Caltrops - Tansin A. Darcos's Alter Ego





	[quote name="Commander Tansin A. Darcos"]The song, "The Story of the Mama's and the Papa's" is the backstory to what they had to go through to get the band set up in the 1960s. One of the points they made was how they managed when they were between jobs, "Greasing on American Express Card," meaning they were using an American Express Card (which, back then, were only charge cards), where you had to pay the whole bill when you received it. But time what you charge and when your bill is due and you get 30 days plus the amount of time you get when the bill arrives, so that can conceivably give you 45 days or more to scrounge together the money. So, when the guy from American Express was on the phone discussing the terms of my merchant account, explaining that the fee is going to be a discount rate of 2.85%, he asked if I'd be interested in applying for a Gold American Express Charge Card "with no set limit," which means the limit is based on your credit history and prior usage. So I was approved, and was asked what I figured I'd run charges for. I didn't want to sound too greedy, but based strictly on having a merchant account, plus I do have pretty good credit now, I conned them into a charge card with a $20,000 limit. I probably won't keep it at the end of the 1 year trial because the annual fee is $175. Notwithstanding I already have an American Express credit card with a $3,000 limit, no annual fee and no interest if I pay off anything I've charged within the first 15 months. So what I am doing is, I'm using American Express to pay anything I'd normally pay cash for or would have bought on my Merrick Bank credit card and paid off at the end of the month. If I combine everything I'd spend money on over 3 months, and even if I borrow a little bit, I can probably prepay a few things, and run a charge of $5,000 within a couple to three months, which means I'll get an extra 75,000 points, worth about $750. At that rate, I can afford to borrow the money for 60 days and still come out ahead. I'd just use all of my Social Security Check for the 90-120 days and pay everything off, and after expenses, probably pocket $400-500. Which ain't a bad deal for just spending money I would normally spend anyway, just not all in one month. If I prepay my rent for 3 or 4 months I not only get to a big chunk of that, I chase away the landlord for that period, which is an extra benefit. (Actually, for a landlord he's not really a bad guy.) Outside of a small amount of debt I carry simply so that I am showing I'm a typical debtor like everyone else - in this environment, if you aren't borrowing money you're actually considered a <i>worse</i> credit risk than if you pay cash and either don't have credit cards or other debt or are not carrying a balance on your cards - I'm essentially debt free or could pay everything off I owe within about 90 days. I do carry a balance and pay a little interest for the privilege of being able to get in over my head in debt if I need to at some point. Which might happen if I decide to stop renting and buy a house, I've heard there are great deals on foreclosed places and a first-time homeowner has some additional incentives. Hey, if I can make it a wash, that my mortgage and insurance and taxes are the same as my rent now, by the time I've been dead for ten years (based on my probably projected lifespan of 75 years and a mortgage would run until I was 83 if it's a 30-year mortgage) I'd own the place! [/quote]