Quote from: Raflesia on February 21, 2024, 09:01:38 PM

It happens when we immediately make a new application in a loan when we have paid off the previous loan but if the loan is made in a certain interval (stop first) after the previous debt is paid off then it will still be a little difficult for a new application even if we already have a fairly good track record in a loan.
It happens where I live now but I don't know if it happens in other regions, countries or not because in the end policies like this seem to depend on where we live.

I once accompanied one of my family members to pay off a debt to a bank and the bank that applied for the loan said that it would be a little inconvenient if they did not re-borrow after the current debt was settled because the process could take longer. That might just be a trap to keep us in debt but in the end it happened because after my family stopped borrowing for a certain period of time and re-borrowed again to the bank, the process was a little longer than before.

local bank branches dont hand you borrowed money.. loans create money out of no where.. the reason they want you to re-borrow. is because the cashier at the local bank branch makes commission for certain things..
EG they get more/EXTRA christmas bonus/commission if they can turn a settler into a borrower..
the day you visit them to settle. the human you pay the check to to settle doesnt get a commission for your settlement. they get commssion on selling you more debt. so he wants you to take out a loan with him instead of his colleague next month..
its like car dealerships. the salesguy you stand with wants the sale, he doesnt want you walking off and coming back next week to speak with a colleague of his and that colleague gets the deal

..

anyways,,
the secret to get out of the loan trap
a. stop taking out loans

b. how? well that is simple.
if one bad month you take a loan, but the next good month able to pay it off.. do the opposite.
on a good month.. pretend its a bad month. and put the money you would have paid back a loan into a second bank account. and hold it.
then when a real bad month happens.. you than treat your second account of your own money as the loan to yourself. where you use it for the emergency, but then repay yourself instead of taking out a loan