Who doesn't like free money? Have you been tempted by one of the many credit card offers in your mailbox? Or perhaps the idea of collecting multiple sign-up bonuses from credit card companies has crossed your mind but you're weary of keeping all the details straight. Well, you're not alone.
CashFreely helps people manage multiple credit cards, rewards, and sign-up bonuses all in one place. Members earn an average of $1,500 a year while improving their credit, helping them reach their personal finance goals, or fund a larger purchase or vacation.
How Does CashFreely Work?
The strategy behind CashFreely is simple. Apply for multiple credit cards, then manage them simultaneously and responsibly without accruing any interest, and charge enough monthly expenses on the cards to reach their signup bonuses and earn cashback.
What is a signup bonus? Some banks offer a special bonus if you spend a certain amount of money in the first month after signing up for their card. Signup bonuses can range from $50 to $1,000 cashback. CashFreely's top recommendations have bonuses ranging from $500-$800 cash back.
Since most income available is through signup bonuses, the name of the game is closing out old cards and applying for new ones. You can technically employ this strategy on your own, but it gets messy to keep track of several cards that have different signup periods, different cashback percentages, and different annual fees.
That’s where the CashFreely app comes in. Sign up with an e-mail address, and you’ll be prompted to complete the beginner steps, add any cards you already have, and so on. After you’ve added your info, you’ll get a look at the dashboard, which neatly organizes your active cards, rewards earned, annual fees, and other key dates.
Once you’ve got a handle on where everything is, it’s just a matter of using CashFreely’s tools and repeating the process.
Will This Hurt My Credit?
Short answer: no. Contrary to popular belief, routinely applying for multiple credit cards can actually help improve your credit, when done responsibly.
Zac Hood, founder of CashFreely, is quick to assuage concerns about the site's legitimacy and financial safety. Hood explains that CashFreely members improve their credit annually by following his tips and using the app’s tools.
The system is not for everyone, he elaborated, but if you act responsibly – restricting purchases to normal monthly expenses and paying the balance off before monthly interest is applied – it can show results.
“You may see a small, 5-10 point drop when you first apply for the card but once approved, your credit score will usually rise above the pre-card level,” explains expert financial planner of Abundo Wealth, Eric Simonson. If applying for one card sends a ripple, dropping your Equifax score a minuscule amount, wouldn't multiple applications do serious damage?
While it appears counterintuitive, Simonson details how that's not the case, “…because you are increasing your available credit limit, which the credit bureaus view favorably. Of course, you need to be very responsible with this new card and not accumulate a debt of more than 30-40% of your available credit limit and also make sure you pay it off on time every month.”
How Can This Be Free?
The true test of an offer's credibility is how well it works in practice. Zac Hood and his wife use the CashFreely principles themselves to bolster his income from teaching, coaching, and running non-profits. A dream of world travel on a small income while still being able to make a difference sent him down a rabbit hole of research, that eventually led to earning $50,000 towards free travel before sharing it with the world.
Sister company, Travel Freely, operates the same way but allows users to focus their goals on travel rewards.
Hood also freely shares CashFreely’s business model, explaining how they earn a commission when users are approved for credit cards found on CashFreely’s website. The small commissions add up, allowing them to fund the site, and keep it ad-free. And there is full disclosure throughout the signup process.
The site never asks for banking information or fees of any kind, relying solely on affiliate credits. When used properly, CashFreely becomes like a game that pays you for playing. First, you select your credit card “team,” from the various options all well-detailed on CashFreely. Then, much like fantasy football, you sit back and watch your rewards pile up.
One of Hood's personal passions is fly fishing, and he embraces the aforementioned ancient proverb. In this case, helping consumers how to manage cash back credit cards to maximize their rewards and grow their credit is how he teaches families just like his own to “fish.”
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