Topic: My business method how i make money i borrow and lend money (Read 331 times)

In fact, borrowing money to invest is not so bad or we should avoid it completely if we have a stable job and income. We can pay those loans with our income and regardless of the investment results, borrowing money is absolutely possible. But in case we have no job, no income and we borrow money to invest with the aim of getting rich quickly. So this is definitely a bad idea no matter what asset we use borrowed money to invest in. Especially if it is cryptocurrency, a volatile market and nothing is certain.

It saddens my heart how you feel you are doing the right thing by taking loans to invest in Bitcoin when you dont have a business or have good and profiting work. Taking loans is a terrible idea no matter how good it may look in the first result. You were lucky you had some profit after your first investment and if you dont want to into problem its best you just to take my advice and send back the $3000 you borrowed. Use the profit you have made so far to start a business that will give you more money to grow your portfolio.

I have heard bad stories of how taking a loan for investment turned out. Not just online but from people around me. I believe you dont want to be in that situation at all.

Taking out a loan is not a good way for anything except to develop an existing business so that it has a large percentage to be able to pay it off, but personally I try to minimize it as much as possible.
Every loan certainly has a time limit that must be paid off, and isn't that a burden in itself unless the loan is made for something positive that has a large percentage to be able to get it back or get profit in the near future such as to develop an existing business.

Anyone who takes out a loan from any party must of course pay off the loan according to the payment date they have promised when taking out the loan because the lender certainly provides certain requirements that must be met before being given a loan because if they do not meet the specified requirements, of course the loan they apply for will not be given and for those who want to take out a loan, of course they must be able to use the loan on something that they can make money from in order to pay it off, because if someone takes out a loan just for their lifestyle, of course they will have difficulty paying it off, it is important for anyone who wants to take out a loan, they must have the goal of making a profit from the funds they borrow because if not, of course it will add to their own problems because they cannot pay it off.

but you are encouraged to borrow money and invest in cryptocurrency? then it could be very wrong step because cryptocurrency market is high volatile so no one should lending money from bank and invest in crypto, if you borrow money for your business that is good, but you can lost everything in crypto investment.

This strategy will work, if the Crypto prices goes up and you are able to pay the 10% interest on the loan, but what happens when the Crypto price drop? Well, I have seen many people doing this and FAIL miserably, because the Crypto price dropped significantly and they had to pay off this debt, from their own money.

A lot of them had to sell at a loss to enable them to pay the monthly interest that had to be paid and that ruined them financially. The people that has been in this scene for a long time, will always tell you NEVER to buy Crypto with debt. The people telling other people to do this are probably scammers and someone with a hidden agenda. (price pumpers) 

Well, people with no jobs and a lot of time in hand, are usually good at stupid things! You are trying to play Banking with yourself. Go ahead and get a job so that it gives you some recurring money in hand which will do some justice to the time you have and also will give you some more money to invest in crypto if you want an early retirement with a shitload of money in your bank account or in your crypto wallet.

There's one obvious issue that you don't see. The source if your own personal banking system stays constant. In today's world you will have to look for additional sources of income so that your capital increases. This will give your banking system more power to lend money and to have some cover funds in case anything goes bad. The time you are wasting with this, probably best to engage elsewhere to find that additional income source.   

Your decision to lend to yourself and invest in cryptocurrencies, this being relatively new; there are a couple of things you should consider finding the proper approach. Though lending to yourself and paying interest to yourself can help keep finances under control, good bookkeeping skills are crucial for the plan to pay off. Generally, one must take extreme caution when investing in borrowed money into volatile assets such as cryptocurrencies. Therefore, investing in a risk management strategy is key. Buy the cryptocurrency to secure the loan, because that just makes sense; one needs to be sure that the value of the loan is still worth enough to cover the cost of the loan. Also, it will make a lot of sense to collect disability coverage after saving your money in case it does not reduce your overall interest cost. It will be very prudent to set up a payment schedule in order to handle debt payments whenever the investments do not turn out as expected. Finally, though your strategy may reflect creative financing, risk management, and record keeping are the sure ways to a successful strategy.


Awesome to see your eagerness with the new business model and confidence in your technology. The whole idea of taking out a loan to oneself and paying back with interest does sound interesting; yet, it conjures up some interesting questions. Any such approach would require clear, tangible evidence and accountability to show that, yes, you are following the reimbursement plan. Those who lend out on their own can frequently fall behind the discipline required to return the loan, as they often feel foreclosed on the property. Involvement of a third party or the creation of key documentation will ensure that you can follow through on your commitments. This new graph can greatly improve your planning and increase your success rate.

Wow kudos to your business strategy or method,and you're proud of yourself real Good huh..
I just want to get this straight and with your statement you said you borrow money to yourself and pay the percentage back to yourself,how possible is that.

Situations like this need prove so one can see and be proud of what you did,I like what you're trying to do to think big  and aim at something worth sacrificing for but I most cases people that borrow money to themselves for some certain reason ends up not to paying back cause they feel they are still the owner of the money,in this context it's either you have a third party or you have tangible proof of keeping to your words,that way the business will skyrocket.

One thing that must be done when someone has a loan in the form of debt is to keep paying it back without any reason, as well as other parties such as the country and companies. So everyone who wants to take the loan must be clear about what it is for so that they do not fail when they have to pay it back again in the future and the OP must also realize that because living in a condition filled with loans will not be enjoyable enough because there is pressure that must be continuously endured by the person until they have paid the loan in full.

I must say that, like some others, I don't understand how you're borrowing from yourself in that situation. A loan with a fixed interest rate sounds like something taken in a bank, so not from oneself. Basically you're taking a $3k loan, investing it all in crypto, and then expecting that if things don't work out you'll sell a part of crypto or give it back to the bank? That plan relies on the crypto investment growing in 3 months. But there can easily be a bear market.
So what if the $3k you borrowed and invested into cryptos becomes $1.5k in 3 months if you sell those cryptos (because the prices fall)?

the question is how can you borrow that much money easily? because as far as I know in the bank you can't borrow money as you please, there must be a guarantee that you give to the bank to approve your loan. and moreover I don't understand anything you say, especially in the line "So i borrow from myself and pay to myself" what is that, at least you should be clearer in your writing so that it doesn't confuse other people.

I am still trying to understand what you’re trying to get at that made your post to be long enough and not just go straight to the point. What I only understand in your statement is that you’ll take loan for yourself and pay back some percentage to yourself. How does this makes sense or am I the one missing something and don’t really comprehend the message you’re trying to pass. This your method is not making sense to me and anyone that wants to employ this method will only be risking anything they decide to put into this. If it was that great, you won’t have been here and chasing after something which is still unclear as your motive.

It may teach him how to handle and earn some money that I can agree with his method. But investing in crypto alone is very risky, which I do not totally agree with. So if in case he will indeed borrow from other people and not himself, the likelihood of losing is quite high and now he needs to take care of some type of collateral to pay his loan. While his idea is good but if he starts applying outside of his realm, then, the risk of losing will always be there.

It’s an interesting concept, but there are a few things to consider. Borrowing money from yourself and paying it back may seem like a good strategy, but it doesn’t seem to add much value to your investment since it’s just sitting there. Another thing to note is that relying on crypto investments to back your loans can be very risky, given the volatility of the crypto market.

And if those investments end up failing, there’s a greater risk of losing your initial investment. Even if you plan to sell your crypto to cover your losses, the volatile crypto market can make this a challenge.

And while it’s good to learn from the success of others, it’s also important to consider a more realistic and stable approach to personal finance. It might be wise to diversify your investments and consider more mature financial planning.

Actually, your point is that the OP is saying something that is more related to how he maintains his finances and also his financial discipline, but if we go back to the subject of the post, he is talking about a business method, and the first question that I will like to ask the OP is: How on earth will you give yourself loans and still pay them back to yourself with interest? I want to know how it sounds to you, and the OP even goes as far as tagging that as a business in the subject. 
 
Although the best way to achieve financial freedom in this life is to have good financial discipline and plan for the future in the sense that it will be very hard for you to quit because you have many other financial issues that are bothering you, all I will say is that let's focus more on our financial discipline. 

This theory of yours has every susceptibility to fail and put you in so much indebtedness eventually. Using an entire country government to compare yourself as a way to create wealth for yourself following their borrowing strategy sounds attainable on paper as you have explained in your op but practically it's unattainable. A country has its resources and means of generating internal revenues to cover for certain financial loophole's when their borrowing goes wrong. The y could even declare selling their shares and the public will hastily buy.

What resources and other reliable means do you have to service your strategy and keep it going when you make losses which is inevitable for losses to set in on any business?

What you are trying to explain here doesn't make sense to me at all, and I don't think it's something that is quite profitable in any way. Let me pretend that I understand a bit of what you are saying, so assuming I have like $3k saved up in my account and I have some expenses that arise, I will need to borrow the $3k from my savings account with a self-agreement that I will replace that money with a 10% interest rate, isn't it?

The reason why it doesn't make sense is because you will still have to work softly or hard before you can earn back that $3k and the $10%. Let's assume you don't do any work or jobs, is it possible that you can replace that money? The answer is no! 

But what if you lend that money to someone else? You will earn a passive income from that capital because you don't have to work, but someone else (the borrower) has to work to earn the $3k before he can repay you the capital and the accumulated interest. 

In conclusion, your money that you  borrow to yourself doesn't count; it's still the same thing as spending your money and working hard to earn it back. If, for example, you didn't borrow the $3k from yourself and you add an extra $3k + 10% to it, that will be $6,300,  but assuming you spent the $3k, you will still work so hard to earn it back. Imagine you keep doing that every month. By the end of the month, you will realize that you still have that same amount to yourself; it's just like going in a circle.

I just hope you understand what I am saying here. 

I kinda think your logic is not totally sound here and your math is flawed.  When you borrow money from yourself, you are not making more money appear from nowhere - youre just moving what you already got around differently.  If that crypto investment you put your money into tanks, you still gotta pay back the loan you took out plus those lovely interest charges. But from where?

Way I see it, you are basically rolling the dice with cash youve got, hoping itll turn into more cash.  And truth is, it probably wont.  So chances are you alk away from this little experiment of yours down money with nada extra to show for it.  Doesnt seem too smart if you ask me.

When you do what other successful people are doing to achieve their success in a particular investment, but before they ask you to do anything, try to carry out your research to know if they are telling you the right thing, because not every successful people that will allow other people to be successful like them.

Even though the price of the crypto is low in the market, you will sell right? I don't think you will make a good profits that will reach you to boost your investment, because bull season is the best season to sell your crypto to solve whatever you want to solve to make progress in your investment. Since you are collecting the money from yourself, you can't call it a loan than to call it capital, and if anything happen to the capital, it will make your plan to fail which is the reason why some people don't invest their capital without knowing the basic of the investment before involving their capital.

This is a type of conditioning to self so you can stay disciplined with money that you have. It can work if you can stay disciplined, but it will not be easy considering how often that there are many unplanned expenses that can come up, and there could be a change in economic situation like Inflation causing expenses to increase. If you are someone who is single without any responsibility, keeping money through any model, and staying disciplined can be easier than when you are married, with a partner or with kids.

How many of those acocutn are you going to keep making to post the same ridiculous ideas?


The moment your "investment" goes bad you lose everything, you lose your collateral and you lose more than you took as your collateral will be liquidated and the interest rate taken from it, so at that moment you have no capital left, you have no collateral to take another loan and you simply lost money, if you try it again you will lose more.

You think you have invented a money printing machine but it's not even close to that, if it were real everyone would be doing and more than that would be doing it and stop making this topic once you managed to find this gold mine of an idea.


Nothin this user and his army of alts has ever made sense, if he's ideas would be realistic he would have stopped visiting the forum for pennies and lived already in some villa in the Bahamas, but all he does is make these accounts and grow them to finally propose some outrageous scheme to newbies.


Seriously?

That’s a model that can actually work, although it’s one that requires of you a lot of discipline as, your in business with yourself, which makes you subject to compromise. You tend to fine a reason for every lapses in payment like you’ve stated, you get to compliment for missed maturity dates and pay with profit from a later date.
That could easily lead to neglect of the whole process but, if your able to follow it up with a business mindset designed to increase you, it could work just fine.

Before you start making busful with you yourself on how you make your acclaimed profits, let me tell you what you may not know about you current financial state, which is indebtedness to bank and not to yourself, because if we check very well you still roll back to the bank to do more borrowing at each point in time, and for that even if you make some form of pay back from the m you percentage profits and thinking you making profits at all its a lie on the long term base.

So on the long run, you will always be indebted unless you are able to pay off in 100% and stop taking loans to investe in cryptocurrency, is not a good idea.

I beg your pardon let me understand something, you are borrowing money from yourself to payback to yourself with interest? It is a business strategy that doesn't make any sense to me and looks like a very stressful and complex one. Rather than going through all this stress why not invest all of these money into bitcoin and at a particular set or price target, you take profit which is the initial money you invested rather than saying you are loaning yourself money to pay back the loan with the interest.

Crypto involves volatility so no one can guarantee that investing here will make you a billionaire or millionaire or super rich. Those who invest in cryptocurrencies should do so at their own risk as the coin's price can rise and fall at any time. Moreover, borrowing money for investment may be unwise because if you borrow money from someone and invest,Then if the value of your invested coins goes down, you may not be able to repay the creditor. So invest according to your ability even invest as much as you can afford to lose.

Lending money is good if you have good knowledge of market. Cryptocurrency is good digital currency and that is future of the World because in future mostly people will by mess by paying cryptocurrency. You should invest in cryptocurrency and you should track the record because it is necessary if you you want to be future billionaire. Cryptocurrency is also currency by which mostly billionaire are made and there is risky also ,no doubt. But reward is also multiple times and I think no Investment will give returns like cryptocurrency if you researched on the project and you have knowledge about company and CEO of project.

I don't know much about your theory in using this method of borrowing yourself money and making it back to refund and taking the percentage profit from it, but all i know for now is that we can make use of the investment portfolio in cryptocurrencies to achieve whatever thing we wanted to get with our finances on investment asset, though we may not have to compare ourself with the US in some case because they are more of being independent and versatile as well in their reproductivity, they don't make use of a single entity for their reliable sustenance, instead they diversify and seize opportunities where others least expect.

10% interest loan from a bank for 3 months sounds like too good to be true. I don’t know but the last time I check with cash loan on bank was it has 10% or higher interest rate fixed per month which you need to pay on the term duration.

Sounds hassle for me to  ask loan to the bank and pay 10% if you have enough money from your crypto to cover since you have collateral when you lose trades. It’s better to find a decent job that will give you consistent capital instead of loaning to a bank with fixed interest rates.

With the note that you are able to obey the rules that you make yourself, but it feels like the calculation will be complicated if you lend money to yourself and manage it yourself and so on without end. So actually, instead of complicating the management, why not try the method as it should be by borrowing from outside parties. Because that way the demands and schedules and management of loans will be much healthier and fairer. You have to prove that it is effective for everyone. What I mean is that it is very unethical to implement a borrowing and lending system in your own way but when it is due you can avoid the demands that you made yourself.

The first loan you're talking about is from a bank/ finance entity or just from yourself?

Either way, I don't think any bank will charge 10% interest rate per month.

Now I'm trying to understand what you said, you took a loan for $3000 and bought $3K worth of crypto assets and you have another 3K worth of cryptos as backup in case if you fail to make profits.

And your goal is now to make 10% profits from your investment to cover just the interest which is even not realistic though by trading or do you have any particular investment scheme in your mind to make that 30%?

AFAIK, passive crypto investments provide 5-8% returns per year which leaves now that trading is the only option.

I think that you are mistaking making profit and taking loan, they are different things, profit is the reward for your business, income is the reward for your work but loan is an external money that you add to your capital. So what you are calling giving yourself a loan is actually investing in cryptocurrency from your capital, if you gain it adds to your capital as returns on investment, if you don't gain it becomes a lose from your capital. I don't think that it is correct to say that you gave yourself a loan because it is your own money. You cannot give yourself what you already have. If the money is a joint holding with another party or group then you can borrow it because it doesn't belong to you alone. Individuals, associations, institutions and governments can decide to collect loans and when they do it becomes a liability on them to repay the money, if they can not repay it as at when due, either their collateral for the loan is taken by the giver or more interests can be added on the loan capital, depending on the loan agreement.

My results are good.
It's clear that If you want to be successful you watch what other successful ones do it.
USA is wealthy and successful country and strong with goverment.
If i want to be like USA , well i do same i borrow money to myself and pay the % back to myself.
Right now i borrowed money for 3000$ for 3 months with 10% rate. So maturity day i'll pay 3000$+10% back to me.
Off course i invest that money in crypto.
Even If i lose money ...well then i have collateral the cryptocurrenciey what i did bought with my 3k $ so the loan is also backed for myself from myself.
So i borrow from myself and pay to myself from every funds i take some  % for handling fee aswell once i get back my 3300$ then i'll take 100$ from this as my handling fee that's just money for my pocket little reward for myself ...so with the rest of the 3200$ i'll give myself new loan
In case my Investment goes bad then i have to sell some Crypto to cover borrowed funds ....If that's not an option i'll just make agreement to pay off the missing money later from the next gains or i'll make payment plan like from each maturity date of my loan i'll pay some % to cover my old loan.