Stoozing - make free cash Earn interest from 0% credit cards

The Super Balance Transfer method is the quickest way to make cash. The big problem is it can only be used with a couple of cards. However, the products currently available on the market aren't sufficient to make a profit.

The dream stoozing aim is to instantly move all the 0% debt into a savings account, so you�re earning interest on it immediately. A few cards, which offer what we call a 'super balance transfer' facility, allow you to do this.

What is a super balance transfer?

When you do a normal balance transfer on a new card, it pays off your debts on another credit card for you, so you now owe the new card the money. Yet some allow 'money transfers' at the cheap balance transfer rate too, where money goes straight into your bank account (read full Super Balance Transfers guide).

A huge warning's needed. Many cards allow you to pay cash into your bank account, the difference is most charge a fortune for it. The key to a super balance transfer is that you�re charged the special promotional interest rate. So, to get this, never ever withdraw cash and never try to spend on the credit card. Instead, just ask the card provider to...

"Do a balance transfer to my current account"

This way you'll get the cheap balance transfer deal, and the cash will end up in your bank. For double surety, you can even explain exactly what you think will happen, and get them to confirm it. Don't use the term "super balance transfer" as that's a term I've coined and unless they use this site the customer service rep won't have heard of it.

Also, it's crucial you set up a direct debit to make AT LEAST the Minimum Repayment each month. If not you�ll lose the special deal and pay the 15%+ APR on all debts. In fact, it's massively preferable to pay more than this, so the debt is cleared by the end of the intro deal.

What cards will let you do this?

Only MBNA cards currently offer super balance transfers at a low interest rate.

You have two options: short term 0% offers that are cheaper over a short period, or a long term low rate which stays cheap until the balance is repaid.

• MBNA 0% for 20 months. Plus a 4% fee.

  The MBNA Platinum card offers 0% for 20 months on money transfers (super balance transfers) for a one-off fee of 4% (higher than the standard fees charged on balance transfers). You can do the super balance transfer at any time within 60 days of opening the account. After the 20 month period the rate is a huge 20.9% representative APR, so ensure you've repaid the money by then.

  Always pay at least the minimum monthly repayments or you'll lose the 0% deal.

  
  Quick Stats. 0% length: 20 months. Fee: 4% Representative variable APR: 20.9%. Minimum Income: N/A Min Repay: Greater of �25 or 1% of balance plus interest Official APR Example
  
  
• MBNA 0% for 17 months. Plus a 4% fee.

  The MBNA* Everyday card offers 0% for 17 months on money transfers (super balance transfers) for a one-off fee of 4% (higher than the standard fees charged on balance transfers). You can do the super balance transfer at any time within 60 days of opening the account. After the 17 month period the rate is a huge 20.9% representative APR, so ensure you've repaid the money by then.

  However, this card offers 0% balance transfers for 17 months too, with a low handling fee of 2%. After the 17 months, the representative APR on the BT is 18.9%.

  Always pay at least the minimum monthly repayments or you'll lose the 0% deals.

  
  Quick Stats. 0% length: 17 months. Fee: 4% Representative variable APR: 20.9%. Minimum Income: N/A Min Repay: Greater of �25 or 1% of balance plus interest Official APR Example
  
  

Once you have the cash in the bank, move it to a top paying ISA or savings account to earn around 2% - see Step 2: Time to earn cash. When the year-long 0% rate ends, you could have netted over �100; then either pay back the balance in full, or switch it to a normal balance transfer card, thus keeping the stoozed cash in your savings account.

To find out how much you'll make, use the Stoozing Calculator.

Please note the Egg Money card is no longer available. We've left this here purely for archive purposes.

This should be thought of as a back up route if you can't access the super balance transfer deals. It's tricky, complex and requires a really good credit score but does allow money to be quickly moved into a savings account from lots of different cards.

Not for amateurs, it's worth considering if you already have all the cards used in the method above, meaning you can't access the cheap super balance transfer deals.

You must be ultra-careful - read the full explanation at least twice to ensure you understand it, as it's much easier to make a costly mistake. Also make sure you understand how balance transfers work first (never simply �withdraw cash' and put it in your bank account; you'd incur big fees and interest charges).

It's all about the Egg Money card

For this you need an Egg Money card (not to be confused with the standard Egg card) - these are not accepting new customers, so you'll need to have one already. It charges a �1 monthly fee (�12/year), which must be factored in. It has a 19.0% representative APR.

In addition, a cheap balance transfer card is required.

Egg Money can both have a money balance transferred to it, AND lets you pay cash directly into your bank account at no cost. This second feature enables it to be used as a �mule' card for shifting cash from a 0% deal into your savings account. Most cards either don�t permit this, or charge a fee and possibly interest for doing so.

What to do

Before using this technique, you also need a 0% card for balance transfers too. To make the best use of stoozing, you�ll need a good credit rating to ensure you can continue to get the right cards again and again. Plus you�ll need to be good with money, as if you fail to switch in time the cost shoots up. See full details of the top 0% credit cards.

Once you've got one, then use the Egg Money card to pay cash into your bank account. At this point, you will be in debt with Egg, so then use the 0% balance transfer card to pay off the Egg Money card. If you go for a card which charges a balance transfer fee, work how much you�ll pay and take it off the profit in the Stoozing Calculator to see how much you�ll really make.

This means the Egg Money card now has a zero balance, and you have money in your bank account equal to the amount of 0% debt on the balance transfer card, which can be moved to a high interest account.

Got that? Probably not, so follow the guide below�