Quick way to create debt

granta

Juno_Moneta said:

I’ve stoozed for years and have found a few crafty routes to ‘generate debt’ - basically paying for things in advance I would have to eventually pay anyway. 

So the first that most don’t think about is your council tax. Most authorities allow card payments ( not Amex usually ) so instead of a monthly direct debit just make an annual card payment. That’s a large amount (2k?) ready for stoozing. 

And linked to your home again - energy bills. My supplier EON is more than happy to let me credit my account to be used against future bills. So there you go send 1k into your energy account. 

Easy to build up a good amount to stooze if you use your imagination. 

Thanks for the suggestion.
I can see how this can help build up debt quickly. But I'm unclear how this can help me then release the cash to put into a high interest account? Unless I've misunderstood the process, would it not just remain as a credit balance with the council/energy provider?

Whereas if I make a purchase and then get it refunded after the BT has gone through, the CC will refund me in cash that I can then lock away.

400ixl

How much do you trust yourself to not touch the stooged money if you have only just got out of a debt position?

The BT 0% card will have a hard end date and if you don't have 100% of the money there to pay it off then you will quickly wipe out any interest from the stooging and be straight back into a debt position which will grow quickly.

Does the BT card allow for multiple transfers over a period of months? There is a risk on timing of trying to buy things transfer the credit off and then get the refunds back off the card. What happens if you get into a dispute on a refund and that refund does not happen in the interest free period of the main card. That could wipe out months of stooging with its higher interest rates.

Juno_Moneta

granta said:

Juno_Moneta said:

I’ve stoozed for years and have found a few crafty routes to ‘generate debt’ - basically paying for things in advance I would have to eventually pay anyway. 

So the first that most don’t think about is your council tax. Most authorities allow card payments ( not Amex usually ) so instead of a monthly direct debit just make an annual card payment. That’s a large amount (2k?) ready for stoozing. 

And linked to your home again - energy bills. My supplier EON is more than happy to let me credit my account to be used against future bills. So there you go send 1k into your energy account. 

Easy to build up a good amount to stooze if you use your imagination. 

Thanks for the suggestion. 
I can see how this can help build up debt quickly. But I'm unclear how this can help me then release the cash to put into a high interest account? Unless I've misunderstood the process, would it not just remain as a credit balance with the council/energy provider?

Whereas if I make a purchase and then get it refunded after the BT has gone through, the CC will refund me in cash that I can then lock away.

Perhaps you’re missing the key part here - you credit your council tax and energy accounts, and whatever else you can find, using “Old Credit Card 1” which creates a balance of let’s say £3000. 

Then … you balance transfer all of that cards balance to “New Credit Card 2”, and setup a monthly direct debit to pay only the minimum payment until the BT offer ends - eg 2% a month for 12 months. 

The ‘cash released’ is the cash you’ve freed up by not having a council tax direct debit for a year or an energy bill direct debit for however many months you’ve covered in advance. You will have more disposable cash in your current account each month. 

Put that cash into your high interest account instead.

(by talking about making purchases then getting refunds I assume you are trying to stooze using just one credit card - this is a lot harder (refunds can be aggro) - the simple 2 card approach above works great)

granta

Juno_Moneta said:

granta said:

Juno_Moneta said:

I’ve stoozed for years and have found a few crafty routes to ‘generate debt’ - basically paying for things in advance I would have to eventually pay anyway. 

So the first that most don’t think about is your council tax. Most authorities allow card payments ( not Amex usually ) so instead of a monthly direct debit just make an annual card payment. That’s a large amount (2k?) ready for stoozing. 

And linked to your home again - energy bills. My supplier EON is more than happy to let me credit my account to be used against future bills. So there you go send 1k into your energy account. 

Easy to build up a good amount to stooze if you use your imagination. 

Thanks for the suggestion. 
I can see how this can help build up debt quickly. But I'm unclear how this can help me then release the cash to put into a high interest account? Unless I've misunderstood the process, would it not just remain as a credit balance with the council/energy provider?

Whereas if I make a purchase and then get it refunded after the BT has gone through, the CC will refund me in cash that I can then lock away.

Perhaps you’re missing the key part here - you credit your council tax and energy accounts, and whatever else you can find, using “Old Credit Card 1” which creates a balance of let’s say £3000. 

Then … you balance transfer all of that cards balance to “New Credit Card 2”, and setup a monthly direct debit to pay only the minimum payment until the BT offer ends - eg 2% a month for 12 months. 

The ‘cash released’ is the cash you’ve freed up by not having a council tax direct debit for a year or an energy bill direct debit for however many months you’ve covered in advance. You will have more disposable cash in your current account each month. 

Put that cash into your high interest account instead.

(by talking about making purchases then getting refunds I assume you are trying to stooze using just one credit card - this is a lot harder (refunds can be aggro) - the simple 2 card approach above works great)

Thanks, I see how this works...another slow stooze option. Will keep this in mind for future stoozing endeavours!

But on this occasion I would like the cash upfront to fund some regular savers etc this month. I have managed to find another way so all good and the cash is in transit.

Juno_Moneta

Granta - let us know your cash approach - always useful to hear others experiences!

ZeroSum

granta said:

Juno_Moneta said:

granta said:

Juno_Moneta said:

I’ve stoozed for years and have found a few crafty routes to ‘generate debt’ - basically paying for things in advance I would have to eventually pay anyway. 

So the first that most don’t think about is your council tax. Most authorities allow card payments ( not Amex usually ) so instead of a monthly direct debit just make an annual card payment. That’s a large amount (2k?) ready for stoozing. 

And linked to your home again - energy bills. My supplier EON is more than happy to let me credit my account to be used against future bills. So there you go send 1k into your energy account. 

Easy to build up a good amount to stooze if you use your imagination. 

Thanks for the suggestion. 
I can see how this can help build up debt quickly. But I'm unclear how this can help me then release the cash to put into a high interest account? Unless I've misunderstood the process, would it not just remain as a credit balance with the council/energy provider?

Whereas if I make a purchase and then get it refunded after the BT has gone through, the CC will refund me in cash that I can then lock away.

Perhaps you’re missing the key part here - you credit your council tax and energy accounts, and whatever else you can find, using “Old Credit Card 1” which creates a balance of let’s say £3000. 

Then … you balance transfer all of that cards balance to “New Credit Card 2”, and setup a monthly direct debit to pay only the minimum payment until the BT offer ends - eg 2% a month for 12 months. 

The ‘cash released’ is the cash you’ve freed up by not having a council tax direct debit for a year or an energy bill direct debit for however many months you’ve covered in advance. You will have more disposable cash in your current account each month. 

Put that cash into your high interest account instead.

(by talking about making purchases then getting refunds I assume you are trying to stooze using just one credit card - this is a lot harder (refunds can be aggro) - the simple 2 card approach above works great)

Thanks, I see how this works...another slow stooze option. Will keep this in mind for future stoozing endeavours!

But on this occasion I would like the cash upfront to fund some regular savers etc this month. I have managed to find another way so all good and the cash is in transit.

But if you're funding reg savers, then that's a monthly build up rather than money all at once. Unless you discover a genuine loophole somewhere, I'd probably forget about trying to get a load of cash upfront as could get stung from fees. Best way for lumper is using it to spend on something that you were already saving up for. In my case I built up a big stooze pot quickly as we were getting married, and we're saving for it. So was just a case of moving cash out of our wedding fund into the stooze pot.

Fingerbobs

Juno_Moneta said:

I’ve stoozed for years and have found a few crafty routes to ‘generate debt’ - basically paying for things in advance I would have to eventually pay anyway. 

So the first that most don’t think about is your council tax. Most authorities allow card payments ( not Amex usually ) so instead of a monthly direct debit just make an annual card payment. That’s a large amount (2k?) ready for stoozing. 

And linked to your home again - energy bills. My supplier EON is more than happy to let me credit my account to be used against future bills. So there you go send 1k into your energy account. 

Easy to build up a good amount to stooze if you use your imagination. 

I don't really see much advantage in doing this. By paying the lump sum up-front instead of the monthly payments, you're losing out on interest that you could have earned on the remaining monthly amounts. You're not gaining anything by creating the debt. You've effectively borrowed money at 0%, and given it to the council or a utility company. The point of Stoozing is to borrow money at 0% and keep it yourself to earn interest on it. Unless I've missed something?

granta

Fingerbobs said:

Juno_Moneta said:

I’ve stoozed for years and have found a few crafty routes to ‘generate debt’ - basically paying for things in advance I would have to eventually pay anyway. 

So the first that most don’t think about is your council tax. Most authorities allow card payments ( not Amex usually ) so instead of a monthly direct debit just make an annual card payment. That’s a large amount (2k?) ready for stoozing. 

And linked to your home again - energy bills. My supplier EON is more than happy to let me credit my account to be used against future bills. So there you go send 1k into your energy account. 

Easy to build up a good amount to stooze if you use your imagination. 

I don't really see much advantage in doing this. By paying the lump sum up-front instead of the monthly payments, you're losing out on interest that you could have earned on the remaining monthly amounts. You're not gaining anything by creating the debt. You've effectively borrowed money at 0%, and given it to the council or a utility company. The point of Stoozing is to borrow money at 0% and keep it yourself to earn interest on it. Unless I've missed something?

Yes exactly. This was my point when I responded to this suggestion.
I resent paying the council etc a big lump sum upfront that doesn't gain me any interest. In the end, I managed to create the debt and get a refund so I had all the cash and it's now earning 5-8% in various accounts. 

But I also wondered if I'd missed the point somewhere! For me, stoozing is about making that 0% debt work as hard as possible for the extra interest.

Juno_Moneta

Fingerbobs - you should read my follow up reply above to a similar query. 

I’m making plenty of interest thanks!

Fingerbobs

Juno_Moneta said:

Fingerbobs - you should read my follow up reply above to a similar query. 

I’m making plenty of interest thanks!

I must be missing something fundamental here, because I still don't see any benefit at all to doing this.
If the council or utility company has the money, that's money you're no longer earning interest on, regardless of what you do with the credit card balance afterwards. The only way to make this work would be to get the council/utility to refund the overpaid money to you.