Heat a small saucepan over high heat. Add 3 tablespoons water and the caramels and reduce the heat to low. Stir the caramels frequently until they are completely melted.
Be careful not to burn the caramel.
While the caramels are melting, pull the stems out of the apples and cut a thin slice from the bottoms so they have a flat surface to stand on. Insert a cinnamon stick into the top of each apple.
Put the vanilla wafers into a plastic bag and coarsely crush them. Put the crumbs into a bowl and mix in the cinnamon.
Dip each apple into the melted caramel, making sure to get it completely coated. Put the coated apples onto a cookie sheet lined with waxed paper. Refrigerate the caramel apples for 1 to 2 minutes to harden up the caramel. Roll them in the cinnamon-crumb mixture and enjoy!
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