Author Topic: Selling Tradelines / Piggybacking Part II: $1000+/hr, 20-40k/yr. Side Gig  (Read 1006297 times)

secondcor521

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Iím with Old Company and Iíve been getting $75.00 per slot on a card that is 3 years old with an $11K limit - is that right? I thought it was supposed to be $125 per, but they told me it was $75.

Looking for clarification or if Iím just reading the chart wrong?

Old Company has two sets of banks with different length cycles and therefore different payouts. If your $11k card is with Barclay, Citibank, Discover, PNC, or US Bank, it's $75 and a 2 month cycle. If it's with Bank of America, Capital One, or USAA, it's $125 and a 3 month cycle.

(Note: this info is copied off the document they sent me in April 2018, so it might be out of date.)
Ah, okay. It is a Citi card. Thanks for the clarification!

I have a document from Old Company dated 3/5/19 which says that a card like that should be $75 for a 2 month cycle but it would be for cards that are 5+ years old.  You getting it on a 3 year card is a bit of a puzzle.

I have seen similar instances where the numbers they provide don't 100% match what their documentation says.  I suspect this is either just simple employee error or their payout schedule changes frequently, or both.

ducky19

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Iím with Old Company and Iíve been getting $75.00 per slot on a card that is 3 years old with an $11K limit - is that right? I thought it was supposed to be $125 per, but they told me it was $75.

Looking for clarification or if Iím just reading the chart wrong?

Old Company has two sets of banks with different length cycles and therefore different payouts. If your $11k card is with Barclay, Citibank, Discover, PNC, or US Bank, it's $75 and a 2 month cycle. If it's with Bank of America, Capital One, or USAA, it's $125 and a 3 month cycle.

(Note: this info is copied off the document they sent me in April 2018, so it might be out of date.)
Ah, okay. It is a Citi card. Thanks for the clarification!

I have a document from Old Company dated 3/5/19 which says that a card like that should be $75 for a 2 month cycle but it would be for cards that are 5+ years old.  You getting it on a 3 year card is a bit of a puzzle.

I have seen similar instances where the numbers they provide don't 100% match what their documentation says.  I suspect this is either just simple employee error or their payout schedule changes frequently, or both.

My experience with several different companies is that the payout tables are constantly changing, but once you lock in a card at a specific payout, it shouldn't change much (new company being the exception).

topshot

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Is there a way to recover information in the portal for the "new company"?  I accidentally closed my task before I fully added the user to my card.  I need to input their address.
Unless they have changed their site since I last used it, if you hover the mouse over the AU's DOB it shows their address.

homelesshobbit

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Has anyone started a solo 401k with this 1099 income?

wudged

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Has anyone started a solo 401k with this 1099 income?

I already had one prior to this, but I contribute income from this to it.

There's a good thread about setting up a solo 401k for mega backdoor roth at https://forum.mrmoneymustache.com/taxes/anyone-execute-a-mega-backdoor-roth-in-solo-401k/

homelesshobbit

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Has anyone started a solo 401k with this 1099 income?

I already had one prior to this, but I contribute income from this to it.

There's a good thread about setting up a solo 401k for mega backdoor roth at https://forum.mrmoneymustache.com/taxes/anyone-execute-a-mega-backdoor-roth-in-solo-401k/

When I get paid, it only references my name and not my business name because I only have them my social... Do you think I should change this to them cutting checks to my EIN business name instead, or does it matter? It's sole proprietorship.

Does anyone know if I need to change my 1099 to reference my EIN instead of my social? I'd hate to fund my solo 401k and find out it's not allowed.

monarda

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I've been scrolling though this thread to try and find the current compensation tables for the new company.  To doublecheck.

I have a (newly) 2 year old Barclay card enrolled, $11K limit. That should be $100, correct? It's listed wrong in the portal. I sent an email, but it'd be good to have that table handy.

arebelspy

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I will contact both companies to get their current schedule to update the OP, and post when done.
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wudged

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Has anyone started a solo 401k with this 1099 income?

I already had one prior to this, but I contribute income from this to it.

There's a good thread about setting up a solo 401k for mega backdoor roth at https://forum.mrmoneymustache.com/taxes/anyone-execute-a-mega-backdoor-roth-in-solo-401k/

As far as I know it's fine to use either for a sole proprietorship, but I am not a tax professional.

When I get paid, it only references my name and not my business name because I only have them my social... Do you think I should change this to them cutting checks to my EIN business name instead, or does it matter? It's sole proprietorship.

Does anyone know if I need to change my 1099 to reference my EIN instead of my social? I'd hate to fund my solo 401k and find out it's not allowed.

Padonak

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Can we make a list of cards that can be used for TL sales and add comments about positives (+) and negatives (-)?

In my experience:

-Barclaycard:
+Easy to add and remove AUs online. An option to just register AUs without issuing cards. Never heard of them shutting down accounts for AU activity.
-There seems to be a hard lifetime limit of 30 something AUs per card.

-Discover:
+An option to add and remove AUs online.
-Random audits and calls about new AUs. Sometimes card get suspended. Sometimes they ask for AU's supporting documents. Reports of card shutdowns.

-Citi:
+The only plus is that they can be used for TL sales.
-Have to call to register an AU and deal with customer service reps (some of them are smarter than others, let's put it this way). Sometimes you get transferred to another department for additional verification. They shut down cards for excessive AU activity and may even blacklist you even for life according to some reports.

BofA:
+Can register AU online.
-They shut down accounts for excessive AU activity.

Comments about other issuers would be highly appreciated.

MasterStache

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Can we make a list of cards that can be used for TL sales and add comments about positives (+) and negatives (-)?

In my experience:

-Barclaycard:
+Easy to add and remove AUs online. An option to just register AUs without issuing cards. Never heard of them shutting down accounts for AU activity.
-There seems to be a hard lifetime limit of 30 something AUs per card.

-Discover:
+An option to add and remove AUs online.
-Random audits and calls about new AUs. Sometimes card get suspended. Sometimes they ask for AU's supporting documents. Reports of card shutdowns.

-Citi:
+The only plus is that they can be used for TL sales.
-Have to call to register an AU and deal with customer service reps (some of them are smarter than others, let's put it this way). Sometimes you get transferred to another department for additional verification. They shut down cards for excessive AU activity and may even blacklist you even for life according to some reports.

BofA:
+Can register AU online.
-They shut down accounts for excessive AU activity.

Comments about other issuers would be highly appreciated.

I'll add to Citi that it seems AU's have a higher likelihood of not posting as well. 

-USAA
+Have to call but very easy to remove AUs
- Have to call to register an AU and calls often times are very lengthy as they ask a lot of information. Higher risk of shutdown although it seems they basically just tell you to stop doing it. AU history remains on your USAA profile (so I've been told). 

-Capital One
+ An option to add and remove AUs online.
- Not sure about shutdowns for excessive AU activity.

SilverAg47

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On July 21 I received a call from 800-347-0350 and they left a message saying I need to call 800-347-3558 about my Discover account.  I googled the first number and it came back marked as spam by quite a number of people.  I thought if it was important they could send out a letter or email me, so I did not call back.  I did log in and check my 2 cards with them and everything seemed fine.

Well, today I received an email and it said I needed to call the same 800-347-3558 number and it referenced the last 4 digits of my It card.  So just now I ended up calling the number on the back of my Discover card and asked if Discover is trying to contact me about something.  They said that they were and that I needed to be transferred to the fraud department.  There was a long wait and the original agent was checking in with me every 5 minutes or so.  I ended up asking her if she knew what this was about and she said that she didn't know but that this particular department deals with fraud and closure of accounts.  After more waiting, someone finally came on the line and said I was going to need to speak to some other person about unusual activity and I was on hold again.  I decided it was best to hang up and see if anyone has been through this before.  I fear they are going to close my It card.  I immediately cashed out the rewards I had on both my discover cards (less than $15 total).  The card they are asking about has been with the New Company for about 1 year and has had 6 AUs in all, with the most recent from 6/14/19.  This one from June is the only one currently on my Discover account and it does show as posted with the New Company.  The other Discover card has only had one AU.  Do you think that this is them just wanting scans of the license and SS card of some of the AU's, or do you think this is going to lead to closure no matter what action I take?
« Last Edit: July 23, 2019, 04:46:45 PM by SilverAg47 »

arebelspy

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I've done that call with Discover a couple times. That exact number (even with the different end digit between them calling and the call back number).

They just ask for the AU names. That's all.

Look them up first and have them on hand.

They haven't cancelled my cards.

YMMV of course, but that's what has happened to me twice.
We are two former teachers who accumulated a bunch of real estate, retired at 29, spent some time traveling the world full time and are now settled with three kids.
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SilverAg47

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I've done that call with Discover a couple times. That exact number (even with the different end digit between them calling and the call back number).

They just ask for the AU names. That's all.

Look them up first and have them on hand.

They haven't cancelled my cards.

YMMV of course, but that's what has happened to me twice.

Just called them back.  You are correct!  They simply wanted to confirm that I was the person to add the AU back in June and I confirmed.  Easy peasy.  Thanks!

morris08

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I had a similar issue with Discover two days ago... I tried to log into my Discover online and got an message that my account was "locked" or something, and I needed to call 1-800 # due to suspicious activity. 

I called yesterday and they asked if I added to the two AU's (one in June, one in July). Then they asked why the two AU cards had not been activated.  Strange!  I told them we have been out of town for a while and hadn't had a chance to activate yet.  Then they said they were wanting to make sure there wasn't any fraud going on with a lost card, etc.   and unlocked my online account.  Phew!

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What are your most popular cards?

How often are you asking for CC limit raises and applying for new cards?

I want to be able to just put my tradeline cards in the sock drawer and go 'auto pilot', but I feel like the reason they have not cancelled is because I actually use them (somewhat).

topshot

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I want to be able to just put my tradeline cards in the sock drawer and go 'auto pilot', but I feel like the reason they have not cancelled is because I actually use them (somewhat).
They MUST be used (somewhat) or they won't report. So if you want to auto-pilot then setup something you have to pay monthly (e.g., Netflix) on auto-pay. However, usage has no bearing on whether they get closed or not though if you don't charge anything for a year or two, they will likely close it down. My BoA was going to get closed for inactivity, but then I started doing tradelines on it until they closed it down for that. :P

chuckster

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What are your most popular cards?

How often are you asking for CC limit raises and applying for new cards?

I want to be able to just put my tradeline cards in the sock drawer and go 'auto pilot', but I feel like the reason they have not cancelled is because I actually use them (somewhat).

I have some relatively new, low credit limit cards that sell frequently, but earn me little money. I have a couple of well-aged, high-limit cards that would pay handsomely, but seem to never sell.

flashflooder

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What are your most popular cards?

How often are you asking for CC limit raises and applying for new cards?

I want to be able to just put my tradeline cards in the sock drawer and go 'auto pilot', but I feel like the reason they have not cancelled is because I actually use them (somewhat).

I set a reminder for myself every 6 months to buy a $5 GC from Amazon on my inactive cards.  A bit of a pain, because you then have to remember to pay them off (and they all close at different times), but it beats having them cancel an old card with a high limit.

arebelspy

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What are your most popular cards?

How often are you asking for CC limit raises and applying for new cards?

I want to be able to just put my tradeline cards in the sock drawer and go 'auto pilot', but I feel like the reason they have not cancelled is because I actually use them (somewhat).

I set a reminder for myself every 6 months to buy a $5 GC from Amazon on my inactive cards.  A bit of a pain, because you then have to remember to pay them off (and they all close at different times), but it beats having them cancel an old card with a high limit.
Both of those can be automated.

You can set Amazon to automatically refill your gift card balance (though idk if you can set multiple with multiple cards--can anyone confirm?*), and definitely put your cards on autopay, so you don't have to remember that part.


*I do a different method, I just charge 2.50 to Amazon on a card when I get a TL sale, rather than regardless.
We are two former teachers who accumulated a bunch of real estate, retired at 29, spent some time traveling the world full time and are now settled with three kids.
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Car Jack

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At the gas pump....put in $2.  Next card, put in $2.  Next card, put in $2......etc.  I always do this on the way home on a nice, sunny day.

katsiki

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I do the refill as ARS mentioned above.  I have only tried it with my busiest card, so not sure about multiple cards.  However, it would be easy enough to setup an extra amazon account or 7 :)


At the gas pump....put in $2.  Next card, put in $2.  Next card, put in $2......etc.  I always do this on the way home on a nice, sunny day.

Thanks @Car Jack    I was behind you last week at the pump...  Took forever!

secondcor521

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I do the refill as ARS mentioned above.  I have only tried it with my busiest card, so not sure about multiple cards.  However, it would be easy enough to setup an extra amazon account or 7 :)

You can do it all in one Amazon account.  I have one Amazon account and multiple piggybacking cards in there.

Paying for my kids' college textbooks, $2.50 at a time!  :-)

Padonak

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How often do i need to use my cards (e.g. $2.50 purchase on Amazon) if I am not using them for AUs but would like to keep them from getting closed due to inactivity? If I don't use them for TLs, I don't need the bureaus to regularly post details about these cards. In this case, would one transaction per year per card be enough?

secondcor521

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How often do i need to use my cards (e.g. $2.50 purchase on Amazon) if I am not using them for AUs but would like to keep them from getting closed due to inactivity? If I don't use them for TLs, I don't need the bureaus to regularly post details about these cards. In this case, would one transaction per year per card be enough?

Yes, that's probably sufficient.  I've never had a card closed on me for inactivity that was less than one year.

Imustacheyouaquestion

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I got a letter from a bill collector for a former AU today. I opened it thinking it was a new card, then realized what it was. It was an $800 debt from a cable company, and they were offering to settle/cancel it for about $450.

Kind of blows my mind that someone paid hundreds of dollars to improve their credit score, racked up a huge cable bill in a few months, and then let it go to collections - presumably trashing their credit again. 

Not the first time I've gotten mail for an AU but it usually looks like credit card offers or junk. Wonder if I will get an in-person visit next?

topshot

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I got a letter from a bill collector for a former AU today.... Not the first time I've gotten mail for an AU but it usually looks like credit card offers or junk. Wonder if I will get an in-person visit next?
I wonder if one of your cards reports your address instead of their's to their report? I've never received mail for an AU though I have only been doing this 2 years.

I've had collections for people the same name since the collector is just stabbing in the dark to find said person, but never a visit. I'd think that would be extremely rare except for a repo.

Imustacheyouaquestion

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I wonder if one of your cards reports your address instead of their's to their report? I've never received mail for an AU though I have only been doing this 2 years.


I've gotten mail for a few, maybe 2 or 3 each year. I'm guessing debt collectors send letters to any address they can find that's associated with that SSN. I'm mostly joking about an in-person visit, but it would be funny.

katsiki

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FWIW, I have gotten a small number of items addressed to AU's at my address over the past 2-3 years.  Oddly enough, I had a new AU last month.  Within a matter of days of the AU posting (and my receiving the AU card), I got what appeared to be a credit offer (preapproval) for them at my address.  I was surprised at how quick all of that happened.

MasterStache

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Yep, I get occasional pieces of mail for past AUs. And on a rare occasion a phone call likely from a debt collector. I just kindly let them know this is not their phone number and please remove it as being associated with their name.

One thing that did happen that made me a bit uncomfortable was a man in a large personal tow truck showed up at my house looking for a past AU. I happened to see him before he came up to the door and cut him off outside. He was clearly looking for a vehicle. I informed him the person he was looking for did not live there. I gave him my information and offered to open the garage door so he could see the vehicles. He wasn't pushy or rude and said that he could tell I was being truthful as he was a police investigator in his previous career. We even made small talk for a bit about sports etc. Turns out the AU had a sister that lived a couple streets over from me even though the AU lived several states away. I thought that was odd. Anywho I haven't had a phone call or visit since. 

arebelspy

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I will contact both companies to get their current schedule to update the OP, and post when done.

Done! (I emailed that day, and they both replied within 24h, but there was some delay posting because I was procrastinating on dealing with having to format it as a table on the forum, because it's a pain.)  First post is updated, and here's the info as well:


Current payout schedules:

"New Company":
Spoiler: show

Updated July 2019.
Card AgeCard AgeCard AgeCard Age
Credit Limit12-24 months2 years- 4 Years4 years- 8 Years8+ Years
$2k-$4999$15$25$25$25
$5k-$9,999$25$50$50$75 ($100 MMM)
$10k-$14,999$50$100$100$125
$15k-$19,999$100$125$125$175
$20k-$29,999$150$175$175$225
$30k-$39,999$200$225$225$250 ($275 MMM)
$40k-$49,999$225$250 ($275 MMM)$250 ($275 MMM)$275 ($300 MMM)
$50k+ $300$300$300$300 ($350 if 12+ years old)


(Caveat: the ones that say "MMM" are $25 more if you use me as a referral.  See disclaimer at bottom of this post.)

"Old Company":
Spoiler: show

Updated July 2019.

Does not break out payments based on age of card; all cards must be 2+ years old and follow the commission structure below:
A. 2-Month Cycle Commission for Barclays, Citibank, Discover, PNC, US Bank, Elan, TD Bank:
1. Limit $10,000 - $15,000 - $75 per spot
2. Limit $15,001 - $20,000 - $125 per spot
3. Limit $20,001 - $30,000 - $175 per spot
4. Limit $30,001 - $40,000 - $200 per spot
5. Limit $40,001 - or more - $225 per spot

B. 3-Month Cycle Commission for Capital One, NFCU, USAA:
1. Limit $10,000 - $15,000 - $125 per spot
2. Limit $15,001 - $20,000 - $150 per spot
3. Limit $20,001 - $30,000 - $200 per spot
4. Limit $30,001 - $40,000 - $250 per spot
5. Limit $40,001 - or more - $275 per spot

C. 4-Month Cycle Commission for Chase and Bank of America:
1. Limit $10,000 - $15,000 - $175 per spot
2. Limit $15,001 - $20,000 - $200 per spot
3. Limit $20,001 - $30,000 - $250 per spot
4. Limit $30,001 - $40,000 - $275 per spot
5. Limit $40,001 - or more - $350 per spot
6. Limit $40,001 - or more + 10 years - $400 per spot

We are two former teachers who accumulated a bunch of real estate, retired at 29, spent some time traveling the world full time and are now settled with three kids.
If you want to know more about us, or how we did that, or see lots of pictures, this Business Insider profile tells our story pretty well.
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salt cured

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Re: Selling Tradelines / Piggybacking Part II: $1000+/hr, 20-40k/yr. Side Gig
« Reply #3531 on: August 01, 2019, 08:56:06 AM »
Posting to follow and participate.

I have two cards I'm going to try selling lines on--an older Citi card and a newer BoA card. Both had limits of about $15k. I requested an increase to $50k on both. Citi bumped me up to $30k while I am still waiting on BoA.

Not sure that I'll want to max out lines. I don't care if either of these gets shut down, it's more that having to call in fairly often seems like it would be a little uncomfortable. I guess I'll get a feel for it once I get going. And I really should go back through this thread to see how others describe the experience.

Editing to add: I suppose there is a limit to how much credit you can open across all cards? I have about $150k across six cards. I'm wondering how much more I can get, whether by opening new cards or asking for increases. I suppose the only way to know for sure is to go after it.
« Last Edit: August 01, 2019, 09:07:37 AM by salt cured »

secondcor521

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Re: Selling Tradelines / Piggybacking Part II: $1000+/hr, 20-40k/yr. Side Gig
« Reply #3532 on: August 01, 2019, 09:24:55 AM »
Editing to add: I suppose there is a limit to how much credit you can open across all cards? I have about $150k across six cards. I'm wondering how much more I can get, whether by opening new cards or asking for increases. I suppose the only way to know for sure is to go after it.

In my experience, it is a function of your annual income, how many issuers you elect to do business with, and possibly whether you open business cards or not.

I don't know offhand, but I think I have somewhere around 8x reported income across 23 cards across 9 issuers (all the usual suspects).

salt cured

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Re: Selling Tradelines / Piggybacking Part II: $1000+/hr, 20-40k/yr. Side Gig
« Reply #3533 on: August 01, 2019, 09:52:45 AM »
Editing to add: I suppose there is a limit to how much credit you can open across all cards? I have about $150k across six cards. I'm wondering how much more I can get, whether by opening new cards or asking for increases. I suppose the only way to know for sure is to go after it.

In my experience, it is a function of your annual income, how many issuers you elect to do business with, and possibly whether you open business cards or not.

I don't know offhand, but I think I have somewhere around 8x reported income across 23 cards across 9 issuers (all the usual suspects).

Wow 8x! Okay then I have some room before I hit the ceiling. Going to apply for a few more cards this week.

Car Jack

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Re: Selling Tradelines / Piggybacking Part II: $1000+/hr, 20-40k/yr. Side Gig
« Reply #3534 on: August 01, 2019, 11:36:49 AM »

Wow 8x! Okay then I have some room before I hit the ceiling. Going to apply for a few more cards this week.

Be strategic!  If you've applied for more than Chase or Cap One allow over the last 2 years, stay far away from both or you burn a hard pull for nothing and reduce your chances of getting another.  For tradelines, you'll need some age on your cards, so these new cards could be some that offer bonuses for initial use, then maybe use them for low balance forgiveness, if they play that game and when they age enough, use them for tradelines.

You can move limits within a bank.  I did that with 4 BoA cards, killing one and moving the rest of the limits to one card (my oldest there) to make it more tradeline attractive.

Padonak

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Re: Selling Tradelines / Piggybacking Part II: $1000+/hr, 20-40k/yr. Side Gig
« Reply #3535 on: August 01, 2019, 12:24:08 PM »
What's the deal with using cards for low balance forgiveness? Which cards can be used and for how much and how often?

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Re: Selling Tradelines / Piggybacking Part II: $1000+/hr, 20-40k/yr. Side Gig
« Reply #3536 on: August 01, 2019, 05:43:05 PM »
Had my Discover card shut down today after a weird call with a rep. Was hoping it was just another fraud call. Easy come, easy go.

Car Jack

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Re: Selling Tradelines / Piggybacking Part II: $1000+/hr, 20-40k/yr. Side Gig
« Reply #3537 on: August 01, 2019, 07:43:03 PM »
What's the deal with using cards for low balance forgiveness? Which cards can be used and for how much and how often?

There's a list somewhere.  Maybe DoC.  Off the top of my head, Wells $1.99, Discover, $1.99, Barclays $0.99, Citi $0.99.  There's more but mine are all tied up with tradelines, so I'd have to go back to the list to be sure.

Pizzabrewer

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Re: Selling Tradelines / Piggybacking Part II: $1000+/hr, 20-40k/yr. Side Gig
« Reply #3538 on: August 01, 2019, 09:18:14 PM »
I emailed the old company to ask about starting tradeline sales. They answered theyíre only accepting cards 5+ years old and $30k+ Credit limits.

cooking

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Re: Selling Tradelines / Piggybacking Part II: $1000+/hr, 20-40k/yr. Side Gig
« Reply #3539 on: August 03, 2019, 02:53:16 PM »
What's the deal with using cards for low balance forgiveness? Which cards can be used and for how much and how often?

There's a list somewhere.  Maybe DoC.  Off the top of my head, Wells $1.99, Discover, $1.99, Barclays $0.99, Citi $0.99.  There's more but mine are all tied up with tradelines, so I'd have to go back to the list to be sure.

At the risk of seeming like an idiot, could someone please explain what "low balance forgiveness" is, and what the figures in the quote above represent?

HBFIRE

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Re: Selling Tradelines / Piggybacking Part II: $1000+/hr, 20-40k/yr. Side Gig
« Reply #3540 on: August 03, 2019, 05:19:27 PM »


At the risk of seeming like an idiot, could someone please explain what "low balance forgiveness" is, and what the figures in the quote above represent?

If you charge a certain amount or less in a billing cycle (with nothing else on the balance- examples given in the quote), the cc company will cancel the debt out, so basically its free money.

Quick funny story.  I had roughly 10 separate student loans.  I paid them all down to ~ $15 which delayed my next payment owed until about the end of 2022.  This allowed me to keep them reporting and was good for my credit (I know they still report for 10 yrs after being closed, but was trying to extend this, im greedy).  Recently, the rates on them went up to 4.6% or something, and I didn't want to pay anything on these, so I paid them all down to about $2.  Welp, they cancelled out the remaining balance so I kind of screwed myself haha.  I guess on the flipside, I got about $20 for free.  Banks don't want to service tiny balances, it costs them more to service it.
« Last Edit: August 03, 2019, 05:27:56 PM by HBFIRE »

secondcor521

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Re: Selling Tradelines / Piggybacking Part II: $1000+/hr, 20-40k/yr. Side Gig
« Reply #3541 on: August 03, 2019, 06:14:05 PM »
At the risk of seeming like an idiot, could someone please explain what "low balance forgiveness" is, and what the figures in the quote above represent?

If you charge a certain amount or less in a billing cycle (with nothing else on the balance- examples given in the quote), the cc company will cancel the debt out, so basically its free money.

They will often do the same if you say, charge $2,000 and pay $1,999.52.  They'll forgive the 48 cents that you're short.  It generates goodwill for the customer, and as @HBFIRE points out, it costs them more to chase you for it than to just zero it out.

Car Jack

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Re: Selling Tradelines / Piggybacking Part II: $1000+/hr, 20-40k/yr. Side Gig
« Reply #3542 on: August 04, 2019, 06:32:07 PM »

They will often do the same if you say, charge $2,000 and pay $1,999.52.  They'll forgive the 48 cents that you're short.  It generates goodwill for the customer, and as @HBFIRE points out, it costs them more to chase you for it than to just zero it out.

I would not recommend doing this.  What they technically can and probably will do is then charge you interest on the average balance of the bill you almost paid off and add the next month minimum interest charge since you didn't pay it off.

MRIDUL

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Re: Selling Tradelines / Piggybacking Part II: $1000+/hr, 20-40k/yr. Side Gig
« Reply #3543 on: August 04, 2019, 07:48:39 PM »
I would like to know how is this 1099-MISC income reported? On Schedule C? Any ways to shelter it from taxes? SEP IRA/Solo 401k? Any details would be highly appreciated.


robartsd

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Re: Selling Tradelines / Piggybacking Part II: $1000+/hr, 20-40k/yr. Side Gig
« Reply #3544 on: August 05, 2019, 09:58:15 AM »

They will often do the same if you say, charge $2,000 and pay $1,999.52.  They'll forgive the 48 cents that you're short.  It generates goodwill for the customer, and as @HBFIRE points out, it costs them more to chase you for it than to just zero it out.

I would not recommend doing this.  What they technically can and probably will do is then charge you interest on the average balance of the bill you almost paid off and add the next month minimum interest charge since you didn't pay it off.
If you want to attempt to get low balance forgiveness on the remainder of a larger purchase, pay down the purchase to a low balance forgiveness level before the statement date after it is charged. For instance, you can charge $2000 the day after your statement, post a payment of $1999 the day before your statement and likely get $1 balance forgiven on the statement. But if you charge $2000 on the day before you statement and post a payment of $1999 on the statement due date the remaining $1 principle plus interest must be below the low balance forgiveness threshold on your next statement (not likely - daily interest on $2000 is more than $0.50/day at 10% interest). If your balance is not below the low balance forgiveness, your entire balance is likely below the minimum payment threshold so the entire balance would be due as a minimum payment and a partial payment would yield a late fee instead of low balance forgiveness.

CanuckExpat

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Re: Selling Tradelines / Piggybacking Part II: $1000+/hr, 20-40k/yr. Side Gig
« Reply #3545 on: August 05, 2019, 10:05:29 AM »
I would like to know how is this 1099-MISC income reported? On Schedule C? Any ways to shelter it from taxes? SEP IRA/Solo 401k? Any details would be highly appreciated.

Anything helpful here: https://forum.mrmoneymustache.com/taxes/small-business-and-miscellaneous-income-best-practices/msg1412209/ ?

flashflooder

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Re: Selling Tradelines / Piggybacking Part II: $1000+/hr, 20-40k/yr. Side Gig
« Reply #3546 on: August 05, 2019, 11:43:10 AM »
Had my Discover card shut down today after a weird call with a rep. Was hoping it was just another fraud call. Easy come, easy go.

I don't know why these companies are still even using Discover, they seem extremely aggressive with the shutdowns.  Had mine shut down after just 2 AU's that were spaced apart by months (10+ year old account).

If you have a Discover card in play that you don't want to lose, I would ask the tradeline companies to put it on permanent hold.

salt cured

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Re: Selling Tradelines / Piggybacking Part II: $1000+/hr, 20-40k/yr. Side Gig
« Reply #3547 on: August 05, 2019, 12:50:17 PM »
I emailed the old company to ask about starting tradeline sales. They answered theyíre only accepting cards 5+ years old and $30k+ Credit limits.

I got the same message, and that they are accepting cards only from the following list: Barclays, Discover, PNC, USAA, NFCU, Elan, Capital One, Chase, Bank of America, Synch (Care Credit), and US Bank.

frogstomp81

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Re: Selling Tradelines / Piggybacking Part II: $1000+/hr, 20-40k/yr. Side Gig
« Reply #3548 on: August 05, 2019, 02:22:11 PM »
I'm still waiting on payment from the new company for orders in January & February. Seems long to me based on other payments. Anyone else not getting paid in a timely fashion?


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ecchastang

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Re: Selling Tradelines / Piggybacking Part II: $1000+/hr, 20-40k/yr. Side Gig
« Reply #3549 on: August 05, 2019, 04:19:35 PM »
PM sent for link to the company to sell tradelines.