Part 1 – App-O-Rama – Make thousands of dollars with your credit

You may be thinking ‘App-o’ what? Well this is the beginning of a hopefully successful series of describing what an App-o-Rama (AOR) is, FAQ, and some good examples.
App-o-Rama is the game/technique of applying for a large amount of credit in a very short period of time hoping to maximize both 0% balance transfer credit and signup bonuses for the purpose of making money. The balance transfers are used to obtain cash for the duration of the 0% offer to place into a liquid high yield savings account such at Emigrant direct which is currently at 5.15% APR. Assuming $15,000 in 0% interest credit placed into Emigrant Direct, the potential earnings are $772 in interest over the period of a year. For people with great credit history, it is not unheard of them making $15K-$20K in interest in one year. The only thing that needs to be done is that you need to pay the monthly minimums for the credit cards on time and at the end of the 0% interest offer you need to pay off the credit card balance.

Now this may seem a little risky or even sound like a scam, because why in the world would a credit card company pay you for doing nothing. The answer is simple, most people that use balance transfers are using them to transfer debt from another card and debt is free interest money to the credit card companies. The credit card companies don’t really know that the money is in a savings account or if the money went to pay off another credit card debt. They don’t really care, because in the big picture they are raking in the big bucks. As far as the risk, there are a few factors to look at. Yes, applying for multiple credit cards will bring you credit score down for about 6 months and doing a balance transfer will bring your score down because of your credit utilization percentage. The good thing is, the effects of applying for cards will disappear in 6 months and the effects of the balance transfer will disappear after the borrowed money is paid back. So if you are looking to get a great rate on a new loan within the next year, it is best not to do an AOR, but if you aren’t taking any new loans, then go for it. Even better, it is highly likely that after the 0% offers expire and the borrowed money is paid back, that your credit score will be higher than before the AOR. This is due to the large amount of available credit. This is just a quick run down of what an AOR is and the potential earnings, so check back for the next articles in this series to learn more.

Stay tuned for future articles – How to do an App-o-rama and when? – Managing an App-o-rama – Maximizing your app-o-rama earnings.

Here is an example of my App-o-rama: CLICK MORE TO SEE IT

Previous Cards credit limit after AOR credit line increase requests
Citi Dividends $1000 moved $5000 to Simplicity card for Balance transfer
MBNA Worldpoints $3400
American Express Blue $5000
American Express Student Blue $500
Discover Cash Back $1600
Wells Fargo Gold $1000

Cards Applied and Accepted
Only card not accepted was Aptiva Business Card.

Total Credit afterwards: $70,500
Total Cash Back Bonuses: $985

(I just received my check from Cardoffers.com $295)
Other Bonuses: – 22,500 airline miles (combined with my free 10,000 miles from a delta promo a few years back means FREE ROUND TRIP TICKET)
– 4 Nights stay at a Choice Hotel.

NOW FOR THE BALANCE TRANSFER.

I took advantage of only the no fee balance transfers, because my credit limits
were not large enough to easily surpass the surcharge fees.

Balance Transfers

Citi Simplicity $9400
AT&T $4400
Citi Diamond $6400
Discover Gas $5400

Transferred all $25,600 into Emigrant Direct to gain interest at 5.15% for 1 year
minus the amount needed to pay the monthly minimum payments.

$25,600 minus $2000 for monthly payments at 5.15% for 1 year gives a total interest
earnings of $1215.

Total Cash earnings at the end of one year: $985+$1215 = $2200

AOR, App O Rama, credit, credit cards, Money, savings