Hear me out I’ll explain..
Credit is Leverage.
Cash is debt and DESIGNED on purpose to lose money each year through inflation.
Using cash and building savings accounts reduces your buying power and transfers money in lil bits and pieces at a time to the most financially literate people that make up our economy without you knowing it.
Today most credit card issuers charge zero fees (unless you’re late on a payment) and will pay you between 1% and 5% on ALL credit purchases which means you get to leverage money for free and get paid a little extra for it.
The only discrepancy is a psychological one for people who use a credit card to spend more than they would if they were using cash and then go on to blame the credit card instead of looking inside themselves for the source of the real problem which is also the location of the real solution to that real problem.
For those of us willing to solve that internal problem then the credit card is your best monetary friend because it’s 100% leverage that is free to use and you get paid a lil extra for using it.
Credit also makes it easier to get ahead AND DE-couple how you spend your time from your income because credit is leverage.
Without leverage you cannot get ahead or DE-couple your time from your income because cash is debt and made by DESIGN on purpose to lose buying power each and every year through inflation and higher taxes.
There is a saying that the Establishment of Big Money does not want you to know, and that is, “SAVERS ARE LOSERS”. Translation = We at the heads of the largest financial institutions of the world don’t want you to know that savers are losers. We want you to buy our lie and illusion we are selling you that saving is good! We want you to use cash and save anything you can so that we can take from you financially illiterate peasants through inflation, fractional reserve, and higher taxes without your knowledge.
In my opinion having a savings account for some cushion is wonderful. I have a savings account I use just for cushion. But having a savings account as a wealth building strategy is completely obedient to the heads of the worlds largest financial institutions who are stealing from you, legally, and don’t want you to know about it.
What about a CD account? CD stands for Certification of DEPRECIATION. You were told it stands for Certificate of Deposit which is a euphemism to get you to put you’re money into them so they can take from you in lil bits and pieces at a time just like your savings account.
What about the interest you earn on savings accounts and CDs? You lose twice on those interest “earnings”. 1.) The interest rate is less than inflation and 2.) you pay ordinary earned income tax on Savings and CDs which is the highest tax a person pays right along with their financially dumb job. You’re double whammied with your savings and CD accounts all the while you were lied to and told it was an asset that you personally would financially benefit from. In reality it keeps your time coupled to your income so you can never get away from it and it makes it easy for highly corrupt people at the top of that racquet to get richer at your expense.
I have a lengthy video that goes into more detail about how to get out of this pyramid scam racquet. If you’d like to see it let me know ill post it in reply to your comment in this thread. Or you can private message me for it I don’t care either way.
Moral of this blog post is knowledge is NOT power. Knowledge is potential. You’ve learned something valuable that you can sit on or do something about. Doing something about it with knowledge is power. Knowledge without action is for educated derelicts. Knowledge alone is not powerful it’s just intellectual masturbation and all the educated derelicts are only intellectually masturbating while the Action Takers are getting Results.
You might also enjoy my blog post entitled, “Credit Cards – Friend or Foe?“.
P.s. If you’d like to work with me I don’t charge any fees I’m not going to sell you something you don’t want or need: http://workwithtom.fireyourboss.xyz
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