[quote=socrattt][quote=IONEGARM]Congrats, that is the worst idea I have heard today.
But I have hope, the day isn’t over yet.[/quote]
Let me guess you are waiting for your bailout and your mind never crossed the path of free thinking.
To all others who actually replied to my post with a common sense approach I appreciate it. My situation is a bit different than most. I do have hundreds of thousands of dollars to tap into as far as credit cards are concerned. I have a large amount of cash and my plan is to still pay the debt off within 1-2 years. I am not doing anything more than putting my monthly debt on cards. Obviously I can’t use credit cards for everything.
I know we haven’t hit hyper inflation quite yet, but I am betting that things will be changing within 2-3 months. Again, I am taking into consideration that I may be paying 15%-20%, but there is a great chance commodities will continue to increase and an even better chance that the dollar will devalue.
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Are you simply planning on floating your monthly expenses on CC and investing that or are you letting the debt accumulate for a couple years ?
Your position would be equivalent to a leveraged investment in commodities, so why not simply buy Ultra Pro shares in commodities ?
Putting your cash into these would have the same impact as holding the cash, piling up CC debt and investing in commodities, except that you would not be paying the expense on the debt. The only expense would be the lost interest on your savings (this is cheaper than CC debt).
These funds seek to match 200% of daily moves in various commodities :
Ultra DJ-AIG Commodity Index : UCD
Ultra DJ-AIG Crude Oil : UCO
Ultra Gold : UGL
Ultra Silver (update): AGQ
