Quote from: MarjorieZimmermanGinger on Today at 07:43:03 AM

Quote from: JayJuanGee on December 31, 2022, 08:50:38 PM

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Everyone does not have to understand and agree with some of the assumptions that people want to convey, but the fact is that borrowing money at a bank is an outdated method and there are no greater benefits. If after borrowing you cannot calculate the principal amount of the loan, the monthly fee and the overall impact of the loan.

There is a side of complexity that is understood by many people in the money lending system at the bank, can this case be said to be true?
I mean the bank system applies several principles after providing loans to customers, starting from the sanctions and risks that must be accepted when the agreement has been implemented. This principle includes several risks that will occur, if the customer cannot pay off the monthly fee, the bank will take certain actions.

I don't think that banks are offering outdated methods for loans, but they might be offering loan terms that are NOT attractive.. so you have to decide if you believe that it is to your advantage to enter into such loan or not. If the terms of the loans are fixed, then that is much easier to figure out rather than some real estate loans that are offered these days in which the rate is adjustable. Personally, I would NOT enter into any loan that is adjustable.

Quote from: Sayeds56 on Today at 01:18:57 PM

Quote from: JayJuanGee on December 31, 2022, 08:50:38 PM

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You have beautifully drawn a fine line between investment and gambling which is generally difficult to distinguish and people often confuse gambling with investment. The main difference is the risk involved. Investment is done with long term goals like we buy Bitcoin and continue accumulating it during the bear run and this kind of investment is less risky because it is consensus among all analysts, & history has vindicated it again and again, that it always pays off huge rewards to those who believe in its potential to outsmart all other class of assets.

Even if you "invest" rather than "gamble," that does not guarantee that you are going to make profits, even if you have a long timeline of 4-10 years or more.

Of course, if we are investing into any asset for 4-10 years or longer, we want to attempt to calculate in order to come to a prediction that we believe that there are decent odds that our investment will have better chances of increasing in value as compared if we had not invested into it or as compared to if we had invested into some other asset class. We do not know with confidence, so in that regard we are making a prediction based on information that we know at the time that we get started, and we are also not necessarily locked in for 4-10 years or more, even if our initial plan we decide to "self-lock" ourselves into the investment, yet since we are in charge of ourselves, we can decide to change our minds along the way, too.

A lot of people make mistakes of getting in and out and into their investments, which frequently contribute to their NOT being able to benefit as much towards is they were to maintain a longer term investment and to continue to build onto it without getting out and then back in or without being tempted by borrowing against their investment in order to consume. And, of course, those choices regarding how much to draw into your investment during periods in which is supposed to be growing can make differences towards the growth trajectory of the investment.

Over the years, I have made those kinds of mistakes of drawing into my investment, and frequently it can be difficult to make up for the amount that was drawn out and/or even the growth that the investment would have had while the withdrawn amount was absent from the investment funds.