A business man with many years of experience in the financial markets.
Stoozing
Stoozing is a slang term used to describe the act of borrowing money at 0% (typically on credit cards) and earning interest on the money and paying it back before the 0% period ends. Stoozing can also be viewed as a form of Arbitrage. The word "Stoozing" came into existence from posts on the Motley Fool UK discussion boards in early 2004.
There is fierce competition in the credit card industry so that many lenders have introductory periods of between 3 and 18 months during which they charge 0% interest on the card balance (commonly known as 0% interest Balance Transfers). This is done as a way of attracting customers. You can take advantage of the 0% introductory period by withdrawing the money to pay off your debt, as long as you ensure that you pay of the minimum monthly charge that the lender will charge you.
A 'stoozer' borrows money on a 0% interest-rate credit card, and then puts the cash in a high interest savings account. Once the 0% period is over, the 'stoozer' pays the original capital back and keeps the interest earned on the savings. Or better still, they roll the original loan over to a new 0% card, and keep accumulating interest. While the simplest form of stoozing will involve only a single debt-swap, with one account directly repaying another, successful stoozing relies on being able to muster several transferred balances at the same time in order to generate usefully large profits (or savings). Effective stoozing also relies on making effective applications for further credit.
The popularity of stoozing, deliberately taking advantage of cheap borrowing where there is technically no need to borrow, has increased steadily in the UK in recent years as the availability of 0% borrowing has itself gone from being almost unheard of before the year 2000 to becoming an established feature of almost every new credit card currently (as of 2006) offered in the UK. Online sites, such as Savings Agent.com, allow you to find and maximize the value of stoozing by transferring balance between credit cards.
If you are the sort of person who can't resist temptation, then stoozing is not for you
- Related Videos
- Related Articles
- Ask / Related Q&A
- # Credit Card Debt Management- for Managing Credit Card Debts
- Credit Card Debt Calculator – Calculate your Savings on Credit Card Bill Payments
- Credit Card Debt - Watch Your Credit Report and Your Bill
- Credit Card Debt as a Silent Financial Killer
- Looking For Some Advice on Credit Card Debt Relief
- Need Some Help On Credit Card Debt Reduction?
- Top Tips to Credit Card Debt Negotiation
- Credit Card Debt Consolidation Loan
Getting Fast Payday Loans Helps Pay Urgent Bills
By: Sandra Ruper | 07/01/2010Cash advance loans come to the rescue of families who are falling short of cash in unexpected situations. There are many who are surviving their expenses with their monthly wages. With the hike in inflation, it has been tough managing the household and outside expenses with ease. Life can be...
Fast and Affordable Term Life Insurance Policies
By: Marilyn Katz | 07/01/2010Have you put off buying life insurance because you think it is too time consuming and complicated to apply? Learn how insurers are making this fast and easy in the 21st century.
Secure Your Future With LV Life Insruance
By: Raul Crasmin | 07/01/2010Many may not face the reality but death is an inevitable hard fact of life, are we prepared to deal with it? The answer to this question brings in a sense of being overwhelmed. If you accept it the sooner the better are your future prospects. Once you have come...
Considering Liverpool Life Insurance in Tough Times
By: Peter Rivers | 07/01/2010How many among us have had tough times to balance the monthly budgets in recent times. The economic recession has taken a toll on every human and each part of the world is affected by it. The means of earning remain limited but the expenses seem to be reaching an...
1085 Trades Without A Loss (Amazing Video)
By: Rob Trader | 07/01/2010Forex Mercenary relies on a combination of sophisticated mathematics and an in-depth understanding of the dynamics that drive Forex market movements. The end result is revolutionary signal software which tells the user when exactly to get into a trade and when to get out. Each and every time.
Master trader reveals his powerful techniques
By: Rob Trader | 07/01/2010Vladimir's best kept secret strategy for extracting profits from the Forex market, with a push of a button. A hybrid strategy which includes manual as well as automated components, aided by the proprietary sRs indicator, alert and template.
Forex Juggernaut Exclusive Secret Launch Details!
By: Rob Trader | 07/01/2010A Robot That Guarantee's Winning Trades On The EUR/GBP Currency Pair. This Robot trades Swing Style like the profitable Godfather but it execute's trades daily on a consistant long term basis. Introducing Next Generation FX Trading's Amazing Ground Breaking 'Juggernaut' Robot, The first Forex Expert Advisor that performs like it's on Steroids. This newly developed Next Gen. EA Is About To Hit The Forex Market In Early January And Produce ASTONISHING GUARANTEED DAILY PROFITS!!!
Discover How You Can Learn Swing Trading Today
By: Creztor Tessel | 07/01/2010Want to learn swing trading? Swing trading is like any form of trading and comes with a certain amount of risk and reward. The best way for anyone to begin a career as a swing trader is to follow the two tips below. Swing trading is not a get rich...
Pump Bump
By: Dr. Marc Mitnick | 08/09/2007 | HealthA discussion of the primary cause of pain in the back of the heel.
Credit Card Company Abuses
By: Dr. Marc Mitnick | 29/08/2007 | FinanceHow credit card companies add additional expenses for the use of their cards
Stoozing
By: Dr. Marc Mitnick | 26/08/2007 | FinanceA method of 0 percent credit cards to make money
Gout
By: Dr. Marc Mitnick | 22/04/2007 | HealthA podiatrist with over 25 years of clinical experience discusses foot, ankle and lower leg conditions. The discussion includes origins of the problem and how to treat them.
Blue Toe Syndrome
By: Dr. Marc Mitnick | 16/03/2007 | HealthA podiatrist with over 25 years of clinical experience discusses foot, ankle and lower leg conditions. The discussion includes origins of the problem and how to treat them.
Shin Splints
By: Dr. Marc Mitnick | 27/02/2007 | HealthA podiatrist with over 25 years of clinical experience discusses foot, ankle and lower leg conditions. The discussion includes origins of the problem and how to treat them.
Poison Ivy
By: Dr. Marc Mitnick | 18/02/2007 | HealthA podiatrist with over 25 years of clinical experience discusses foot, ankle and lower leg conditions. The discussion includes origins of the problem and how to treat them.