Milking the Dollar$

I just got wind of a couple of codes for free rentals from Redbox that I thought I’d pass along:

• 4J7LF6 (expires tonight at midnight)
• 7HE79B (says expires 7/7/09)

If you haven’t used Redbox before, you will need to open an account online at their website.  I just did it earlier this morning and found it to be an easy process.  Note, you will need to have a credit or debit card handy. 

Stay tuned for my full review of Redbox in the next few days.

In case you’ve been living under a rock, you have probably already heard about the so-called “Cash for Clunkers”bill.  For those of you who haven’t, let me be first to inform you that Congress has just passed this $1 billion bill that gives Americans an opportunity to get rid of their gas-guzzlers in place  of more fuel efficient rides.  This indeed can save money in the long run, but not everyone will benefit.   Keep reading to find out if you should take advantage of this offer.

Cash for Clunkers

Since I figure most of you are only vaguely familiar with Cash for Clunkers,  I will break down the key components. Cash for Clunkers runs from July 1st to November 1st of this year.  Basically, buyers who purchase a new car during this time period will be given a voucher for $3500 if they forfeit a vehicle built after 1984 that gets at least 4 mpg less than the new car.  If the fuel efficiency exceeds 10 mpg, the voucher increases to $4500!  However, don’t go rushing out the door to fuel up that old beater that’s been the yard just yet, because potential vehicles must also have been registered for at least 1 year prior to purchase.

What you should consider

Before jumping all over this deal, ask yourself the following questions.  They might change your mind one way or another.

• How much is my clunker worth?  Remember this is a government voucher, not your typical trade-in.  Here, being less valuable actually works in your favor.  For example, if you have a beat up, barely running Ford F250 that is worth only $500, you’ll get credit for $4500 (assuming your getting a +10 mpg replacement) instead of say $250 from the dealer if you were trading-in.  Thus, the more trashed and inefficient your clunker, the sweeter the deal to you!
• Does this vehicle hold any sentimental value to me?  If you have a so-called clunker, chances are it has been with you for awhile.  Like the family dog, for some people that old car becomes a part of the family.  It may be hard to give up, but many people can part with their “baby” knowing it is going to a good home.  However, there are no happy endings for these clunkers, because they will be crushed and recycled. 
• Can I fix up that clunker instead?  Not every old car gets bad gas mileage or is unreliable.  If your clunker has been faithful or can easily brought back into service, it may make more financial sense to actually keep it.  Remember, even if you are getting a $4500 voucher, that new Prius will still set you back $22,000 + tax.  Depending on how much more gas mileage it gives you, it may be cheaper to just keep the ole’ rust bucket.

The $3300 new car

To show you why I believe Cash for Clunkers is worth it’s own post, I decided to find a little research to see how I could use to get a new car for an amazing price.  While cruising the forums at Fat Wallet, I came a across a link to a great deal on an 2009 Nissan Versa.  As you can see, the dealer is running a special on this vehicle for $7800.  Since it is new, I could possibly get it for $3300 + tax if I had a clunker eligible for the $4500 voucher.  Now, that’s what I call an upgrade from the old 86 Suburban!

Final thoughts

I must say I am already a fan of Cash for Clunkers.  Unfortunately though, I don’t have any beaters that would qualify for this offer.  However, if you are lucky enough to own a qualifying hunk of junk and can find a deal like the above-mentioned Nissan, I would recommend giving this serious consideration before it expires. 

Thank you once again for reading and have a great weekend!

While my intention is to focus this blog on strategy and philosophy rather than individual products and services, sometimes I find opportunities to “work the system” which I believe are not only newsworthy, but will also help save you money. With that in mind, I want to talk about a way to use a special offer from NET10 to save a few bucks or even make some on the side.

About NET10

For those of you who don’t know, NET10 (http://www.net10.com/new_customer.jsp) is a prepaid cell phone company brought to you by Tracfone.  Being prepaid, users don’t have to sign any contracts, nor do they have to worry about hidden fees or taxes.  In addition, with NET10 there is no activation fee, which can be done easily over the phone or online at their website.  A summary of NET10’s rates can be seen below:

• $0.10 per minute for local, long distance, and roaming
• $0.05 per text message
• $0.05 extra per minute for international calls to over 60 locations worldwide

As you can see, these rates are very reasonable when compared to other prepaid services.  However, I will show you how to cut that rate significantly for up to 12,000 minutes if you act now.

Working the system

This method of getting cheap NET10 airtime is simple.  The process involves using NET10’s own promotional codes combined with their special offer to get a phone + $30 phone card to your door for $22 (tax may apply in your area). Below I have detailed how this scheme works:

1. Click on the link above or google “NET10″ to direct yourself to their website.
2. Click on the “Buy Phones & More” at the top of the page
3. Now enter your zip code (Note: The two phones that allow you to do this are only available in certain areas. If your area is not compatible with these phones, enter an alternative zip code. For example, these phones are not available where I live, so I entered the zip code 72227. Both phones are available in this area, and I can order them. However, I have to remember to change my zip code back to the one I receive my mail at during the check out process.
4. A list of different phone options should appear after you verify the zip code. The phones you are looking for are the LG 300 and the Motorola v176. Notice it states in their descriptions that each “includes a NET10 300 minute air card.”
5. Click add to cart for whichever phone you like. On the next screen click “proceed to checkout.”
6. On the proceeding screen your order should be displayed. Where it asks you if you have a promotional code type “34567” and click submit. Now enter “44477” and hit submit again. Notice your final price is down to $22.
7. Click “proceed to checkout” and fill in your credit card information. Select Fedex 3 Day Shipping on the next screen and fill out all the information. (Note: The free shipping code should automatically apply)
8. Submit your order and repeat as necessary!

Things to know

Before I leave you at this, there are a few things to know about this particular scheme.

• You can only order two phones at a time. Once, you get a confirmation email from NET10, you should be good to go for 2 more.
• There is apparently a limit on the number of phones one can order. Rumor has it that number is 40.
• Both of these phones are reconditioned.  The ones I have received, however, looked brand new.
• In addition to the free 300 minutes/60 day card, these phones also include another 300 minutes/60 days of service upon activation.  All together, that equals 600 minutes and 120 days of service for each phone you purchase.
  

Profiting from this offer

There are two ways to benefit financially from purchasing these phones in the manner I described.  Each are detailed below:

1. Saving money:  If you are a NET10 customer (0r will be in the future), the money saving potential is obvious. Getting a $30 card for $22 alone cuts the price per minute rate down to $0.073.  However, if you sell the phone (which will fetch you around $10 profit on eBay as of now), the price per minute drops down to around $0.04!
2. Making money:  The idea behind making money with this offer involves selling both the phone and refill card separately.  Expect to get around $13-18 for the phone and $25-28 for the card pin if you sell both on eBay for a total per phone profit of around $12 after eBay and Paypal fees.  That might not sound like a lot, but if you get 40 phones that’s close to $500 in profit!

Final thoughts

As you will see, I’m a firm believer in thinking outside the box to exploit any available offer that can make or save you money.  This whole NET10 phone deal is just that – unorthodox, yet potentially lucrative!  I hope you enjoyed the post and take advantage of these low cost phones while they last.  In the meantime, if you have any questions, please post a comment and I will be happy to assist you through the process.