How to Get 0% Funding Using Credit Cards

[Adam Bartomeo]

After emailing a few investors about using credit cards to free up capital I realized that not many people know how to use their credit cards to free up cash without getting hit with huge interest charges. 

I started researching a company that promised to get funding of $100,000 at 0% interest for a year. After speaking with representatives of this company I realized that what they were doing was helping folks open credit cards that had certain promotions. These promotions allowed you to turn the credit into cash at a promotional rate of 0%. The company charges $3,000 to do this and another $3,000 for advice.

So, I started call my existing CC's to see if they had a promotion like this. I got a few no's before  a visa said that they call this a balance transfer. They take your existing maximum minus your balance and transfer it into a bank account of your choice. They gave me 0% interest for 14 months. I tried a couple of others and another visa did the same thing.

There are a couple of small things you need to know. They normally charge a 2% upfront fee (maxing out at $300-$500) to do this. Also, if you have any credit left on the card and you purchase anything they will charge you interest on it even if you pay off the charge in full.

I freed up $55,000!

[Adam Bartomeo]

@Logan Hicks

First, let me explain I am not an advocate for this but I'm also not against it. I have used it and used it effectively. I am very credit conscious and understand the risks and liabilities that ensue when using credit cards.

 There are plenty of investors out there taking cash advances and these charging interest rate of 20 to 30%. This is an avenue to turn to to avoid these loanshark type charges.

Please let me say that you are incorrect in your statements. Your blanket statement of your credit score dropping by 10% is absolutely incorrect.   A portion of your credit score is dependent upon the amount of your revolving balance. Some folks might only use $10,000 while others might use $100,000. In my world, credit means nothing as I am considered high risk,  even though my credit score is considered excellent. Funding means everything.

Your argument is really condemning any type of financing. If you take out a home loan and you failed to pay it your credit will be ruined for many years. If you take out a car loan and you did not pay it your credit will be ruined for many years. You're advocating only buying cash  which is not where most investors want to do.

Many investors are struggling to find capital because they are full-time investors and do not have a job. This is another avenue that can be used to make deals happen. 

PS I don't know your world and don't understand where you come from but in my world I will take a 0% loan over any other type of loan any day of the week!