Robert Kiyosaki, a best-selling author and seasoned investor, has a distinct philosophy on debt and investment. In a Nov. 30 Instagram reel, Kiyosaki elaborated on his debt philosophy, highlighting a critical distinction between assets and liabilities. He said many people use debt to buy liabilities, while he uses debt to purchase assets. To illustrate his approach, Kiyosaki said his luxury vehicles, like a Ferrari and a Rolls Royce, are fully paid off, categorizing them as liabilities rather th
So, ah, that’s not how that works.
If he “goes bust” and can’t make repayments the bank will take his cars and silver and gold.
This guy is a great author, and those four words “rich dad, poor dad” are masterfully crafted. The book basically says borrow money to buy houses not boats. It’s not revolutionary, it’s just packaged in a way which is appealing to… poor dads.
No bank in the world is going to hand anybody millions (never mind over a billion) without some reasonable assurance it can be paid back one way or another.
If he was in real estate, they’re taking his property.
IIRC, the advice was basically a recipe for overleveraging yourself in debt trying to make money with “throw everything and see what sticks” (and then blaming them for not being “savy” enough when it becomes apparent they can’t manage the debt.)
Which is what happened to a friend of mine that kept bouncing from one self help book to the next (he was a big fan of what’s-his-but-zero-debt-guy until his church group read it.)
“It really resonated with what you said… I have a responsibility to my kids!”
“Uhm, I was talking about not having a third when you already need help with two.”
“No no. I get it now…” (and now we’re not friends because he asks for advice, doesn’t listen to it and blames you for when it doesn’t work. It also wasn’t about finances per se.)
You say that, but Deutsche Bank and others have been very happy to loan Trump money over the years and they must know he won’t pay it back.
… but Deutsche Bank and others have been very happy to launder payments from Russian mobsters via unpaid loans …
FTFY
Some of those loans are predicated on extremely inflated business dealings. For example, in the NY fraud trial, the collateral was Trump’s properties. Some of those loans, as already mentioned, were also straight up bribes.
also its extremely unlikely this guy is going to be somebody that people want to bribe. Remember, mortgages count against networth, so this guy isn’t that rich.
They likely make him pledge something as collateral. I doubt they’re just giving him unsecured loans just for fun
He was committing fraud. That’s why Deutsche Bank no longer does business with the Trump organization.
No that’s because the fraud got discovered. Else they would still do business with Trump. They were likely giving Trump Russian money as “loans”.
Tell me you have no idea what’s actually going on without saying you have no idea what’s actually going on…
Please do educate me.
RestrictedAccount already did, kiddo.
Kiddo? What an asinine way to reply to someone.
It was basically instructions on how to become a grifter, with very little actionable advice. Here is a podcast the breaks down books like this.
https://pod.link/1651876897/episode/1a9316ba1134a0c2484e8fc6e416b978
To be fair, a lot- probably most- of the self-help book authors are at least toeing the line of grifter. and a fairly large number straight up are.
Thank you, I always assumed it was more capitalism pearl clutching and to know it’s another ‘get a mortgage’ flip answered all my questions.
Yeah it’s the common sense stuff we all know to be true. “Save and invest your money! Compound interest magic! Investments increase in value!”
IIRC he makes a case for ripping off his employees. Justification is that if he have them more money they would just waste it, but he will invest it.
Is that before or after the insider trading?
If you knew how many people in America didn’t have bank accounts I’m pretty sure you’d shit yourself, lol
Hmm, maybe… but I’m certain that everyone commenting in this thread does have a back account.
Aspirational propaganda. You’re only poor because you’re not as smart as me and I’ve found all of the secrets to being rich! Why isn’t everyone rich, this is crazy to me.