Make money on 0% credit cards?

[One]

When I was a student I got one of the accounts with a 0% overdraft and took the money out and put it all in an ISA and made money it. Very simple easy money, now I see adverts all the time from 0% for 12 months credit cards. Is it possible to do the same sort of thing with them? Max the credit limit pay 0% and stick it in an ISA then pay it all back at the end of the year?

 

[mangobreeder]

0% generally wont apply to cash withdrawals, and you will be unable to fund your ISA from your CC.

 

[One]

Not directly no, but you could buy something with the credit card then be refunded in cash and then stick that in an ISA?

 

[G-MAN2004]

Sorry it's no help, but just wondering how much did you make from the ISA?

 

[GravyMonster]

Not directly no, but you could buy something with the credit card then be refunded in cash and then stick that in an ISA?

You can't be refunded to cash from card purchases.

At least, not from a reputable shop anyway.

 

[imb4tman]

Does Paypal gift have charges? If not, make a big payment to your Paypal account then transfer the money back into your current account.

 

[floatindolphin]

If you had another card to pay yourself a cash payment, you could then transfer this balance to the 0% card

 

[FARGO]

Surely the lenders would be savvy to this sort of thing? Not saying it's not possible but they tend to not make things easy!

 

[~Divine~Wind~]

Not directly no, but you could buy something with the credit card then be refunded in cash and then stick that in an ISA?

Oooh money laundering into the mix!

 

[~Divine~Wind~]

Does Paypal gift have charges? If not, make a big payment to your Paypal account then transfer the money back into your current account.

From a PP balance no... From a CC yes AFAIK

 

[One]

Oooh money laundering into the mix!

How is it money laundering?

On 3 grand i made about 150 quid a year so about 12% return over a 3 year period. Not bad for doing nothing other than a bit of research each april to get the best isa rate.

 

[Gackt]

You still have to make minimum monthly payments, don't you? Not in interest, of course.

 

[~Divine~Wind~]

Stolen card, pay for items, refund in cash, clean(ish) money
Part of the reasons shops refuse to refund cash from card payments.

As for your intial idea have a look over on MSE before you go signing up to stuff

 

[alexthecheese]

If you do a balance transfer, some places will let you pay the money straight into a current account.

I got a BT credit card (I work for them, but it's available to anyone one) and they let me do it. I used the money to pay off my other credit card, but you could just bash it in an ISA as you suggest.

 

[howler]

How is it money laundering?

On 3 grand i made about 150 quid a year so about 12% return over a 3 year period. Not bad for doing nothing other than a bit of research each april to get the best isa rate.

£12.50 a month? Not really worth the effort is it?

 

[PiKe]

You forget there's a minimum repayment which is something like £5 or 3.5% whichever is more...

 

[Greebo]

And now credit cards with 0% charge you 2 to 3% to withdraw the money so any ISA would need to pay more than this.

 

[Hatter The Mad]

I keep all my purchases for as long as possible on various 0% cards, and accumulate the cash and invest it. I earn/save about £1000 a year doing this and managing it all costs me about 1 hour a year.

 

[Bobie8]

It can be done its refered to as stoozing. But im not sure its would be that profitable at the moment. Pretty sure theres loads of info on money saving expert.

 

[PiKe]

I keep all my purchases for as long as possible on various 0% cards, and accumulate the cash and invest it. I earn/save about £1000 a year doing this and managing it all costs me about 1 hour a year.

How? Because the minimum repayment is a percentage of the money owed, where are you finding to invest the money that's giving you a return of more than 3%?