, result misery
  • Rather than playing games with credit cards, can I suggest we all focus on ways of carefully and gradually, reducing the debt on cards and monitor spending overall so that our dependancy on these things is reduced, if not, eliminated all together.

    Shuffling debt, constantly monitoring rates, opening new accounts creates more stress and anxiety into debt management. More attention needs to be paid to budgetting and the avoidence of overspending.
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