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Manufactured spending and welfare/government benefits? Bank accounts...

Manufactured spending and welfare/government benefits? Bank accounts...

Old Oct 23, 18, 5:20 pm
  #1  
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Manufactured spending and welfare/government benefits? Bank accounts...

I want to do regular manufactured spending. I have already done MS for sign up bonuses. However, I'm also receiving various government benefits for low-income families (and I am low-income), and they periodically ask for me to provide them with "6 months of bank statements from all bank accounts" (section 8 for example asks for this). Has anyone done MS and been on government benefits? Did you have to write up a bunch of explanations and provide a bunch of receipts to the government so they know that all those thousand dollar money orders coming into your account aren't actual income? I just applied for rental assistance from a local agency, and I wrote like a page and a half paper explaining MS and provided them with walmart visa gc receipts and with credit card statements, because I don't want them to think that all that money coming in is income. Still waiting to hear back from them. I want to do way more MS in the future, but worried.
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Old Oct 23, 18, 6:11 pm
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The obvious answer is to set-up a separate account. Many banks and credit unions have 'Basic' no-fee, no-minimum accounts. Use one for your regular bills and utilities, the other for MS.

Originally Posted by stormpelt View Post
I just applied for rental assistance from a local agency, and I wrote like a page and a half paper explaining MS and provided them with walmart visa gc receipts and with credit card statements, because I don't want them to think that all that money coming in is income.
They're not gonna like it, and they likely won't understand it. Even if one does, we all face gate-keepers, and they have their own screwy theories we are at the mercy of.
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Old Oct 23, 18, 6:14 pm
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Originally Posted by Whittaker View Post
The obvious answer is to set-up a separate account. Many banks and credit unions have 'Basic' no-fee, no-minimum accounts. Use one for your regular bills and utilities, the other for MS.



They're not gonna like it, and they likely won't understand it. Even if one does, we all face gate-keepers, and they have their own screwy theories we are at the mercy of.
That's what I was thinking too, but won't government agencies find out about any and all accounts I might have? Don't banks have to fill out forms to send to the irs if I'm going to deposit more than 10k a week or something?
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Old Oct 23, 18, 6:20 pm
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Originally Posted by stormpelt View Post
I want to do regular manufactured spending. I have already done MS for sign up bonuses. However, I'm also receiving various government benefits for low-income families (and I am low-income), and (1) they periodically ask for me to provide them with "6 months of bank statements from all bank accounts" (section 8 for example asks for this). Has anyone done MS and been on government benefits? Did you have to write up a bunch of explanations and provide a bunch of receipts to the government so they know that (2) all those thousand dollar money orders coming into your account aren't actual income? (3) I just applied for rental assistance from a local agency, and I wrote like a page and a half paper explaining MS and provided them with walmart visa gc receipts and with credit card statements, because I don't want them to think that all that money coming in is income. Still waiting to hear back from them. (4) I want to do way more MS in the future, but worried.
1 - They generally just want statements from banks where you receive, deposit, or invest money, but it's my understanding that most government assistance programs have the ability to search for any finical account link to your SSN. That said, I've had to assist a family member in my area with these same issues and they've never asked about anything other than her local bank accounts where she receives her assistance funds and makes payment from.

2 - You should utilize WM Bill Pay since it would eliminate the depositing of money orders into any bank accounts they might want statements for. Read up on how to MS via VGCs and WM Bill Pay if you are unfamiliar with it.

3 - Don't try to explain what MS is to those that are not familiar with it unless absolutely necessary. Especially financial people! Most of them view it as a form of money laundering and from an outside perspective that's exactly what it looks like.

4 - Please don't do this. I'll admit that one can make more money MSing than say a minimum wage job, but it requires pushing a lot of volume. That brings with it a serious risk if your liquidation route dries up and you're left sitting on thousands in VGCs or MCGCs that you now can't use to pay back your credit card banks.

Last edited by Prometheus77; Oct 23, 18 at 6:33 pm
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Old Oct 23, 18, 6:23 pm
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MS and being on welfare program is like mixing oil with water. If you're going to do regular MS, that means you'll likely ramp up to huge volume to make it worth your while. The only way you can "hide" your MS activities would be to open a separate bank account to deposit your MOs. You may have to open several bank accounts depending on how much MOs you plan to deposit per month. When you open bank accounts, your application goes through Chexsystem, EWS or Lexis Nexis. These are specialized consumer reporting agencies that tracks your checking and savings account(s) among other things. If you have any derogatory report, some banks may reject your application. I'm not sure if gov't programs will look and find out your other bank accounts, you may lose your welfare benefits. I suggest you weigh it carefully before you decide to continue doing MS. Best to continue reading and understand all the complexities of MS and ask yourself if you're well prepared to handle possible problems that goes with it. Good luck!
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Old Oct 23, 18, 6:39 pm
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Originally Posted by stormpelt View Post
That's what I was thinking too, but won't government agencies find out about any and all accounts I might have? Don't banks have to fill out forms to send to the irs if I'm going to deposit more than 10k a week or something?
I think that's too much, too soon for a newbie MSer. If the gov't program stumbles into your Chex/EWS/Lexis Nexis report and see you have other accounts, your welfare benefits may be cancelled immediately w/o asking for an explanation so you have to be careful about that. Make sure to read and understand bust out score.
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Old Oct 23, 18, 6:57 pm
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Originally Posted by stormpelt View Post
That's what I was thinking too, but won't government agencies find out about any and all accounts I might have?
They don't auto-report, but they could find them if they went looking, which they normally don't, and would normally require cause to do so.

I remember reading about an ex-IRS agent that if he saw a Lamborghini or Bentley or other very expensive vehicle, he would jot down the plate number, and when he got back to the office, he would run the plate (illegal without probable cause) and then pull their tax records (illegal without probable cause) and see if they were living beyond their means, and then get a bonus if they were caught under-reporting their income.

Don't banks have to fill out forms to send to the irs if I'm going to deposit more than 10k a week or something?
As someone else posted, if you're gonna do higher volume, then you gotta get multiple accounts.
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Old Oct 23, 18, 7:38 pm
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btw, if by chance you're also on WIC and foodstamps, you have to be extremely careful not to get noticed buying $500 VGCs at the same grocery store. One VGC bought by someone on welfare looks suspicious enough, what more if you're buying several like you planned in your other posts? Anyone can take your picture and file a report if they see you do this regularly. And that is one way you get caught and kicked out of the welfare system.
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Old Oct 23, 18, 8:39 pm
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My initial instinct is to stay away from MSing if you don't have the means to float changes in opportunities.
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Old Oct 23, 18, 10:34 pm
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Originally Posted by Mamibear View Post
btw, if by chance you're also on WIC and foodstamps, you have to be extremely careful not to get noticed buying $500 VGCs at the same grocery store. One VGC bought by someone on welfare looks suspicious enough, what more if you're buying several like you planned in your other posts? Anyone can take your picture and file a report if they see you do this regularly. And that is one way you get caught and kicked out of the welfare system.
But I'm not doing anything illegal, so why would I get kicked out?
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Old Oct 23, 18, 10:45 pm
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I mean, can the welfare programs really kick me off simply for manufactured spending? I can keep all the receipts and write one page explanations every time I reapply... I'm worried about the looks I'll get. "What's a smarty pants like you doing on welfare?" I don't want welfare workers to be weirded out that I fly for free but can't support my own self and family, which is true. I mean, MSing is way easier than getting a full-time high-paying job and actually making any money off of it after daycare and bills (heck, I literally can't afford to work because I'd owe more in daycare and expenses than I'd make total).
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Old Oct 24, 18, 12:31 am
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You are already leaching off the tax payers, might as well stick it to the cc companies too! If you canít work, that is one thing but you clearly stated that you were better off not working than getting a job. Arenít there child care subsidies for your situation? I would want to teach my kids about hard work and earning a better life and not how to game the system and get by.
My grandfathers dad died when he was 4 and he went out as a four year old and helped pick string beans to sell to assist the family in putting food on the table.
If you read this far, I would have the cc and money in someone elseís name so you donít end up screwing your children out of a roof over their head and meal so you can fly somewhere for free where you canít afford to enjoy anything.
Good luck
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Old Oct 24, 18, 2:34 am
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I would be extremely careful doing MS while on welfare. Btw how could you get approved for CCs if you have no job, no income? Have you been lying about your income on applications?
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Old Oct 24, 18, 5:05 am
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Originally Posted by Zgirl View Post
I would be extremely careful doing MS while on welfare. Btw how could you get approved for CCs if you have no job, no income? Have you been lying about your income on applications?
Having a low income and even a very high credit score is possible. A decent enough credit score and some income may be sufficient to qualify for some points-earning credit or charge cards that can be used for buying and liquidating to repay liabilities but not accrue further reportable income from such activity.
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Old Oct 24, 18, 6:29 am
  #15  
 
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Don’t feed the troll
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