Early Retirement

When we talk about rental property investment, where you live is important. You have to live in a growing city with lot of job opportunity. A rule of thumb is when you plan for your future, you should invest at least 50% of your monthly income. Many years ago when VA and FHA loan were still available, you can put down $2000 to assume a non-qualified VA or FHA loan. If you had $20,000, you can get yourself 10 houses and rent it out. Today that opportunity is no longer available. The bank load may be harder to obtain.
 
Hi All,

I'll be 60 in 2013 and have plans to retire about 10 years after I die (and I hope that won't be for a long long long time).

Can't imagine why I'd want to retire anyway - I only do things that I enjoy - that's what I've done for over 30 years...

If you are NOT doing things you love then make your 2013 resolution to find out what they are and start doing them..
 
Yes my savings have a tax advantage. I started saving at an early age. I could wipe out my entire consumer debt with my savings and still have enough left over to buy a retirement car. One thing I learned from 911 is not to listen to financial advisers. I prefer to manage my own money that way I can only blame myself if something goes wrong.
 
Can you make enough return from your saving than whatever that your credit card company may charge your interest?

I just borrow $15,000 from my credit card company with 0% interest for the whole year with only 1% transfer fee. Since I always pay it back before the end of the year, By paying only $100 transfer fee, I can utilize that money to invest and get higher return.


If you don't have to worry about money, you can concentrate on your MA training.
 
I train every day, I have for years and will for as long as I am able. There is no delineation between myself as a person and a martial artist, and as both having the wearwithall to retire and enjoy that life is important to me.

And it's in the off topic area.
 
A few years back people were doing this well into the 6 figure level earning 10s of thousands a year in interest.
 
What hits the fan? You never touch the money, you take it for 18 months for free, say 500k, then lock it into a 12 month cd- the cd matures and you take the money and pay off the 500k pocketing the profit. You never think of it as income, like you never think of a credit card as credit and pay the full balance every cycle.
 
I still remember that I had borrowed up to $60,000 with 0% interest and no transfer fee. If you use one credit card to pay off another credit card, you can utilize that money year after year for 0% interest.


You are absolute right! If you can't make the payment, that 21% interest can kill you.
 
I'm gutted that it isn't still around, though there are a few gems out there still. I make most of my short term on purchasing a CD on credit card, but it's nothing like 60k for free!
 
As far as I know, the best that you can get today is from the Chase bank for 0% interest and 1% transfer fee. They just raised to 2% transfer fee starting 1/1/2013 (still 0% interest for the whole year).

The way that I look at this is all investment will have risk. The less interest that you have to pay, the less risk that you will take. But just make sure that you can pay that money back at the end of the term. If you miss that deadline, the interest rate will jump big time.

What kind of return can you get from your CD?
 
I have a weird approach to investing, so its not the rate of the return here, but the method of payment. I can buy a 5K 90 day CD with a Creditcard, pays some negligible return between 0-1% in line with market, but because I paid with Credit Card I earn 5000 points.

People did this back in the day too, with the AARP card was offering 5% cashback, this is no longer possible.

So every 90 days they would buy a new CD, earning $250 Cashback, plus the trifling 0.x% actual interest.

4 x 90 day per year = $1000 cashback which means your 5K investment is now worth 6K+some dollars on interest, which is a ROI of 20%...

These days the Creditcards available are only offering 1x so you get a lot less back and its not as lucrative. But investment opportunities like this are interesting to me.
 
Your health will decline with time, your wealth doesn't have to. And your wealth will increase your health when it comes to access to a high quality diet and fitness program coupled with preventative health care.
 
This is very true. When you have less stress, you will have less chance to get heart attack, cancer, and stroke.
 
Please explain this borrowing money with 0% interest for a year and investing it in something like a CD for a year. I get the concept of it (although being approved for such a large amount as a personal loan seems far fetched for somebody my age and in my current situation) but it seems like it may be illegal? If you would, I would appreciate if you could elaborate how you came to start doing this, how you found out about it, and how worth it that it has been.
 
Here is how I found out about it, it isn't as prevalent as today, but still possible. You need to have a certain degree of financial savvy to identify opportunities, regarding creditcards the simple trick (they employ) to protect against this activity is adding on a transfer fee typically 3% whilst offering 0% credit on balance transfers.

It is not illegal, and far less unethical to do this than many of the things the corporations do to trick people into debt.

http://www.fatwallet.com/forums/finance/265432/
 
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