Скачать или смотреть Secret of wealth creation

💥 Do you know how rich people use banks money to create their own wealth ?

➡️ Home loan work on reducing balance, means as soon as you pay an EMI which has principal and interest component, your principal reduces and in the subsequent EMIs, you pay interest only on the reduced balance and not on entire loan amount.

➡️ Your investments works on compounding interest, means whatever interest you earn in a month, is added to your principal for the next month. Hence you see a higher maturity amount due to the power of compounding.

✅️ Calculations-

1️⃣ Home loan :

Principal amount : 1 cr
Interest : 9%
Term : 20 yrs
Interest given to bank : 1.15 cr

Total home cost : 1 cr + 1.15 cr = 2.15 cr

2️⃣ Investing :

Lumpsum investment : 1 cr
Interest : 9%
Term : 20 yrs
Interest earned : 4.6 cr

Total maturity amount : 1 cr + 4.6 cr = 5.6 cr

💥 Total benefit : 5.6 cr - 2.15 cr = 3.45 cr

🚀 This is how rich people use banks money to create their own wealth.

[Rich, wealth, home loan, money, investment, investing, richer]