Rich Dad Poor Dad became best seller only because he aligned himself with MLMs in the US. And most MLMs made it required reading for their members.
Singapore is living on debt
- Thread starter UncleFai
- Start date
They r so many suckers in newspapers ads to teach u how to get rich....one s3lf made a million dollar and then decided to just to come Singaoore to make you another millionaire, she work not because she wanted but because she can.....
main stream media just declared that banks are strong ... so people can borrow more
oh that book! when it was out, everyone is talking abt it, as if if u don't read, u r condemned.. and now those friends of mine who read it, they are still on debts for their pigeon holes..
main stream media just declared that banks are strong ... so people can borrow more
The Bank is strong ... but is your ability of repayment just as strong ?? :nono:
Never even heard of this book before... I must be beyond condemned.... :sweat:
if borrowers repayment not strong ... then banks also not so strong right?
True only if 50%-60% of borrower unable to repay loan.... BUT, lets just say 99% of borrower has no problem repaying.... but you are in the 1% that have problem due to over extension/spending... The Bank is not in trouble... but you are in deep 'sheep'.
Therefore... worry not is the bank having lots of bad debt... worry more if you are over extended on your loan. :think:
If you can't pay the loan the bank will just repo your condo or House and sell it for much more profit then the interest it is going to generate. If its a HDB flat then the HDB will do the same to you and offer you a rental flat if you are qualify or lucky.
Except for car, which is a depreciation asset.
Bank will loss money even they take you car away and try to resell it. Holding it is not an option as well.
Based on new car loan restrictions, banks are protected, the entire risk is shoved to buyer.
My estimate is loan amount < unused COE value + refundable ARF/PARF/BARF/... , which is all guaranteed refund by govt if car is scrapped. Banks get their money back, buyer gets crap.
actually, I thought almost everyone made money from property since it was going up the past few years....
yeah.. but that doesn't matter as long they're making money as the cat said earlier
they have positive cash flow.. plus the asset inflation, driven by property bubble
now its just a matter of soft landing (cooling measures).. or bubble burst
if only you can't pay the loan, then bank can sell your house for profit. but if a lot can't pay, that means the economics is bad, bank can't get a good price for those houses they repo. banks will be in deep sheet, too.
I'm explaining that that's why there is too much debt. You make money, but the money loaned from the bank is a debt to them.
just be careful.
China Mainland is going to try avoiding hard landing. Too much credit, too loose procedures, hot $ seeking hot asset in Mainland, many expensive apts empty even though they are sold off to investors already. Shanghai had a huge shock just a few weeks back and the monetary authorities had to come out to calm things down.
If Sg is living on debt, Mainland China is in danger of dying in it.
China Mainland is going to try avoiding hard landing. Too much credit, too loose procedures, hot $ seeking hot asset in Mainland, many expensive apts empty even though they are sold off to investors already. Shanghai had a huge shock just a few weeks back and the monetary authorities had to come out to calm things down.
If Sg is living on debt, Mainland China is in danger of dying in it.
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