{"id":376,"date":"2019-11-16T00:00:00","date_gmt":"2019-11-15T22:00:00","guid":{"rendered":"https:\/\/investinslovakia.eu\/sobotnajsia-treti-princip-investora-dlhom-k-bohatstvu-alebo-ku-katastrofe\/"},"modified":"2022-07-26T19:41:38","modified_gmt":"2022-07-26T17:41:38","slug":"treti-princip-investora-dlhom-k-bohatstvu-alebo-ku-katastrofe","status":"publish","type":"post","link":"https:\/\/wordpress.investinslovakia.eu\/en\/treti-princip-investora-dlhom-k-bohatstvu-alebo-ku-katastrofe\/","title":{"rendered":"Debt to riches. Or to disaster?! 3. THE INVESTOR PRINCIPLE"},"content":{"rendered":"
Some time ago, I wrote a two-part series on investor principles. It's time for me to finish these ideas because I think they are key to starting to live a fuller and richer life. <\/p>\n\n\n\n
Before I introduce the 3. INVESTOR PRINCIPLE, I will remind you in a short recap what the first two investor principles were all about:<\/p>\n\n\n\n
1. INVESTOR PRINCIPLE: Find\nfind a passive income now! <\/a><\/p>\n\n\n\n The article talked about finding a source of passive income. It's really important. Without a passive income that you can increase over time, you will never begin to live a fuller and richer life. If your only income is what you exchange for your time at work, you will find yourself in a \"rat race.\" Gradually, this will cause you to begin to let go of your dreams that you have clutched so tightly in your hands. <\/em><\/p>\n\n\n\n 2. INVESTOR PRINCIPLE: Unfair\nadvantage of the rich.<\/a><\/p>\n\n\n\n The article talked about making passive income at an amount that will start to build real wealth for you. If you are offered passive income by a bank in a savings account with 0.5 % or 2 % return per annum, get off your chair, turn on your heel and walk away. This passive income will only feed the bank and not you. \u2639\ufe0f<\/em><\/p>\n\n\n\n Now I'm going to share with you an idea that I'll develop in the 3rd PRINCIPLE OF THE INVESTOR. This is: Debt to riches. Or to disaster?!<\/strong><\/p>\n\n\n\n Unmanaged debt can wreak havoc on families. Last Saturday I wrote an article<\/a> about being careful where you put your own money and gave examples where two friends of mine lived thanks to different thinking completely different lives.<\/strong><\/p>\n\n\n\n This is doubly true of debt. Well, if you learn to use your own money, you will learn to manage debt. With managed debt, you can multiply your passive income from day to day. <\/em> <\/p><\/blockquote>\n\n\n\n But let's get this out of the way.<\/em><\/p>\n\n\n\n On TV, on the radio, on the Internet, on billboards ... everywhere there are ads for loans, for credit and for taking on debt. <\/p>\n\n\n\n Have you given any thought to what these companies are forcing you to do? All these things mentioned are liabilities, which are losing value at an extremely rapid rate<\/strong> . They are recommending that you take on debt to cover these liabilities and go into debt. It is consistent with that, what I wrote HERE?!<\/a> <\/p>\n\n\n\n How quickly the financial value of a Christmas present disappears\nfor your loved one? For you instantly. For your loved one, gradually, as long as you\nyou have not given a passive income under the tree with a first deposit of EUR 10 000.<\/p>\n\n\n\n You buy things on debt that immediately lose value and after 5 years you are only entitled to a fraction of what you invested in it. You are buying things on debt that will never put any new euro in your pocket. But the debt has to be repaid for years to come with interest!<\/p>\n\n\n\n With every one unmanaged debt, we cause ourselves further losses. I do not want to be a bad prophet, but Slovakia is one of the most indebted countries in the EU. <\/em><\/p><\/blockquote>\n\n\n\n So why are we all surprised that we are living below the poverty line?<\/strong> This is exactly why we are where we are. Because of the set system and the distorted mindset of all of us. You don't need a Nobel Prize in economics for that. <\/p>\n\n\n\n I don't want to bring up any conspiracy theories now. I am not into that. But as long as, we Slovaks, we use debt on consumer goods<\/strong>that lose value immediately after purchase and never put any euro in our pockets, it will turn out very badly.<\/p>\n\n\n\n If we live this way, we try to pay our debts with overtime at work, or by working one job in the first half of the day and another job in the second half of the day. Eventually, we will wear ourselves out, end up in poverty, with the strong conviction that we are just slaves to this ill-conceived system.<\/p>\n\n\n\n Yes, we are. But only as long as we allow it! <\/p>\n\n\n\n Debt to disaster! <\/h2>\n\n\n\n
Debt to Wealth ... <\/h2>\n\n\n\n