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I can get a $120 interest-free loan each day, but I need to return the money in 30 days (when my credit card bill is due). There is no fee I need to pay; instead, I can get small cashback from this loan, which was discussed in another question.

My question is, is there any practical, risk-free, legal way that I can use this money to generate more money?

By the way, I am not in debt but have a mortgage.

Edit: The line above is inaccurate. It should be "the only debt I have is a mortgage".

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    "I am not in debt but have a mortgage" Then you are in debt :-)
    – D Stanley
    Commented Jan 5, 2023 at 23:16
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    @DStanley, you are right. I mean, the mortgage is the only debt I have.
    – Zuriel
    Commented Jan 5, 2023 at 23:29
  • In the link you give it says "Your standard purchase APR applies to the cash you receive.". That doesn't sound like "interest free" to me.
    – DJClayworth
    Commented Jan 6, 2023 at 15:10
  • @DJClayworth, if I get my cash today, as long as I return it before my next credit card bill deadline (usually in 30 days), there will be no interest. Basically, I can keep the cash for 30 days.
    – Zuriel
    Commented Jan 6, 2023 at 15:32

2 Answers 2

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After 30 days you are in a cycle where you receive $120 in physical cash each day and need to pay $120 in electronic cash each day. And in return you have $3600 of cash you can work with.

What you have to do in order to get that, is that you need to:

  1. Go to a point-of-sale participating in the program
  2. Stand in line to get your $120
  3. Go to your bank
  4. Cash in the money

That will probably take about at least an hour of your time each day. 365 days a year. And you better not miss a single day, because you will get charged the $120 payback each day anyway, which you will then be missing for a month. Which is bad if your capital is currently caught in some investment scheme you can't or don't want to take them out of right now.

And what do you get in return? Well, there is not much you can do with $3600 that will create any useful return for the investment in labor of finding the right opportunities. Daytrading stocks is so labor-intense that you need at least $100k to earn minimum wage - even if you know what you are doing. Anything with fixed interest won't give you more than a few percent per year, so not nearly enough to make the shopping and bank trip each day worth the effort.

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  • Well, I only need to go to the bank once per month but I do need to go to a supermarket to get the cash daily. Thank you for your answer!
    – Zuriel
    Commented Jan 10, 2023 at 13:25
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    @Zuriel ah, so you don't need to pay back each $120 loans 30 days after that loan, but all of them together at a fixed date each month? That would make it even harder to invest that money, because you need to liquidate all your investments before that date.
    – Philipp
    Commented Jan 10, 2023 at 14:15
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Effectively, you only have $120 more to play with, even if you roll over the debt.

In most countries, the amount of income that can be produced by $120 is not worth the effort you are proposing.

So in practical terms, no.

There Are No Shortcuts.

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    I mean, $120 daily, or $3,600 monthly.
    – Zuriel
    Commented Jan 5, 2023 at 23:27
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    There are many shortcuts: 1) be born rich, 2) be good friends with important politicians who can regulate the industry in your favour, 3) be a congressional representative so you can legally insider-trade, 4) be good friends with Vladimir Putin at the time of the break up of the soviet union, and so on
    – Criticizing Israel not allowed
    Commented Jan 6, 2023 at 0:31
  • I presumed folks would fill in the gaps: there are no easy, obvious shortcuts available to ordinary human beings. This is self-evident by the fact that if there were, someone would already have tried exploiting them and we would either have heard about their success or the opportunity would have been closed.
    – keshlam
    Commented Jan 6, 2023 at 0:46
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    With $120 daily under a 30-day scheme, the risk of your missing a repayment at some point and the resulting penalty wiping out all the (still very minor) gains seems excessive.
    – keshlam
    Commented Jan 6, 2023 at 0:48

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