Cheapest hard money you're ever going to get!

[Tim Bee]

Wondered if anyone else has done this.  I have two credit cards.  Chase and BofA.  I canceled all other cards and have perfect credit.  I have limits close to 100K on each card.  Every year or so I buy a fixer-upper rental all cash.  It's been my experience that regular banks freak out when the home has lots of damage and won't lend on it.  And we also all know hard money isn't cheap and interests rates are up.  So my solution was to utilize the zero interest direct deposit promotions from credit cards.  I take out 97K from the card, and now have a debt of 100K because of the 3% fee.  Now I have a zero interest unsecured debt and 97K more cash than I had before.  I now can complete the purchase and have my tenant help pay off my card.  Secondly:  lets say at the end of 18 months I wasn't able to complete the card payoff.  I do a direct deposit from the other card and pay off the first one.  So I continue the zero interest as long as I want.  The only fee is the 3% every 18 months.  It's so easy to do it I wondered if anyone else is doing this or maybe has an even cheaper way.