A lot wealthy people not smart they just use debt

[Wakate]

That is the behavior of a certain group does not represent the whole of what is going on in the financial system, so the further question is where are the people who are debt-free and still rich?

But in this situation, I feel that the behavior of reinvesting in debt and still succeeding is like the way a balloon is filled. Things will explode until they can't balance their operations, but nonetheless, everything they reflect gives some perspective on the potential for major risks that haven't happened yet.

Maybe if you could do a survey, you will find those rich people that are still free of debts. With that said, their numbers can only be small because I also notice that many rich people do always have a debt. Sometimes poor people are better than them in terms of it because poor people are already poor and don't want to increase their headaches anymore by having a debt.

The only good thing about rich people who have a debt is they have businesses, investments and others... This is where they use the money that they borrow. I think most rich people who does this are smart and strategic, so they also know how or when to stop once they think things are not running well anymore.

You are absolutely right. I also saw many people , who did not use debt but they are rich man's of our society. They are multiplying their money by investment in their business, property and commodities. They have mindset of rich people and they can tackle any kind of situation, they are doing the investment consistently. In comparison, if poor mindset people will have a more money, he will buy luxury car and luxury apartment and he will not investment on his financial education. That is basic difference between rich and poor people. Poor people always maintain their schedule and they work for their employer but rich person work for theirselves and poor people work for rich person.

You need to understand that sometimes the truth can be far away from the lies we have been seeing in a TV. Many of the rich investors we have been seeing are all in debts. This is how the world revolves and we just have to admit it. How would they see such funds in growing another business. Sometimes they don't have any option that to go to bank and get loan to continue their businesses. People get right fast and create a big businesses that is worth billions because of the loan they took that have been helping them to grow faster without anyone knowing what's happening or where they see the money for improving their business regardless of the hardship and shaky economy.

[DaNNy001]

Wealthy people love debt. Unlike the poor people who just want to get out of debt as fast as possible, the wealthy are looking for more ways to increase their debt. In school I was taught that there are two types of debt the good debt and the bad debts.

Wealthy people are in the good type debt. Good debt is money borrowed to invest in a business like real estate , restaurants, or property whose value will bring in more money than the debt. However bad debt is there borrowed to buy liabilities. This is where the wealthy are smart. Their debts are the good kind of debt that increases their wealth despite being in debts.

As my economics professor would say, Using someone else's money (debt) to increase your own wealth is a skill the wealthy have mastered.

I find your contribution to this topic to be very brilliant, most people don't know that the rich people in society are the ones indebted the most more than poor people..But there is a difference between when a rich person and a poor person is in debt, Someone that's rich has things going on like a business or investment and all that person needs is just a little time to clear it up , it's always easy for those that are wealthy to pay up what they owe but a poor man that's in debt might find it very challenging because he doesn't have a source of income
My opinion on this is, Only the rich has the capacity to have a lot of debts and settle them comfortably

[Webetcoins]

Some wealthy people are smart but some are not smart, because when some of them borrow money and invest it in a business after making a lot of profit for them to pay back their debt, they will not rather they will keep carrying loans again and again, because they are afraid that if they pay the debt their profit will deduct.

and what will happen when the people decided to collect their money with force, the business will eventually collapse.

That's not how it works, you definitely lack knowledge in this area and it's evident from what you said. Rich businessmen believe that it's important to always have business debt or loans because that motivates them to keep building and upscaling their businesses to generate more revenue and be able to repay the loans, but when they repay those loans, they take more to build more and have more revenue, and this continues.

They don't overdo their loans so that they are forced to repay the money or their businesses collapse, they repay the loans that have reached the deadlines, and take new loans, and then grow their business again.

If you say that these people aren't smart, you are wrong, because being able to manage loans in an effective way is a smart thing to do and not everyone can do that.

[MissNonFall9]

We will see that almost everyone who is involved in business in the world is engaged in more or less debt because the most important thing for business growth is capital. So those who want to achieve the desired success in their life but are not able to provide sufficient capital for that success with their own money must involve themselves in loans. However there is definitely a need for adequate research and analysis. Otherwise there will never be a touch of success. But you are right that no one should get involved in debt unless necessary. But their business will be a single business or retail business in that case it will not be possible for them to do large business.

Taking a loan to develop a business, of course, it will be very good, but they must first prepare themselves so that the loan they take can be used appropriately and can also pay off their debts because without having good preparation, of course they will have problems when deciding to take a loan and for some people who do not want to take a loan to develop their business, of course, the business they have It is not feasible for them to develop, so it would be better for them not to take loans because they are not yet able to face competition and if they want to develop their business, of course they have to work even harder so that they can develop as time goes by.

People who do not want to take loans in business development may not actually take the right steps or are afraid of taking loans but fear is a hindrance to any success. Either they have to use their capital to scale up the business or resort to debt. However before taking a loan he should have a broad understanding of all his business activities so that he does not face any threat in using the loan money. Because losing money is not a desirable event for anyone therefore one should always carry out the business activities consciously with great dedication.

[erep]

People who do not want to take loans in business development may not actually take the right steps or are afraid of taking loans but fear is a hindrance to any success. Either they have to use their capital to scale up the business or resort to debt. However before taking a loan he should have a broad understanding of all his business activities so that he does not face any threat in using the loan money. Because losing money is not a desirable event for anyone therefore one should always carry out the business activities consciously with great dedication.

Every businessman often takes out loans from banks for business capital and they generally already have asset reserves that can pay off debts if the business they have run does not reach the target, so my assumption is that loans do not always have a positive impact on business unless you have been involved in business before and You have a plan and strategy to develop your business.

I have discussed this with business people, they avoid using capital from selling assets and choose to take out loans from banks, but they have experience running their businesses so they can pay off debts in 3-5 years.