Thursday, June 5, 2008


Interest...MAKE IT WORK FOR YOU!!!

This right here has caused more people to go bankrupt and many other to become filthy rich.

Let's say you max out your $1000 credit card, then just pay initial minimum payment of about $25 dollars at 18%(nominal, I'll talk about this later). If you continue just paying the initial minimum of $25 it will take you 62 MONTHS to pay it off!!!

You would owe the credit card company for over 5 years.

But in turn if you start saving that $25 a month, at 6% interest compounded monthly, at the age of 25 and continue until you want to retire at 65 you would have around $49,800 in the bank from that!!!

So like those people helping Ethiopian kids, if you will give less than one dollar a day (but to yourself) you will have about 50 grand in the bank after 40 years.

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