Credit Card Spend Rotation one to another one

[S U D O]

Its a circle.. U are not benefitting after month 1..do the math.. Eg. Month 1 Withdrawn 2 L / made 18% in stocks / end of month paid 2L and withdraw 2L.again...So after Month 1.. no additional benefit.. Just Month 1 one time.. 2L 1 month interest free.. and will always remain due..Anyway.. good luck.. stay safe

what about the 18% he made using the 2L ?
i agree that this is against the RBI's guidelines.
But what this guy is basically doing is rotating money taken from cc and while holding the money(even if its for just 1 month), he is making 5% to 18% profits on that from stock market.
Same thing Harshad Mehta used to do.
Take 5CR loan from one bank to transfer to another bank but while holding the amount for 1 or 2 weeks (because of manual process- Bank Receipts), he used to churn profits out of that money. Of course Harshad mehta finally lost the money and could not repay the banks at the end.

@Pk shaw be careful of (1) losing the money. (2) getting noticed by Bank/ITD.

 

[Pk shaw]

what about the 18% he made using the 2L ?
i agree that this is against the RBI's guidelines.
But what this guy is basically doing is rotating money taken from cc and while holding the money(even if its for just 1 month), he is making 5% to 18% profits on that from stock market.
Same thing Harshad Mehta used to do.
Take 5CR loan from one bank to transfer to another bank but while holding the amount for 1 or 2 weeks (because of manual process- Bank Receipts), he used to churn profits out of that money. Of course Harshad mehta finally lost the money and could not repay the banks at the end.

@Pk shaw be careful of (1) losing the money. (2) getting noticed by Bank/ITD.

I spend money to my mom's current account and i use those money to my mom's demat account and when time comes i withdraw money and paid the bill by mom's current account.
My mom is house maker.
So here I'm rotating the money but by paying to different bank account.

We can talk about this in details if you give me your mobile number.

 

[zacobite]

what about the 18% he made using the 2L ?
i agree that this is against the RBI's guidelines.
But what this guy is basically doing is rotating money taken from cc and while holding the money(even if its for just 1 month), he is making 5% to 18% profits on that from stock market.
Same thing Harshad Mehta used to do.
Take 5CR loan from one bank to transfer to another bank but while holding the amount for 1 or 2 weeks (because of manual process- Bank Receipts), he used to churn profits out of that money. Of course Harshad mehta finally lost the money and could not repay the banks at the end.

@Pk shaw be careful of (1) losing the money. (2) getting noticed by Bank/ITD.

no one said he is not making money.. we are saying the debt remains... in perpetuity until paid off..

 

[Anil98]

not really.. they will. ask for the income to be declared.. and if not then other questions....If rotation is small then not worth it.. if rotation is huge then profit has to be declared!

Sorry bro but i am not agreeing with you on this

 

[zacobite]

Sorry bro but i am not agreeing with you on this

sure.. each to his own.. if there is a question then all income will be queried.. if there is no question then.. good..

but banks may take action even if ITD doesn't

 

[abhimarda]

If the cashback works out to more than 50k in a year, then it is taxable income in the hands of taxpayer and needs to be declared.