Author Topic: First Foray into CC Churning!  (Read 6346 times)

des999

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Re: First Foray into CC Churning!
« Reply #50 on: December 19, 2018, 11:48:09 AM »
are you guys closing these cards to avoid the annual fees?  I typically do close mine right before the annual fee, but I suppose there are some that are worth paying/continuing to use.  I don't have a lot of travel plans the next couple years, so don't want to just pay the fee to pay them.

I also close them so that I can do the signup bonus again.   Just curious how folks handle it.

For just about any of the banks, if you downgrade (cancel if you have to) shortly after the annual fee hits, it is refunded.

I tend to keep cards open if I can downgrade or get the annual fee waived. Increases average age of accounts.

sorry for the dumb question, but what do you mean by downgrade?  I would prefer to keep some of them open for selling tradelines. 

I have had some luck just calling and asking for the annual fee to be refunded.  But, not sure if that would work every year.

soccerluvof4

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Re: First Foray into CC Churning!
« Reply #51 on: December 22, 2018, 04:13:05 AM »
Well from my last post i dove in and I got the CIP Business in my DW's name and have about 3500$ of the 5k spent so I just got the CIU Business in my name. Then based on what others are saying once we get close to that being covered will get the referral from DW on her CIP Card so she gets the extra 20k and I will get the 80k when I meet the requirement. If someone has a better suggestion please feel free to let me know. I am thinking it will be the end of January before we will be prepared to get another card unless I can figure away to pay my auto and home Insurance with a CC because they dont take one.

Roadrunner53

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Re: First Foray into CC Churning!
« Reply #52 on: December 22, 2018, 06:14:43 AM »

But the best is when you can buy something with a card and then redeem it somehow for cash. Years ago the US Mint offered fancy $100 coins for $100 each with free shipping. Smart people bought as many as they could with their credit cards and then simple deposited them in the bank and paid off the credit card. Some guys got super platinum status on airlines, etc. as they spent hundreds of thousands on an airline card. Those were the days...


When the treasury was trying to get $1 coins into circulation, they did a similar thing with regular old rolls of coins.  $1k per day limit, again with free shipping and no fee on a credit card.  They stopped the program because the vast majority of people were bringing them to their bank, dumping them in the coin machine and not spending them. 

Before that play, Treasury Direct in the early 2000's would sell US Savings bonds through their website.  I could use my credit card with no fee and they had a limit of $30k per person (which was not enforced....I once bought $40k by mistake) and were redeemable in 6 months.  For several years, our family of 4 would buy $120k worth of bonds, sell of previous bonds to pay for them and use the miles to upgrade our holiday trip from Boston to Aruba to first class. 

And then, of course....there was Redbird (RIP).

I went to Treasury Direct and it seems you can set up an account to buy bonds. I don't think they issue paper bonds anymore but they would be in your on line account if that is how it works. Wouldn't that work for churning purposes? If that is how it works, you could buy bonds every month and cash the in when they are 6 months old. I have a stack of Series EE bonds I got thru payroll deduction years ago.

CindyBS

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Re: First Foray into CC Churning!
« Reply #53 on: December 22, 2018, 07:40:21 AM »
Don't forget about stacking medical expenses with CC churning, even better when stacked with an HSA.

We knocked about $1K off my son's braces using this.   We fund a HSA (orthodontics are approved withdrawal) with tax free money.  Then the orthodontist gave a $475 discount for paying up front and not financing (with their "free" financing).  We opened a Chase Sapphire card and charged the $4K or so not covered by our dental insurance.

So total discounts were:  $475, $500 or so Chase sign up bonus - can't remember exact amount - but about that.  Then the cash back on the Chase card - 1.5%, so about $60.   Then whatever interest is made off the money sitting in the HSA between when we deposited it and reimburse ourselves.  Then it was paid for with untaxed money, so whatever money we would have paid income tax on.   Not bad.

Even if you can't afford to have the money sit in an HSA and grow over time, this is still a good way to get a chunk off of medical expenses all for less than 1 hour of work.

Our other son has some health issues so we use up our whole year's medical deductible in January of every year.  I use this same method - open CC with nice sign up bonus, pay off the bill, get rewards, save receipt to reimburse ourselves from the HSA.   Also, you reimburse yourself off the paid bill and cash back or rewards don't factor in.  So if you have a $5K bill, but your net is only $4,500 due to a CC sign up bonus, you still paid $5K and reimburse yourself $5K from the HSA.

Something to keep in mind if you will have a lot of med. expenses at once or a big purchase like a root canal or braces.
« Last Edit: December 22, 2018, 07:42:28 AM by CindyBS »

TomTX

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Re: First Foray into CC Churning!
« Reply #54 on: December 22, 2018, 03:00:04 PM »
are you guys closing these cards to avoid the annual fees?  I typically do close mine right before the annual fee, but I suppose there are some that are worth paying/continuing to use.  I don't have a lot of travel plans the next couple years, so don't want to just pay the fee to pay them.

I also close them so that I can do the signup bonus again.   Just curious how folks handle it.

For just about any of the banks, if you downgrade (cancel if you have to) shortly after the annual fee hits, it is refunded.

I tend to keep cards open if I can downgrade or get the annual fee waived. Increases average age of accounts.

sorry for the dumb question, but what do you mean by downgrade?  I would prefer to keep some of them open for selling tradelines. 

I have had some luck just calling and asking for the annual fee to be refunded.  But, not sure if that would work every year.

So, lets say you got the Chase Sapphire Preferred a year ago to pay your property taxes (or whatever) - after a year, you call into Chase and ask to have the card changed to the no-fee Chase Sapphire card. You keep the same account number and the age of the account. No annual fee, lesser benefits.

For some reason Chase doesn't like to convert the CSP to a Freedom or FU directly. However, once it's a Sapphire they typically don't mind converting to a Freedom or FU.

katsiki

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Re: First Foray into CC Churning!
« Reply #55 on: December 22, 2018, 06:00:07 PM »
For some reason Chase doesn't like to convert the CSP to a Freedom or FU directly. However, once it's a Sapphire they typically don't mind converting to a Freedom or FU.

In case it helps someone out, I didn't have this problem with converting my wife's CSR or CSP in the past 3-6 months.  We did one to Freedom and the other to Freedom Unlimited.  You have to call but it is pretty painless.  They usually tell you that the annual fee will refund in 1-2 cycles also but we found that it is usually credited within a few days.

jpdx

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Re: First Foray into CC Churning!
« Reply #56 on: December 23, 2018, 04:28:09 PM »
I'm brand new to this game. Planning on signing up for a CSP now. Should I add my spouse as an authorized user (for simplicity) or wait 3 months, send her a referral for her own CSP card to grab an additional signup bonus?

The thought of moving all my autopay accounts over sounds annoying. Doing it twice, double annoying! But this is necessary to hit the 4k spend.

jojoguy

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Re: First Foray into CC Churning!
« Reply #57 on: December 23, 2018, 05:18:40 PM »
I'm brand new to this game. Planning on signing up for a CSP now. Should I add my spouse as an authorized user (for simplicity) or wait 3 months, send her a referral for her own CSP card to grab an additional signup bonus?

The thought of moving all my autopay accounts over sounds annoying. Doing it twice, double annoying! But this is necessary to hit the 4k spend.

What about the spouse signing up for his/her own card? With Chase the authorized user gets counted as part of the 5/24 rule. Look Chase 5/24 rule up for explanation. You both may miss out on some future rewards if you sign him/her as an authorized user because of Chase`s restriction on how many credit cards a person has within a two year period. We`ve both made $450 in the last two months going back and forth with Chase reward cards.

Oh, as a side note, both of our credit scores are now above 800 because of this venture. Really cool!
« Last Edit: December 23, 2018, 05:22:54 PM by jojoguy »

Michael in ABQ

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Re: First Foray into CC Churning!
« Reply #58 on: December 23, 2018, 08:37:52 PM »
$500 credit for Capital One Savor card just posted a few days ago. Current balance was just over $500 so that just paid it off. All told I got about $560 in cash back simply by shifting most of my purchases over the last few months from cash/debit to this card.

jojoguy

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Re: First Foray into CC Churning!
« Reply #59 on: December 24, 2018, 03:29:25 AM »
Travelmiles101 is awesome! I`m learning so much from it. I really like how Chase Saphire and Capital One Venture work. They are both different in applying points to what you use them for. I think on future trips we`ll apply Saphire for the flights and Venture for the hotels. Of course, that may change, but these two seem simple enough to start with for our Asia travels every couple of years to visit our family. We usually spend at least $5,000-$6,000(travel and hotels) every time we go, but using this strategy will cut these costs down by at least 90%(God-willing).

FrontRanger

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Re: First Foray into CC Churning!
« Reply #60 on: December 26, 2018, 03:44:52 PM »
How long after you close a card can you sign up again to get the initial bonus? For ex, the Cap One Savor card offers $500 for $3k in spending. I want to cancel before the annual fee hits. Can I sign up again later, or is it just a one time deal?

jpdx

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Re: First Foray into CC Churning!
« Reply #61 on: December 26, 2018, 04:00:59 PM »
My application was just denied for the Chase Sapphire Preferred. This surprised me because I only have one other credit card (chase/amazon) and I should have good-to-excellent credit. I guess I have to wait 7-10 days for the letter to arrive in the snail mail.

TomTX

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Re: First Foray into CC Churning!
« Reply #62 on: December 26, 2018, 06:48:07 PM »
My application was just denied for the Chase Sapphire Preferred. This surprised me because I only have one other credit card (chase/amazon) and I should have good-to-excellent credit. I guess I have to wait 7-10 days for the letter to arrive in the snail mail.

Don't wait - call the Chase Reconsideration Line to discuss it with someone who may well approve you. 1-888-270-2127

jpdx

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Re: First Foray into CC Churning!
« Reply #63 on: December 29, 2018, 04:22:47 PM »
Thanks Tom. I called and was approved!

TomTX

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Re: First Foray into CC Churning!
« Reply #64 on: December 29, 2018, 04:54:13 PM »
Sweet!

Got an authorized user for the extra 5k points?

jpdx

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Re: First Foray into CC Churning!
« Reply #65 on: December 30, 2018, 08:56:54 PM »
Tom, I can't decide if I should add my spouse as an authorized user -- which would be the easy thing to do -- or to have her get a separate card for more bonus and rewards. I am aware of the 5/24 rule.

TomTX

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Re: First Foray into CC Churning!
« Reply #66 on: December 31, 2018, 09:45:48 AM »
Tom, I can't decide if I should add my spouse as an authorized user -- which would be the easy thing to do -- or to have her get a separate card for more bonus and rewards. I am aware of the 5/24 rule.

Typically once you remove them as an AU, it drops off their credit report.  If it doesn't do so automatically, you can ask to have it removed.

In the meantime, some people (including myself) had success with the Chase Recon line explaining that "XXXX card is an authorized user card, I am not responsible for it"

Milkshake

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Re: First Foray into CC Churning!
« Reply #67 on: January 07, 2019, 03:10:29 PM »
United miles and Wyndham points just got my wife and I a 5-day/4-night all-inclusive resort in the Dominican Republic plus flights for $270 total. All of those points were from credit card bonuses with normal spending. $3100 trip-$270=$2830 in FREE money. That's the best kind of money.

Hardest part was lining up free flights and free nights, but we were flexible this year.

jojoguy

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Re: First Foray into CC Churning!
« Reply #68 on: January 08, 2019, 04:54:49 AM »
@Milkshake That is awesome!

We`ve made over $600 since October from Chase. Time for us to hit those travel points cards. That will take a little longer because of the spending being higher with Chase Sapphire. We should have two of those done by June/July.

Milkshake

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Re: First Foray into CC Churning!
« Reply #69 on: January 08, 2019, 07:34:08 AM »
We`ve made over $600 since October from Chase. Time for us to hit those travel points cards. That will take a little longer because of the spending being higher with Chase Sapphire. We should have two of those done by June/July.

$600 in just a few months is great!

I've been keeping a spreadsheet ever since I started, back in May 2016. I've spent nearly $1000 in annual fees, but I've made nearly $8000 that I've redeemed on trips. Netting $7000 every 2.5 years is good with me!

soccerluvof4

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Re: First Foray into CC Churning!
« Reply #70 on: January 10, 2019, 04:32:37 AM »
So i covered the 5k spend in my DW's business CIP card and am halfway through my spend on the 5k for my business CPU card in my name. I received a promo for pre-approval for the Savoy card with only the 3k spend and was thinking about doing that next. Should I do that or do the add on card to my DW's CIP business card first? so she gets the 20k points and I get another 80k. Thought it would be good or less of a challenge to make the 3k spend vs the 5k spend and then in another month or two when I have some bigger bills coming in do the CIP one. Thoughts?

jojoguy

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Re: First Foray into CC Churning!
« Reply #71 on: January 12, 2019, 04:00:36 PM »
I`m trying to figure out how to spend $4000 on Chase Sapphire in a three month period without going over budget. Typically we`ll be spending maybe $1100 a month towards a credit card on our budget. Should we purchase things for family using the card and they give the cash back, or are there other methods or strategies we could use?

Roadrunner53

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Re: First Foray into CC Churning!
« Reply #72 on: January 12, 2019, 05:46:36 PM »
Charge everything! I buy groceries, pay some bills, car repairs, house repairs, buying appliances, buy everything you can on your credit card! I spend anywhere between $3,200 to $6,00 a month. I had some very expensive Vet bills last year too, Insurance (Obamacare) payments! Just pay it off at the end of the month!

JenniferW

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Re: First Foray into CC Churning!
« Reply #73 on: January 12, 2019, 11:56:37 PM »
I just have little interest in plane tickets or any of the associated luxuries the previous person mentioned.

Same.  If I got travel points they'd probably expire not being used.  I can't fly because I have circulation issues and fear DVT.  We see a show and go out to eat maybe a handful of times per year.  I rather get the cash and start having it work for me.

soccerluvof4

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Re: First Foray into CC Churning!
« Reply #74 on: January 13, 2019, 05:05:27 AM »
Just called and go my 3 card for churning in as many months , this time the Savoy card. One card paid off ,one card half way and one new one.

jojoguy

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Re: First Foray into CC Churning!
« Reply #75 on: January 13, 2019, 06:29:28 AM »
Charge everything! I buy groceries, pay some bills, car repairs, house repairs, buying appliances, buy everything you can on your credit card! I spend anywhere between $3,200 to $6,000 a month. I had some very expensive Vet bills last year too, Insurance (Obamacare) payments! Just pay it off at the end of the month!

I do charge everything except the mortgage. Our expenses just aren`t that high($1150 a month not including mortgage) unless something unexpected comes up. We`ll figure something out though. :P

JenniferW

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Re: First Foray into CC Churning!
« Reply #76 on: January 13, 2019, 06:41:35 AM »
I noticed my local post office sells tons of different gift cards, including amazon.  I wonder if I bought a gift card there with my credit card, if it would count towards the spending requirement.

TomTX

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Re: First Foray into CC Churning!
« Reply #77 on: January 13, 2019, 06:50:54 AM »
Just called and go my 3 card for churning in as many months , this time the Savoy card. One card paid off ,one card half way and one new one.

Do you mean the Savor card?

dandypandys

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Re: First Foray into CC Churning!
« Reply #78 on: January 15, 2019, 06:44:22 AM »
Thanks for this thread// just signed up for the Savor card and was instantly approved, yay!