I want to invest the 50 days interest free amount that the credit card provides and make profit out of it

T€ja

KF Ace
I want to invest the 50 days interest free amount that the credit card provides and make profit out of it, does anyone have any idea where to invest like in stocks or any other good place to invest, for that short term.



I don't know whether I'm thinking right or not, but is there any way something like it, will listen every honest reply




I've seen that we don't discuss about any particular stocks in this platform, that's fine,


I just want to know like about how to utilize that money properly in a benefit able manner bolke, no need of any information on any particular stock
 
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Mayur

KF Ace
Credit limit is a loan which you take from Banks my personal opinion is don't invest in MF or Stocks just find which bank will give maximum return in FD for short duration you can consider ICICI(4-5%),IOB(4.25%),SBI(4.5),AU Bank(7% in saving account), ya.. I know that it will give small return but your money is safe and you earn fixed return. And its better to take 2 days margin for any inconvenience.

Note : this is not an investment advice, please consult a registered investment advisor before taking any decision.
 

T€ja

KF Ace
Credit limit is a loan which you take from Banks my personal opinion is don't invest in MF or Stocks just find which bank will give maximum return in FD for short duration you can consider ICICI(4-5%),IOB(4.25%),SBI(4.5),AU Bank(7% in saving account), ya.. I know that it will give small return but your money is safe and you earn fixed return. And its better to take 2 days margin for any inconvenience.

Note : this is not an investment advice, please consult a registered investment advisor before taking any decision.
Ya completely not an investment advice, just sharing experiences

Bro but that 7% interest in AU bank or any other thing is for annual returns right not for some 40-45 days investment na
 

Mayur

KF Ace
Bro keep your money in AU bank account it will pay intrest acc. to 7%pa every month. So you will get 7\12 % per month in your account.
 

AdityaJain

KF Rookie
Bro keep your money in AU bank account it will pay intrest acc. to 7%pa every month. So you will get 7\12 % per month in your account.
Credit limit is a loan which you take from Banks my personal opinion is don't invest in MF or Stocks just find which bank will give maximum return in FD for short duration you can consider ICICI(4-5%),IOB(4.25%),SBI(4.5),AU Bank(7% in saving account), ya.. I know that it will give small return but your money is safe and you earn fixed return. And its better to take 2 days margin for any inconvenience.

Note : this is not an investment advice, please consult a registered investment advisor before taking any decision.

Yes, AU Bank provides up to 7.25% P.A. on savings bank accounts, but there is little catch. Look at the interest rate table, and you will understand.
 

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I want to invest the 50 days interest free amount that the credit card provides and make profit out of it, does anyone have any idea where to invest like in stocks or any other good place to invest, for that short term.



I don't know whether I'm thinking right or not, but is there any way something like it, will listen every honest reply




I've seen that we don't discuss about any particular stocks in this platform, that's fine,


I just want to know like about how to utilize that money properly in a benefit able manner bolke, no need of any information on any particular stock
Hi! Bro, If you take some risk then better ROI in Mobikwik App in XTRA feature They provide 12% ROI in Yearly. Yani ki per month 1% ki Return. But its P2P Lending, to thoda Risk to hain Bro!
 

iamvajid

KF Rookie
I would suggest investing your money in Unity Small Finance Bank saving account which provides 6% return under 1 lack and 7% above 1 lack amount. This bank provides the highest interest rate in India. It also provides monthly interest means your money will get compounded every month.

This means for every 1 lack you will earn more than 6000 per year. which you can invest in your long-term investments.
 

T€ja

KF Ace
I would suggest investing your money in Unity Small Finance Bank saving account which provides 6% return under 1 lack and 7% above 1 lack amount. This bank provides the highest interest rate in India. It also provides monthly interest means your money will get compounded every month.

This means for every 1 lack you will earn more than 6000 per year. which you can invest in your long-term investments.
Bro I'm saying money out of credit card na I have to swipe at my shop monthly and get that money into my account,

Which will charge me 1.5% MDR every time monthly, so literally it would be 18% annually I guess, so I guess there is not really much I can do anything below it.

Is my logic correct or Is my math wrong anywhere bro
Hi! Bro, If you take some risk then better ROI in Mobikwik App in XTRA feature They provide 12% ROI in Yearly. Yani ki per month 1% ki Return. But its P2P Lending, to thoda Risk to hain Bro!
 

AdityaJain

KF Rookie
Bro I'm saying money out of credit card na I have to swipe at my shop monthly and get that money into my account,

Which will charge me 1.5% MDR every time monthly, so literally it would be 18% annually I guess, so I guess there is not really much I can do anything below it.

Is my logic correct or Is my math wrong anywhere bro
If MDR is 1.5% per transaction, then if we take 45 days of period, a total of 8 transactions will occur. It means 8*1.5% = 12% you need to make to just cover the expenses. So, no savings bank or FD scheme will help you.

If you can find any app that charges no or less transaction fees on rent transactions, then you can find a way to do so.

This is a totally hypothetical and educational thing.
 

T€ja

KF Ace
If MDR is 1.5% per transaction, then if we take 45 days of period, a total of 8 transactions will occur. It means 8*1.5% = 12% you need to make to just cover the expenses. So, no savings bank or FD scheme will help you.

If you can find any app that charges no or less transaction fees on rent transactions, then you can find a way to do so.

This is a totally hypothetical and educational thing.
Ya bro so at least 12% should be my return,


Ha apps like Paytm charge 2.35% then it would be almost 19% yearly, I don't know any better apps with less transaction fee


Ha if anyone knows any better app for credit card to bank transfer, Please tell about it
 

iamvajid

KF Rookie
Bro I'm saying money out of credit card na I have to swipe at my shop monthly and get that money into my account,

Which will charge me 1.5% MDR every time monthly, so literally it would be 18% annually I guess, so I guess there is not really much I can do anything below it.

Is my logic correct or Is my math wrong anywhere bro
Use a Rupay credit card or if you have a Visa card then convert it into Rupay.
 

sbk

KF Rookie
I want to invest the 50 days interest free amount that the credit card provides and make profit out of it, does anyone have any idea where to invest like in stocks or any other good place to invest, for that short term.



I don't know whether I'm thinking right or not, but is there any way something like it, will listen every honest reply




I've seen that we don't discuss about any particular stocks in this platform, that's fine,


I just want to know like about how to utilize that money properly in a benefit able manner bolke, no need of any information on any particular stock
I have tried the same way.

From my experience it is very tedius to manage all this investments.

You need to take care of below points.
1. Liquid MF takes 2-3 business day to withdraw and credited to bank account so you need to make sure because if these time period you don't lose you CC Bill Due Date.
2. If you use more that 30% it will impact your credit score. So eventually it will impact you more while going for i.e. home loan. So using 100% of your card limit is actually very bad idea and will impact negatively.
3. If you are managing your finance very well which I believe you are because you are eager to earn from CC. 1 thing you need to keep in mind though is that for people like you and me CC is to earn reward points and for emergency. So if you invest all you CC Amount than you might face issue in emergency and ideally instrument you designed for emergency shouldn't be used for investment.

Let me know your thoughts may be I can also learn from your thoughts also. Thanks!!!
 

Gigachad

KF Mentor
I want to invest the 50 days interest free amount that the credit card provides and make profit out of it, does anyone have any idea where to invest like in stocks or any other good place to invest, for that short term.



I don't know whether I'm thinking right or not, but is there any way something like it, will listen every honest reply




I've seen that we don't discuss about any particular stocks in this platform, that's fine,


I just want to know like about how to utilize that money properly in a benefit able manner bolke, no need of any information on any particular stock
Very bad idea to invest with cc debt.
Wouldn't recommend.. if your investment goes South, you will be in trouble..
 

T€ja

KF Ace
I have tried the same way.

From my experience it is very tedius to manage all this investments.

You need to take care of below points.
1. Liquid MF takes 2-3 business day to withdraw and credited to bank account so you need to make sure because if these time period you don't lose you CC Bill Due Date.
2. If you use more that 30% it will impact your credit score. So eventually it will impact you more while going for i.e. home loan. So using 100% of your card limit is actually very bad idea and will impact negatively.
3. If you are managing your finance very well which I believe you are because you are eager to earn from CC. 1 thing you need to keep in mind though is that for people like you and me CC is to earn reward points and for emergency. So if you invest all you CC Amount than you might face issue in emergency and ideally instrument you designed for emergency shouldn't be used for investment.

Let me know your thoughts may be I can also learn from your thoughts also. Thanks!!!
Yes bro the 2nd point kills the whole plan I guess.

Ya I will better leave this thought


Just an other doubt, I got a card limit of 80k I have bought 36k samsung tab, for an emi of 3k for 12 months, I have purchased some 20k worth other goods too,


So my this month bill is 23k, does it cross the supposed 30% credit card limit as I made a total purchase of 56k in this month
 

shiraz

KF Rookie
I was also thinking the same, but fear of Income Tax Department notice if payment of Credit Card exceed 10 Lac and Credit Card issuer bank reported in AIS of income tax portal?
Please confirm this. This year I have spent more than 50 Lac by credit card. now I'm in fear of ITD notice
Is This 10L Limit From All Cards or Just From 1 Card Issuer (Bank)
 

Deb27

KF Rookie
I was also thinking the same, but fear of Income Tax Department notice if payment of Credit Card exceed 10 Lac and Credit Card issuer bank reported in AIS of income tax portal?
Please confirm this. This year I have spent more than 50 Lac by credit card. now I'm in fear of ITD notice
Debit or credit transactions totaling more than INR 10 lakhs in a fiscal year are reported by the bank to ITD. Especially for credit cards, when someone is clearing dues of INR 10 lakhs or more, the credit card issuer shares consumer and transaction details with ITD. PAN is linked to all bank accounts and credit cards under your name. So it does not matter if credit cards are from 10 different banks, each with a monthly bill of 30k. Also, ITD specially notices this and sends a warning or query when the debit transactions exceed the amount deposited in a given fiscal year. If you file your taxes in a timely manner, then ITD won't bother you with a notice. But do remember that the bank will be reporting to ITD on a timely basis in the above case. Dil khol k shopping karo!
 
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