Using a 0% Balance Transfer to fund a CD

Wednesday August 27, 2008
One of my favorite blogs frequently brings up the topic of using 0% Balance Transfers from credit cards to fund other low risk investments. Jonathon, the author of My Money Blog, has written up an entire series of posts on the topic and backs his methods by having borrowed an impressive $30,000 to put to work. He earns $1000+ dollars a year on this investment approach, but also realizes that in doing so his FICO score takes a hit since it lowers his Cash flow to Debt ratio.

Although I mostly likely would never follow this investment approach, I thought it would be fun to crunch the numbers and see what you would end up with if actually took the leap and borrowed against your credit card to stick in a low risk investment, like this 5% 12-Month CD offering by Washington Mutual (WaMu). read more... 

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From Debit to Credit

Thursday July 10, 2008
About a year and a half ago I decided to switch over entirely to using my credit card for everyday purchases, before that I had used by debit card exclusively. I liked using my debit card for several reasons, but over time I started to realized that credit cards offered me more benefits than purchasing directly against my checking account. Here are a few of things that convinced me to switch: read more... 

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