Comments for Paul's credit card arbitrage blog http://www.paulsideas.com This blog lets readers follow how I am making money from 0% balance transfer credit card offers that I find. Sat, 06 Sep 2008 03:47:21 +0000 http://wordpress.org/?v=2.2.2 Comment on The importance of paying your app o rama credit card arbitrage bills on time. by Tim http://www.paulsideas.com/the-importance-of-paying-your-app-o-rama-credit-card-arbitrage-bills-on-time/#comment-30 Tim Wed, 24 Oct 2007 05:06:03 +0000 http://www.paulsideas.com/the-importance-of-paying-your-app-o-rama-credit-card-arbitrage-bills-on-time/#comment-30 What I wonder is if it's possible to do something like the app-o-rama, but simply on a smaller scale, a way for a college student to make a bit of cash on the side. This scheme seems to work, but requires regular interest payments. This might be useful for seed money, or for simply getting some beer money on the side. The concept is this: 1. Get a single card with a relatively high limit. 2. Purchase a short term CD with a term less one month. 3. During each month, using the max on the card to purchase the CD, and then pay it back at the end of the month, pocketing the remaining interest. Would something like this be feasible? It wouldn't make a huge amount, ideally maybe 1 or 2 hundred a month. Still, free money's free money. What I wonder is if it’s possible to do something like the app-o-rama, but simply on a smaller scale, a way for a college student to make a bit of cash on the side. This scheme seems to work, but requires regular interest payments. This might be useful for seed money, or for simply getting some beer money on the side.

The concept is this:
1. Get a single card with a relatively high limit.
2. Purchase a short term CD with a term less one month.
3. During each month, using the max on the card to purchase the CD, and then pay it back at the end of the month, pocketing the remaining interest.

Would something like this be feasible? It wouldn’t make a huge amount, ideally maybe 1 or 2 hundred a month. Still, free money’s free money.

]]> Comment on List of my 0% balance transfer APP o RAMA credit cards. I NOW HAVE a $130k CREDIT LIMIT thanks to my credit card blog!!!! by Paul http://www.paulsideas.com/list-of-0-balance-transfer-credit-cards-i-now-have-a-130k-credit-limit/#comment-26 Paul Mon, 15 Oct 2007 14:02:51 +0000 http://www.paulsideas.com/list-of-0-balance-transfer-credit-cards-i-now-have-a-130k-credit-limit/#comment-26 about $600 per month :) about $600 per month :)

]]> Comment on List of my 0% balance transfer APP o RAMA credit cards. I NOW HAVE a $130k CREDIT LIMIT thanks to my credit card blog!!!! by Ron http://www.paulsideas.com/list-of-0-balance-transfer-credit-cards-i-now-have-a-130k-credit-limit/#comment-19 Ron Thu, 11 Oct 2007 19:59:22 +0000 http://www.paulsideas.com/list-of-0-balance-transfer-credit-cards-i-now-have-a-130k-credit-limit/#comment-19 Paul, if you invest this 130k, what kind of monthly returns do you expect if you do some sort of ING Direct 5.5% type account? Paul, if you invest this 130k, what kind of monthly returns do you expect if you do some sort of ING Direct 5.5% type account?

]]> Comment on My APP O RAMA cards are coming in! college student Credit card arbitrage begins this week! by Chris http://www.paulsideas.com/my-app-o-rama-cards-are-coming-in-college-student-credit-card-arbitrage-begins-this-week/#comment-18 Chris Wed, 10 Oct 2007 19:35:58 +0000 http://www.paulsideas.com/my-app-o-rama-cards-are-coming-in-college-student-credit-card-arbitrage-begins-this-week/#comment-18 Hey Paul, Really looking forward to see your results! Keep us posted ! :) Chris Hey Paul,

Really looking forward to see your results!

Keep us posted ! :)

Chris

]]> Comment on My APP O RAMA cards are coming in! college student Credit card arbitrage begins this week! by Apply for credit cards http://www.paulsideas.com/my-app-o-rama-cards-are-coming-in-college-student-credit-card-arbitrage-begins-this-week/#comment-17 Apply for credit cards Wed, 10 Oct 2007 14:33:32 +0000 http://www.paulsideas.com/my-app-o-rama-cards-are-coming-in-college-student-credit-card-arbitrage-begins-this-week/#comment-17 Credit card site is great thanks. Credit card site is great thanks.

]]> Comment on What is an APP-O-RAMA ??? by TT http://www.paulsideas.com/what-is-an-app-o-rama/#comment-9 TT Fri, 28 Sep 2007 14:59:51 +0000 http://www.paulsideas.com/what-is-an-app-o-rama/#comment-9 I did something similar the other day. I learned about it from here: http://www.freefrequentflyermiles.com The thing is Citibank will let you do a balance transfer or send you a check so that you can pay whatever you want yourself. I took the max on my credit limit for that car, about $41k @ 0% for 6 months. I took a chance though, a huge risk in fact, and put the money into a stock i was watching (JRJC) and sold it yesterday for a $15k profit in 2 days. I actually got out just in time, because the stock tanked in the afternoon trading. I would never advise anyone to do the same, but for me it worked out. I did something similar the other day.

I learned about it from here: http://www.freefrequentflyermiles.com

The thing is Citibank will let you do a balance transfer or send you a check so that you can pay whatever you want yourself. I took the max on my credit limit for that car, about $41k @ 0% for 6 months. I took a chance though, a huge risk in fact, and put the money into a stock i was watching (JRJC) and sold it yesterday for a $15k profit in 2 days. I actually got out just in time, because the stock tanked in the afternoon trading.

I would never advise anyone to do the same, but for me it worked out.

]]> Comment on What is an APP-O-RAMA ??? by koz1000 http://www.paulsideas.com/what-is-an-app-o-rama/#comment-8 koz1000 Fri, 28 Sep 2007 14:57:30 +0000 http://www.paulsideas.com/what-is-an-app-o-rama/#comment-8 One big hole in this plan, other than the who-makes-the-minimum-payments one that Matt pointed out: The 0% offer is for *balance transfers*. You give them the # of the other card and they make a payment to the card. 0% does not cover cash advances. Those, you'll find, are hit with the 29.99% default rate from the very start. Plus there is a cap on cash advances that is usually way way lower than the credit limit (to avoid exactly what you're planning) But good luck, bro. I hope it works out for ya. One big hole in this plan, other than the who-makes-the-minimum-payments one that Matt pointed out:

The 0% offer is for *balance transfers*. You give them the # of the other card and they make a payment to the card.

0% does not cover cash advances. Those, you’ll find, are hit with the 29.99% default rate from the very start. Plus there is a cap on cash advances that is usually way way lower than the credit limit (to avoid exactly what you’re planning)

But good luck, bro. I hope it works out for ya.

]]> Comment on What is an APP-O-RAMA ??? by Francis F. http://www.paulsideas.com/what-is-an-app-o-rama/#comment-7 Francis F. Fri, 28 Sep 2007 14:50:15 +0000 http://www.paulsideas.com/what-is-an-app-o-rama/#comment-7 You forgot to mention the huge hit your "pretty good" credit score will take. I've been doing "APP-O-RAMA" for quite some time now and my score previously was 785, now it's hovering around 640 and was as low as 580 at one point. Not to mention that I have to keep meticulous records and have to set reminders for upcoming payments. This is definitely not for the care-free types since you will always have in the back of your mind the next payment and if you had defaulted on any cards by accident. Suffice it to say, your life will be a tad more stressful. And I caution your readers against this if they plan on buying any houses or cars in the next year or two. You forgot to mention the huge hit your “pretty good” credit score will take. I’ve been doing “APP-O-RAMA” for quite some time now and my score previously was 785, now it’s hovering around 640 and was as low as 580 at one point.

Not to mention that I have to keep meticulous records and have to set reminders for upcoming payments. This is definitely not for the care-free types since you will always have in the back of your mind the next payment and if you had defaulted on any cards by accident.

Suffice it to say, your life will be a tad more stressful. And I caution your readers against this if they plan on buying any houses or cars in the next year or two.

]]> Comment on What is an APP-O-RAMA ??? by memals http://www.paulsideas.com/what-is-an-app-o-rama/#comment-6 memals Fri, 28 Sep 2007 14:48:53 +0000 http://www.paulsideas.com/what-is-an-app-o-rama/#comment-6 poopy digg implied you had already done it. Less talk more action, we want to see figures ! poopy digg implied you had already done it.
Less talk more action, we want to see figures !

]]> Comment on What is an APP-O-RAMA ??? by Tyler Corlen http://www.paulsideas.com/what-is-an-app-o-rama/#comment-5 Tyler Corlen Fri, 28 Sep 2007 14:41:20 +0000 http://www.paulsideas.com/what-is-an-app-o-rama/#comment-5 I agree with this method.. It can make you a lot o money! I wrote a post on my site as well. I agree with this method.. It can make you a lot o money! I wrote a post on my site as well.

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