Never Ending Money Woes

Its very common to hear within our Indian community of some dreadful stories on financial problems and how it wrecks the family coupled with the increased crime rate around us. Survival instincts kick in and we try to find the easy way out. Seeking supernatural, spiritual help included.

I have always wondered why.

 

Dont get me wrong. I faced the same problem when I was first starting out in life and years to come after that.

There have been virtually no one to guide us in financial matters - Suffering in silence through out our generations!

 

When you are in debt and being blacklisted, who in the right sense of mind would lend you more money?

Its very simple. They dont take risk - Its clear that you dont have the capacity to pay on time!!

We bury our head hoping the problem will go away. It will not!

 

Either you cut down on spending or have a multiple source of Income (use your soft skills...etc).

Oh yeah, by the way I must add.

Going into a business is easy. The difficult part is adequate knowledge in earning a profit!

 

All is not lost. There is still hope provided that you are willing to change.

The Chinese community are doing well when dealing with money.

It all boils down with some basic knowledge in money management.

 

Even the poor can become 'comfortable' and the 'comfortable' can become Rich.

And mind you, I am not into any kind of business or promoting any services.

Just want to share of what I have learned.

 

The curse of our community is constant money woes.

The irony is, we are working our arse off and paying through our nose to make other people rich.

This is because it comes from the lack of knowledge in the 'secrets' of managing money.

So what do the they know that we dont?

Actually, its not a secret per se.

We just dont take the initiative to learn about it. Its not all about rocket science you know.

 

So, whats the 'secret'? Basically, its all about (in sequence):

 

1. Creating a Budget for everything (I mean everything!!) 

2. Religiously spending less than you earn (throw away those credit cards) 

3. Save some money on a regular basis (no matter how small), pay yourself first policy.

4. Aggressively clearing off your existing debts (this should be your mantra, day in - day out) 

5. Invest to beat inflation, make your money grow (No get-rich-quick-schemes)

6. Spending instead on the money earned (interest/dividend) through investment while maintaining the principle amount.

 

Eventually, you move away from paying interest to earning interest.

 

How do you learn?

You can attend some seminars/workshops published in the local newspapers (though it might be overpriced sometimes)

Go around the book stores and even the internet (FREE). Eg: subscribe to www.thesimpledollar.com

Source for topics on anything related to 'Personal Money Management'.

If you are too lazy to read, then search through YouTube.

In fact, get anything to knock it into your system!!

 

For the time being, seek help / advice (free service) from  http://www.akpk. org.my/Agensi Kaunseling Dan Pengurusan Kredit (AKPK) of Bank Negara

Perhaps the experts in this field would like to share more?

 

Regards,
Jega 

Warm Regard, Sara Pandian