Taking loan during high inflation?

[Leviathan.007]

Today I had a meeting with a friend of mine who teaches economics at university.
He believes when the inflation rate rises that's profitable to take a loan even with high interest to buy other assets such as gold, bitcoin, and even real estate. On one side of this theory, we usually suggest people never invest money that they can't afford to lose and don't invest the money that does not belong to them for many reasons. These are golden tips and useful in any market.
But the question is what if you do not own enough money for investing? can you take a loan and invest?
Because if you look deeply into charts of inflation rates in most the countries you can easily understand taking loans even with high interests could be useful and profitable.
Personally, I don't suggest doing this because using other people's money will put me under stress and this can have negative effects on my decisions. What do you think?

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[Charles-Tim]

But the question is what if you do not own enough money for investing? can you take a loan and invest?

Only what is advisable is to borrow money for business. Some people can take the risk and borrow to invest in bitcoin, if they study the market very well, they can be lucky, but, yet, not a good advice.

Because if you look deeply into charts of inflation rates in most the countries you can easily understand taking loans even with high interests could be useful and profitable.

Especially, this would be a good idea in developing and underdeveloped countries where high inflation persists (but fiat is inflationary generally), but not a good idea. It would rather have been better using loan for business.

Personally, I don't suggest doing this because using other people's money will put me under stress and this can have negative effects on my decisions. What do you think?

Yes, not good at all, what if the investment plan go wrongly, that will be a big problem for the person.



Have you heard about die borrow die strategy before. You can read about it.

About the borrow aspect of it, rich people prefer not to sell their asset because of the high tax, because of this, they borrow in which the tax would be reduced if compared to selling of property or asset. Let me use bitcoin being an asset as an example. If I have certain worth of bitcoin, but because if I sell it, much money would be paid to the government in tax if compared to borrowing of fiat, I will rather borrow. First, because fiat is inflationary. Second, because tax that would be paid in borrowing fiat will be reduced if compared to sellimg of bitcoin holding directly. Because of this, if someone borrow, it is not a bad idea at all.

[blockman]

I also don't suggest to do it and that's the actual risk if that's the strategy of other people. I knew wealthy people that have been borrowing money to buy another assets and this is a common style to them and that's making them more wealthy.
But in able for you to do it, you have to make sure that you'll be able to pay the loan + the interest of it and most wealthy people have a lot of sources of income and that's why they're free in doing it. And if you're just an average and minimum wager man, you'll hardly do it.

[BIT-BENDER]

Inflation or no inflation to me taking a loan to buy asset is just another glorified debts. In my very eventful few years of crypto-Currency I have come to understand that it’s very wrong to take a loan to buy any Crypto-currency asset, so inflation aside I believe a loan is a bondage and using it to buy an asset as volatile as crypto-currency is very far foolish, that’s where the start slow and rise steady comes in, Crypto-currency is very much unpredictable and taking loan to enter it can be a bad decision.

[ajochems]

At first,it demands on the capacity of you.If you are going to take a loan from friends,kindly take a loan of 5000$ or above.Because you need to keep the bet on most trusted coin,which is bitcoin and Ethereum.Keep the first bet of 1.5K$ on both bitcoin and Eth.When the pump occur,their will be huge profit.Then keep the remaining 2k dollars for best 8 coin.

[Fatunad]

I also don't suggest to do it and that's the actual risk if that's the strategy of other people. I knew wealthy people that have been borrowing money to buy another assets and this is a common style to them and that's making them more wealthy.
But in able for you to do it, you have to make sure that you'll be able to pay the loan + the interest of it and most wealthy people have a lot of sources of income and that's why they're free in doing it. And if you're just an average and minimum wager man, you'll hardly do it.

But there are people who do have that kind of mindset on which they do really believe in that taking risk is really worth if you are really that having those goals on having a good future but since we know
that not all things we've been engaging through would end up to be on positive then you should have back up plans on the time that things doesnt really come on what you are expecting.
Taking loan is never been recommendable specially if you are having some problems in terms of other source of income but if you do have lots of sources
then it wont really be an issue at all.

[Jating]

It's the question of risk as well, are you willing to take that big risk to make a loan and invest right now in crypto or any other assets assuming that we might be in another recession period?

If people are going to say yes, then go with your instinct and borrow money but make a good plan B and mitigation in case your investment fails and you know where to get money to pay for your loans.

[Rengga Jati]

Today I had a meeting with a friend of mine who teaches economics at university.
He believes when the inflation rate rises that's profitable to take a loan even with high interest to buy other assets such as gold, bitcoin, and even real estate.

If this belief and theory are really realized and true happen, we will be very lucky to have the loans. But it doesn't guarantee that every investment with loans will exactly bring high profits right?
As we know that if we have loans, we should pay for them and their interest monthly or even in some certain period. And what will happen if the reality is not like the expectation? We will be stressful enough because of the loan. That is why if we are not really ready with the loans or we are not able to have good management, it is better not to take loans for investment.
Aways DYOR because everything here is not an investment advise

[Scripture]

Have a loan if there's a guarantee that you can earn money from that investment but if there's no guarantee I believe its too risky but having loan is still possible, just make sure you can pay that loan even if you didn't make profit on that investment. The market is very cheap right now, and I'd better choose to use my savings in the bank to invest it than to having a loan because the interest is really high and of course that is your not money after all and you might fall on a big debt trap.

[kryptocanon]

Taking loans to invest on a high volatility business can never be an option for me and neither will I advice any individual or firm to have it considered. The term "Don't invest more than you can afford to lose" basically means to put in with loose funds and not going to the top aim of taking loans to risk it all.

[milewilda]

Taking loans to invest on a high volatility business can never be an option for me and neither will I advice any individual or firm to have it considered. The term "Don't invest more than you can afford to lose" basically means to put in with loose funds and not going to the top aim of taking loans to risk it all.

Very hard to consider on taking up some loan when you do intent to make investment specially on crypto where everything is really not guaranteed whether you could really make money out of the
investment you made or totally lost it for which it would really be in resulting for you to make more problems since you do need to repay those interest but if you could
able to do so without depending with your crypto investments then its good but if not and you are totally depending on it then you would really be having a very big problem ahead.

[sheenshane]

But the question is what if you do not own enough money for investing? can you take a loan and invest?

Investing in a business is good that you'll surely see that there's ROI will come, though the risk is not that heavy since we know business will generate money that could possibly you can pay your debt.  As an expert says, many successful businessmen have taken debt to the banks and bought assets and let them generate profit until they will becomes successful and also paid the debt at the right time.

But this story is different from investing in crypto which is we don't know when we generate profit since the price is unpredictable, the period of time is unknown and the more time you'll wait the more you will pay the interest of your debt.  That's why the golden rule must exist, invest what you can afford and never take a loan.

[uneng]

Today I had a meeting with a friend of mine who teaches economics at university.
He believes when the inflation rate rises that's profitable to take a loan even with high interest to buy other assets such as gold, bitcoin, and even real estate.

I'm not aware about this money making method and it's probably not practicable, as banks and governments would never give this advantage to common citizens. I keep in mind loans must be very well calculated and thought before borrowed, because the consequences can be catastrophic if not paid in time. Therefore, you can't rely on passive income investments which depend on market fluctuations to pay it back. That is just too risky to be executed. Moreover, I would suggest everyone to never borrow money from banks or any other financial institution, since their rates are abusively high. A friendly loan with fair rates is the only thinkable alternative in my opinion.

[hatshepsut93]

Inflation or no inflation, investing money that don't belong to you is pure idiocy. Same as investing money that you are saving for an emergency, education, housing or other goals. The golden rule of investing is to never invest money that you can't afford to lose.

Taking a loan is only acceptable if you have enough other assets that could be liquidated to bail yourself out in case of a loss.

[nurilham]

But the question is what if you do not own enough money for investing? can you take a loan and invest?
Personally, I don't suggest doing this because using other people's money will put me under stress and this can have negative effects on my decisions.

You actually have answered the question yourself. It is true that taking a loan for crypto investment isn't advisable. Why? Not only because we will be stressed, but it is also related to the high risk in crypto investment. Since the high risk in crypto investment, we are better to avoid taking a loan, just invest with our extra money. There is no guarantee for profits in crypto investment whether in the bearish or bullish trend. We can lose money at any time when we do a wrong decision. Please think about this, it is too risky to use loan money.

[STT]

Taking the loan as a minor cost is effective, liquidity is key I agree.  It becomes dangerous when you cannot service the loan for various reasons, inflation does lead to economic loss and industry contraction and failure.
      A quick take on why this is quite certain is perhaps consider 'Just in time' that idea of order flow and parts provided perfectly and it allows lower cost production.  Now also consider unstable currency, without the ability to fix value and cost known of parts this perfect balance breaks down and production becomes impaired slightly.   Across entire countries inflation can destroy business and unemployment can easily rise beyond expectations.

He believes when the inflation rate rises that's profitable to take a loan even with high interest to buy other assets such as gold, bitcoin, and even real estate.

Real estate is the most genuine reason to borrow, if its the primary residence and its used everyday its not so great a risk as you now have no rental costs.  Its a justified cost to the loan at that point, to speculate on gold is far more risky to do as the market price is not always clear.    Commodities at any time can half in price this is their true nature and volatility and even Gold can do this though its stable over decades and centuries most of us cant wait this long to get the money back.
   Most would lack utility to borrowing and incurring costs to own Gold, unless you can shape the gold to make rings perhaps most wont.   Im not against gold at all, it will likely rise but it has no yield just holding this elemental rock in fact there is some cost of insurance maybe.   The ideal to me is to fix your interest rate cost to the loan, then if economic factors alter and rates rise you will remain intact in your original calculations.    I tried to tell my friend this, fix your mortgage rate cost so you know the future but most wont accept advice like that and its a personal matter; its never simple unfortunately but I agree with the premise OP

[Vaskiy]

Taking loan is good when you know that the investment will bring profit and the time required for the same. With cryptocurrencies this isn't possible, because we know our investment will bring profit, but the time required for the same is unknown. There are successful people who have taken loans and turned themselves successful in cryptocurrency investment. Everyone can't be the same, and when we think of loans we need to think about the interest repayment. This means atleast the interest needs to be got out of the Investment, so that the capital profiting will help in the long term.

[24Kt]

Taking the loan as a minor cost is effective, liquidity is key I agree.  It becomes dangerous when you cannot service the loan for various reasons, inflation does lead to economic loss and industry contraction and failure.    

He believes when the inflation rate rises that's profitable to take a loan even with high interest to buy other assets such as gold, bitcoin, and even real estate.

Real estate is the most genuine reason to borrow, if its the primary residence and its used everyday its not so great a risk as you now have no rental costs.  Its a justified cost to the loan at that point, to speculate on gold is far more risky to do as the market price is not always clear.    Commodities at any time can half in price this is their true nature and volatility and even Gold can do this though its stable over decades and centuries most of us cant wait this long to get the money back.

I can agree if it is real estate because they increase their value thru time but others, you need to assess the situation first. Also, make sure you have the capability to pay on the agreed timeline. Otherwise, you may incur high fees just because you have late payments. Anyway, this for me depends on the person, how he look at his financial conditions in the future. Can he afford to take the loan? Because if not, better stay within your means.

[Despairo]

Average loan interest rate start from 5% to 25% depends on the your credit scores too, in other hands average inflation on some countries around 1-2% per year except they're faced high inflation >3%. Increase of money supply is the most reason why inflation happen, banks will increase their saving interest in order to attract people to save their money. Taking a loan during high inflation is just making the situation worst!

The thing is the loan interest is really high, can you guarantee your investment return will higher than your loan interest? Average Gold return only around 1-5% per year, Real Estate you need a lot money to invest, Bitcoin? You may earn good APY due to high volatility, but you could loss more too. I'd always suggest, if you don't have enough money to invest moreover during high inflation, just don't invest. You should read there are some investors commits suicide because they're invest on LUNA.

[1] https://www.bankrate.com/loans/personal-loans/average-personal-loan-rates/

[adaseb]

Unless it’s one of those 0% car loans then most likely the interest rate will be too high anyways. Also it’s crazy to borrow money to invest.

Go on the Luna Reddit and read some of those posts. People borrowed money to buy Luna or to stake UST and now they are ruined and need to pay back all that debt.

Never borrow money to invest.

[jrrsparkles]

Today I had a meeting with a friend of mine who teaches economics at university.
He believes when the inflation rate rises that's profitable to take a loan even with high interest to buy other assets such as gold, bitcoin, and even real estate. On one side of this theory, we usually suggest people never invest money that they can't afford to lose and don't invest the money that does not belong to them for many reasons. These are golden tips and useful in any market.
But the question is what if you do not own enough money for investing? can you take a loan and invest?
Because if you look deeply into charts of inflation rates in most the countries you can easily understand taking loans even with high interests could be useful and profitable.
Personally, I don't suggest doing this because using other people's money will put me under stress and this can have negative effects on my decisions. What do you think?

When its inflation then the value of money is less so how can you say that it is profitable? Probably the value of real estate will be higher that time but the chances of liquidity is less so you can say that you can pay the mortgage with profits from real estate returns. And also for business it is kind of risky since the circulation of money will be less due to insufficient money in the hands of people so unless the business fall under necessary needs of people then it is going to be tough to pay it back.

[Apocollapse]

It will depends on my risk management.

As you said if we look from the chart taking a loan during high inflation could be profitable. But real estate and stock on your countries wouldn't profitable since most people will save their money and only use for important stuff e.g. food. Gold isn't really recommendable since it's perform bad in the current year. Bitcoin, real estate and stock outside of your countries might be good choice. Make sure the high inflation only happen on your countries and not in general.

[Gyfts]

Unless it’s one of those 0% car loans then most likely the interest rate will be too high anyways. Also it’s crazy to borrow money to invest.

Go on the Luna Reddit and read some of those posts. People borrowed money to buy Luna or to stake UST and now they are ruined and need to pay back all that debt.

Never borrow money to invest.

The Luna/UST fiasco was an anomaly.  Those people betted on altcoins and got burned because they were not investing, they were gambling. Not that I would advocate someone take a loan out to gamble on the market, but there are some ways where you might turn a profit that don't include attempting to stake some garbage algorithmic coin that is created from thin air.

OP, depending on the terms of the loan you would probably be able to turn a profit depending on the market and investment but lenders aren't ignorant to the idea of receiving less money than they loaned out with high inflationary periods. It'd be tough to get a good rate unless you predict the market.

[Darker45]

What is your teacher or professor friend's reason/s in arguing that it is good to take a loan during high inflation? I think it is better to borrow money while high inflation is still predicted or expected rather than borrow it in the middle of high inflation with high interest rates.

Are you sure this is what he is actually teaching? But there must be a lot of factors involved here. It is not just plain borrowing during the time of high inflation that is recommended.

Basically, during high inflation, the value of money is decreasing and the prices are increasing. That means borrowing money during the time of high inflation means the value of the money borrowed is low and the prices of goods including gold and other assets are high. That doesn't sound a nice idea.

[davis196]

Your friend has told you some schoolbook advise,that doesn't always work. Schoolbooks can be wrong sometimes.
Inflation can be good for the borrowers,but only if the borrowers manage to use the money they have borrowed in a smart way.
Buying BTC with a loan is an extremely risky decision.I don't recommend newbies to do this.Bying real estate with a loan is OK,but the value of the real estate property depends of the location.If the location is shitty,the price of the real estate won't grow in the future.
However,I don't think that the big western central banks would increase the interest rates at levels that are sufficient to stop the inflation.
In the near future,the inflation rates will be higher than the interest rates,which means that borrowing money would be beneficial for the borrowers(if they use those money to make some smart investments).

[FairUser]

Borrowing and mortgaging with our own assets is really dangerous in the current context. I think the interest rates offered by banks or financial institutions are making it possible for us to hold money to go out to other financial sectors. But is such a risk worth it when we are witnessing a bad economic situation like this? People are talking about ways to make money, and many people are also willing to take out mortgage assets to participate in investment channels. I cannot imagine why they would engage in such disguised ways as gambling. They should not be satisfied with the present life and be grateful for it, but try to see the illusory developments of wealth that will only make them deeper into misery with the current financial spiral.

[Jemzx00]

Your friend has told you some schoolbook advise,that doesn't always work. Schoolbooks can be wrong sometimes.
Inflation can be good for the borrowers,but only if the borrowers manage to use the money they have borrowed in a smart way.
Buying BTC with a loan is an extremely risky decision.I don't recommend newbies to do this.Bying real estate with a loan is OK,but the value of the real estate property depends of the location.If the location is shitty,the price of the real estate won't grow in the future.
However,I don't think that the big western central banks would increase the interest rates at levels that are sufficient to stop the inflation.
In the near future,the inflation rates will be higher than the interest rates,which means that borrowing money would be beneficial for the borrowers(if they use those money to make some smart investments).

The advice he received from his friend is rather one of the common economics advice which is just as you've said "book advice". But yes, not everything will work as you've intended to even if the risk won't be that high.
But before even considering this method, you must keep in mind that you still will need to have the amount you're loaning as it is not yours. Loan is a loan and you must pay it. These methods are mostly used by rich people to further widen their margin on their investments.
Still, borrowing for investment purposes could be a double edge sword where you might lose what you don't have.

[Cling18]

Today I had a meeting with a friend of mine who teaches economics at university.
He believes when the inflation rate rises that's profitable to take a loan even with high interest to buy other assets such as gold, bitcoin, and even real estate. On one side of this theory, we usually suggest people never invest money that they can't afford to lose and don't invest the money that does not belong to them for many reasons. These are golden tips and useful in any market.
But the question is what if you do not own enough money for investing? can you take a loan and invest?
Because if you look deeply into charts of inflation rates in most the countries you can easily understand taking loans even with high interests could be useful and profitable.
Personally, I don't suggest doing this because using other people's money will put me under stress and this can have negative effects on my decisions. What do you think?

Loaning or borrowing money for investment will never be a wise idea. In some cases, it would work but it isn't advisable since it will be too risky especially if you'll invest it in something without any assurance of good profit in time. It will be wiser to save and invest in your funds so you won't have a huge responsibility incase your investment won't be successful.

[Reid]

Same, personally. I don't like loans but there is not much of a choice for one person and he is eager that he could make some profits by doing so, then so be it. Also, if an individual is expecting money to come i.e. (profits from another investment) which will float at a later date then it is not like you are in a big stress at all.
I am also considering it but not the method of loan. Pawning something with good value. I have some items that I kept and I like to pawn it now while the prices of cryptocurrencies are cheap and who knows, it could be my big break.

[KingsDen]

But the question is what if you do not own enough money for investing? can you take a loan and invest?

This is the key, and it is the key to much wealth. Most of the wealthy personalities we see and admire live on debts. This is the reason that the rich is the friend of the banks. The poor saves money in the bank and the rich goes to borrow the poor man's money and become more rich.
The period of inflation is an added advantage and depends on the inflation rate.
I am strongly not against borrowing for investment, but concern is how productive will your investment be? Have you really done all the needed studies and research endure the investment is a good one?
You hardly can see good companies that never enjoyed good start ups or loans. Go for it and if it doesn't go well, atleast your capital can be recoverable. I know this idea is what I will use, but I am not certain yet where to invest the loan if granted me and I have no collateral that will give me the loan am looking up to.

[TheCoinGrabber]

Has anyone done the math for some of us who are not as quick grasping this? I still find this a bit too risky. I think I've heard about this before, supposedly you make your money as the inflation go down or something, can't exactly remember. Still, can people really afford to do this at such times like this?

[macson]

Today I had a meeting with a friend of mine who teaches economics at university.
He believes when the inflation rate rises that's profitable to take a loan even with high interest to buy other assets such as gold, bitcoin, and even real estate. On one side of this theory, we usually suggest people never invest money that they can't afford to lose and don't invest the money that does not belong to them for many reasons. These are golden tips and useful in any market.
But the question is what if you do not own enough money for investing? can you take a loan and invest?
Because if you look deeply into charts of inflation rates in most the countries you can easily understand taking loans even with high interests could be useful and profitable.
Personally, I don't suggest doing this because using other people's money will put me under stress and this can have negative effects on my decisions. What do you think?

Taking a loan for investment is a wise thing but don't invest the loan funds in a property at this time because property prices are unreasonable in many cities.  making a loan to invest in bitcoin imo is much more profitable because the price of bitcoin will definitely be bullish when the bad issues that are currently happening disappear.

[Captain Corporate]

This is exactly what people are doing in my nation right now. Its very very hard for regular citizens to buy homes right now. Even though the minimum wage is about 270 dollars, the house prices are around 300k dollars right now basically which is over a thousand times higher. But the rich are very very rich and when they get a loan, they do not pay taxes because all of those debts take away from their profits. So if you make 1 million dollars profit, and then take 1 million dollar loan, then you will not pay any debt. This also opens the door that 10 years later when the last payment happens, you are making 10+ million dollars, so that small amount will be nothing. Hence why rich are taking out loans, and I mean a ton of loans, and buying houses, both save from the inflation results, and also not paying taxes combined.

[RealMalatesta]

When its inflation then the value of money is less so how can you say that it is profitable? Probably the value of real estate will be higher that time but the chances of liquidity is less so you can say that you can pay the mortgage with profits from real estate returns. And also for business it is kind of risky since the circulation of money will be less due to insufficient money in the hands of people so unless the business fall under necessary needs of people then it is going to be tough to pay it back.

That’s why you should make calculations before making a decision like this. Any business that you’re investing that kind of money should be a business that you’re very sure would yield profit.

You do not just go and invest that kind of money into any business, if it doesn’t end up being successful, you would lose it and the borrowed would be a total waste, you will end up struggling to pay for something that never benefited. I am a kind of person that’s always avoiding borrowing money, I always prefer to go with what I have and avoid debt, so that whatever risk I am taking is a one I am taking on my own.

[palle11]

Personally, I don't suggest doing this because using other people's money will put me under stress and this can have negative effects on my decisions. What do you think?

This is a usual believe and business advise comprising the dos and don'ts. Investing with someone's money is risky in cryptocurrency won't give you peace. To borrow for investment is preferred when you are doing physical business but all is about risk, a risk taken on that can be positive though but I better stay away from such risk as some risk are capable to give serious pressure.

[dunfida]

Personally, I don't suggest doing this because using other people's money will put me under stress and this can have negative effects on my decisions. What do you think?

This is a usual believe and business advise comprising the dos and don'ts. Investing with someone's money is risky in cryptocurrency won't give you peace. To borrow for investment is preferred when you are doing physical business but all is about risk, a risk taken can be positive though.

Even if you are dealing with physical investment it wont still be giving out that kind of assurance that it would succeed but somewhat the losses will really be on gradual phase not the same when you are dealing with

crypto which volatility is something that you havent seen or incomparable towards traditional investments or businesses which means it do matters on how much risk you could really able to bare it out.

Its not bad to take a loan but you should really think for how many times if this one wont be creating possible problems in the future.

[kaya11]

Today I had a meeting with a friend of mine who teaches economics at university.
He believes when the inflation rate rises that's profitable to take a loan even with high interest to buy other assets such as gold, bitcoin, and even real estate. On one side of this theory, we usually suggest people never invest money that they can't afford to lose and don't invest the money that does not belong to them for many reasons. These are golden tips and useful in any market.
But the question is what if you do not own enough money for investing? can you take a loan and invest?
Because if you look deeply into charts of inflation rates in most the countries you can easily understand taking loans even with high interests could be useful and profitable.
Personally, I don't suggest doing this because using other people's money will put me under stress and this can have negative effects on my decisions. What do you think?

We've have taken loans since last year twice already and the outcome was great because we did build a business to generate income. However the pressure is great, you would be waking up early to attend the needs of your customers. Even at night we manage to talk to them for their issues and orders, it is all because we have payments, deadlines to catch, mortgages and salaries of employees. We are still currently paying for our car and house, maybe I can rest easy after these loans will be paid. We have taken the risk but then I am thankful it has come to a success, we have learned a lot and will continue to do so. It is better than sitting or waiting for youe salary on whatever job you are doing, loans are an opportunity only if you put it on investments that will generate profits.

[The Sceptical Chymist]

Inflation or no inflation to me taking a loan to buy asset is just another glorified debts.

Amen to that--debt is, plain and simple, a bad thing for a person to carry on their books.  With businesses, it's another story, but if we're talking about borrowing money in order to invest in crypto, stocks, metals, whatever, I think that's a very bad idea.

I get the argument OP's economics guy made, but for one thing you have to weigh the interest rate you're paying on the loan against the inflation rate, and the other variable is how much of a return you can make with the money you borrowed--and that's a crapshoot, no matter how convinced your investment of choice is going to quadruple by the time you have to repay the lender.  If things don't go as planned, are you going to be able to pay off your debt?  I'd say there are tons of people who have far more credit card debt than they can handle, and I'd be willing to bet 99.9% of them figured they'd be able to pay it down before it got out of control.

Just don't do it.

The advice he received from his friend is rather one of the common economics advice which is just as you've said "book advice".

Yeah, it's like in a movie where some jackasses are trying to work out a complicated solution to whatever dilemma they've got to get themselves out of, and as they're talking it over one of them says, "Well, in theory this should work...".  And I agree; theory often doesn't conform itself to reality.

[romero121]

Has anyone done the math for some of us who are not as quick grasping this? I still find this a bit too risky. I think I've heard about this before, supposedly you make your money as the inflation go down or something, can't exactly remember. Still, can people really afford to do this at such times like this?

Taking loan is always risk, but if you've got stable earning to pay the interest along with the capital even if the market isn't supportive then it is not a big risk. There are people who doesn't have big spending, and they are affordable to pay the loan premium from their salary or out of the business. For them taking loan to invest on cryptocurrency will be profiting, because they've got the time which will assure with profit/growth.

[arwin100]

Has anyone done the math for some of us who are not as quick grasping this? I still find this a bit too risky. I think I've heard about this before, supposedly you make your money as the inflation go down or something, can't exactly remember. Still, can people really afford to do this at such times like this?

Taking loan is always risk, but if you've got stable earning to pay the interest along with the capital even if the market isn't supportive then it is not a big risk. There are people who doesn't have big spending, and they are affordable to pay the loan premium from their salary or out of the business. For them taking loan to invest on cryptocurrency will be profiting, because they've got the time which will assure with profit/growth.

If you just take a loan to invest it on cryptocurrency then this bad idea you made because especially at this moment we are in bearish season and we don't know the out come on every market movements so if you buy some these days then the price of major coins dump then there's nothing will happen and you will sink in debt. Maybe take loan if you really need it especially by using it on your daily needs or other 100% sure profitable things.

[nurilham]

Taking loan is always risk, but if you've got stable earning to pay the interest along with the capital even if the market isn't supportive then it is not a big risk. There are people who doesn't have big spending, and they are affordable to pay the loan premium from their salary or out of the business. For them taking loan to invest on cryptocurrency will be profiting, because they've got the time which will assure with profit/growth.

Although we have a stable earning (income) doesn't mean taking a loan will be a low risk, it is a wrong mindset. We won't pay the interest of the loan only, we must pay all the amount of our debt. As crypto investment is very risky, it is always a bad idea to invest with loan money. I am sure that no one wants to spend their stable income to pay for the investment debt, right? Crypto investment must use our own money, never think to borrow money.

[lienfaye]

But the question is what if you do not own enough money for investing? can you take a loan and invest?

Investing has risk, there's no guarantee of sure profit. Therefore its not recommended to take a loan just to invest since the outcome is uncertain. This is the reason why if we're going to invest, its advisable to use your own money. Its not necessary for it to be huge because any amount will do as long as its your spare money that you can live without.

If you take a loan, certainly it has interest and its a responsibility for you to pay. But its a problem if things wont go as planned in your investment.

[South Park]

Today I had a meeting with a friend of mine who teaches economics at university.
He believes when the inflation rate rises that's profitable to take a loan even with high interest to buy other assets such as gold, bitcoin, and even real estate. On one side of this theory, we usually suggest people never invest money that they can't afford to lose and don't invest the money that does not belong to them for many reasons. These are golden tips and useful in any market.
But the question is what if you do not own enough money for investing? can you take a loan and invest?
Because if you look deeply into charts of inflation rates in most the countries you can easily understand taking loans even with high interests could be useful and profitable.
Personally, I don't suggest doing this because using other people's money will put me under stress and this can have negative effects on my decisions. What do you think?

We have a name for that in the markets and it is called leverage, when you use leverage you are borrowing money to buy more of the asset that you want, the issue is that while the profits can increase the losses do so as well, basically whoever does something like this is increasing their exposure to the markets and the risk they are taking, and since most people do not know how to manage either then it is better to not do something as risky as this, since people can easily lose everything they have in a heartbeat if they are not careful.

[wiss19]

If I understand inflation, it is when the price of the goods are rising dramatically but I don't think the price of the assets are affected with it therefore spending your money on them can be very beneficial because when you invest you can expect a return but before you do this, you just want to make sure that you are done with your primary expense like buying food stocks, paying bills, and alike. What is good about loaning is that it is said you are immune to tax.

This is why people that already have a money still takes a loan. They aren't worried no matter what happens with their asset, even if it's dipping because they can still be able to pay the loan using the money on their pockets.

[Naficopa]

If I understand inflation, it is when the price of the goods are rising dramatically but I don't think the price of the assets are affected with it therefore spending your money on them can be very beneficial because when you invest you can expect a return but before you do this, you just want to make sure that you are done with your primary expense like buying food stocks, paying bills, and alike. What is good about loaning is that it is said you are immune to tax.

This is why people that already have a money still takes a loan. They aren't worried no matter what happens with their asset, even if it's dipping because they can still be able to pay the loan using the money on their pockets.

I believe no economics work when nature has other plan, last two years of COVID was a life changing experience.
I realise that no job, no assets nothing can save. you when nature is against you. I think it is good to invest and make some saving when your standard of life are inline. but on the other hand - One should always be prepared for worse.

[m2017]

Today I had a meeting with a friend of mine who teaches economics at university.
He believes when the inflation rate rises that's profitable to take a loan even with high interest to buy other assets such as gold, bitcoin, and even real estate. On one side of this theory, we usually suggest people never invest money that they can't afford to lose and don't invest the money that does not belong to them for many reasons. These are golden tips and useful in any market.
But the question is what if you do not own enough money for investing? can you take a loan and invest?
Because if you look deeply into charts of inflation rates in most the countries you can easily understand taking loans even with high interests could be useful and profitable.
Personally, I don't suggest doing this because using other people's money will put me under stress and this can have negative effects on my decisions. What do you think?

Has your friend ever used what he believes in? Has he already taken out a high-interest loan to buy assets such as gold, bitcoin or real estate? Before making recommendations, perhaps your friend should try to put his theory into practice for himself?

I admit the possibility that with the right use of this information, you can make a good profit, but personally I would not risk putting it into practice. Because the risks are very high: in any case, the loan will have to be repaid, but investing in gold, bitcoin or real estate in the current very unstable economic situation in the world is a big question. Will the profit from the investment be able to pay off the loan? Will there be anything left after this? A lot of uncertainty.

I am not saying that investing in gold is bad, bitcoin or real estate but I think that investing with borrowed money is bad because of the high risks and need to repay the loan.

[19Nov16]

When inflation is usually a lot of unexpected things, this makes us have to take loans from banks or financial services, this is certainly difficult to avoid, but the most important thing when we take loans is the ability to pay, do not use taking loans for consumption but use for things productive like business capital.

[Smack That Ace]

Investing is inherently risky, and it gets even riskier when you borrow money to invest in crypto, as cryptocurrencies are considered the most volatile investments. When you don't have enough money to invest then work hard at whatever job as long as it can help you earn enough money to invest rather than borrow. In a high inflation economy, what happens if your investment loses. If you have the calculation and have a plan to deal with the loss of business investment, you can borrow to invest.

[Mauser]

Taking out loans during periods of high inflation is a good idea on paper. If the loan interest rate is below the inflation rate than the loan will be less valuable in the future. But banks are usually aware of the economic outlook and will not give out loans with fixed rates for too long. It really comes down to what the loan details look like. The government also will increase interest rates to fight inflation, which should make loans more expensive again. The only option where taking out a loan seems like a good idea is if the interest is fixed for 5-10 years and the full amount can be repaid at the end. If there is need to refinance after the fixed interest period ended, the loan could become a lot more expensive. I would still advise against taking out loans to invest, there is always the risk of losing money and being heavily in debt.

[og kush420]

Taking out loans during periods of high inflation is a good idea on paper. If the loan interest rate is below the inflation rate than the loan will be less valuable in the future. But banks are usually aware of the economic outlook and will not give out loans with fixed rates for too long. It really comes down to what the loan details look like. The government also will increase interest rates to fight inflation, which should make loans more expensive again. The only option where taking out a loan seems like a good idea is if the interest is fixed for 5-10 years and the full amount can be repaid at the end. If there is need to refinance after the fixed interest period ended, the loan could become a lot more expensive. I would still advise against taking out loans to invest, there is always the risk of losing money and being heavily in debt.

I would suggest to take loan if there is any dire need. If you are stable and have good standards of living done indulge yourself in unnecessary  trouble.
There is so much paperwork that you might end up in trouble  for no reason.

[dunfida]

If I understand inflation, it is when the price of the goods are rising dramatically but I don't think the price of the assets are affected with it therefore spending your money on them can be very beneficial because when you invest you can expect a return but before you do this, you just want to make sure that you are done with your primary expense like buying food stocks, paying bills, and alike. What is good about loaning is that it is said you are immune to tax.

This is why people that already have a money still takes a loan. They aren't worried no matter what happens with their asset, even if it's dipping because they can still be able to pay the loan using the money on their pockets.

I believe no economics work when nature has other plan, last two years of COVID was a life changing experience.
I realise that no job, no assets nothing can save. you when nature is against you. I think it is good to invest and make some saving when your standard of life are inline. but on the other hand - One should always be prepared for worse.

Nothing could really save you if you dont really know on how to save up because you wouldnt really make yourself to survive nor even having that investment opportunity.Its really having that very hard situation

if you wont be finding way on how you should really be handling out yourself.Making or taking loan shouldnt really be your first choice but rather making it as your last resort if you are really that eager on taking risk.

Getting some loan is never been a good choice for you to do so but this is very situational i would say.

[Desmong]

Taking loan is not my thing and I dislike it slot. Loan can be very risky especially taking lone from bank or private sectors which has bigger consequences if the borrower is not able to pay the loan at the right time. I can meet my close friends to lend me money but I see no good reasons to go take a loan. Investing is very risky and we should be conscious when getting loan to run a new business that normally takes time to grow before one start making profits.

[justdimin]

the question is what if you do not own enough money for investing? can you take a loan and invest?
Because if you look deeply into charts of inflation rates in most the countries you can easily understand taking loans even with high interests could be useful and profitable.
Personally, I don't suggest doing this because using other people's money will put me under stress and this can have negative effects on my decisions. What do you think?

The only downside of the crypto part is that, if the price goes down, or even stays the same, you will not be able to repay it back on time. Because, you take out lets’ say 10k, and you have to pay 500 dollars for 2 years, which will be 12k when you pay it back 2 years later right? Well, that means first month if the price doesn't change you cash it out and have only 9.5k left, so instead of %10 increase meaning 1k profit, it will be 950 profit.

So, next month if nothing changes you pay another 500 bucks, and so forth and so forth, eventually becoming very little. Hence, you can't just assume you can pay the loan back with your crypto profits.

[Semar Mesem]

Be careful when we take a loan when inflation is high, this is very risky because it can make our debt increase drastically, but the good thing is to use debt for business capital or use it for investments that provide large profits such as cryptocurrencies.

[MiF]

Today I had a meeting with a friend of mine who teaches economics at university.
He believes when the inflation rate rises that's profitable to take a loan even with high interest to buy other assets such as gold, bitcoin, and even real estate. On one side of this theory, we usually suggest people never invest money that they can't afford to lose and don't invest the money that does not belong to them for many reasons. These are golden tips and useful in any market.
But the question is what if you do not own enough money for investing? can you take a loan and invest?
Because if you look deeply into charts of inflation rates in most the countries you can easily understand taking loans even with high interests could be useful and profitable.
Personally, I don't suggest doing this because using other people's money will put me under stress and this can have negative effects on my decisions. What do you think?

Big risk is equal to big profit, risk is always there it is normal for us to take the risk to earn a lot of profit, if we don't take the risk then we will remain the same with no progress at all. Sometimes taking risk is good it is better to try than nothing, i believe that the person who are now millionaire in crypto is also a risk taker before, investing, holding, trading, all of this has a risk just always DYOR and don't stop believing for good.

[dataispower]

Today I had a meeting with a friend of mine who teaches economics at university.
He believes when the inflation rate rises that's profitable to take a loan even with high interest to buy other assets such as gold, bitcoin, and even real estate. On one side of this theory, we usually suggest people never invest money that they can't afford to lose

In this forum i have seen many  people who is condemning to borrow and invest. But some times i avoid such statement act. Because when they will realize that to borrow is a support to some one who don't have helper to start up a business of it own. When their is inflation you can get many things cheap and unexpectedly because of many things will cut down the price. And after inflation all those properties you buy with low fees will rise and give you than what you used to buy some of the properties

[Vaculin]

Today I had a meeting with a friend of mine who teaches economics at university.
He believes when the inflation rate rises that's profitable to take a loan even with high interest to buy other assets such as gold, bitcoin, and even real estate. On one side of this theory, we usually suggest people never invest money that they can't afford to lose and don't invest the money that does not belong to them for many reasons. These are golden tips and useful in any market.
But the question is what if you do not own enough money for investing? can you take a loan and invest?
Because if you look deeply into charts of inflation rates in most the countries you can easily understand taking loans even with high interests could be useful and profitable.
Personally, I don't suggest doing this because using other people's money will put me under stress and this can have negative effects on my decisions. What do you think?

IMHO, taking loans for such a volatile investment do not guarantee fixed profits, the reason why we should always invest using our extra income. However, if you can manage the risks from doing it, then go, but if you want to avoid troubles in the future, then always invest on the amount you can afford to lose. The fact is, no matter how good an investment is, as long as you don't hold its future, then you can never be at peace thinking that you'll maybe lose in the end, although investment has always its own risks.

[paxmao]

In general terms he is right. Taking a loan during high inflation is beneficious for the debtor, as the capital is "worth less" as time passes. The important thing is to invest in something that has a return higher than the mortgage rate and that is the key of this strategy. Bitcoin is too volatile, gold works with inflation but only as long as interest rates do not hike, which will happen.

You need something more or less stable that has a physical base, perhaps Commodities, particularly metals.

[Shasha80]

Today I had a meeting with a friend of mine who teaches economics at university.
He believes when the inflation rate rises that's profitable to take a loan even with high interest to buy other assets such as gold, bitcoin, and even real estate. On one side of this theory, we usually suggest people never invest money that they can't afford to lose and don't invest the money that does not belong to them for many reasons. These are golden tips and useful in any market.
But the question is what if you do not own enough money for investing? can you take a loan and invest?
Because if you look deeply into charts of inflation rates in most the countries you can easily understand taking loans even with high interests could be useful and profitable.
Personally, I don't suggest doing this because using other people's money will put me under stress and this can have negative effects on my decisions. What do you think?

IMHO, taking loans for such a volatile investment do not guarantee fixed profits, the reason why we should always invest using our extra income. However, if you can manage the risks from doing it, then go, but if you want to avoid troubles in the future, then always invest on the amount you can afford to lose. The fact is, no matter how good an investment is, as long as you don't hold its future, then you can never be at peace thinking that you'll maybe lose in the end, although investment has always its own risks.

Based on my experience borrowing money from a bank to invest in Bitcoin in 2018 was one of the worst decisions of my life. I suffered
a huge loss at that time, as you said Bitcoin which has a volatile price can not provide a fixed profit for me to be able to pay my debt installments.
So I highly recommend that we only invest using the extra money we have, so we will not have a problem if the price of Bitcoin does not move
according to our expectations. At least we will not be stressed and burdened if the investment uses money that we can afford to lose. Moreover,
investing in Bitcoin has a very high risk, in my opinion, it is not a good choice to use borrowed money to invest in Bitcoin. I've learned a lot from
my bad experience investing in Bitcoin using borrowed money from banks, which I won't make the same mistake in the future.

[Kasabus]

I also don't suggest to do it and that's the actual risk if that's the strategy of other people. I knew wealthy people that have been borrowing money to buy another assets and this is a common style to them and that's making them more wealthy.
But in able for you to do it, you have to make sure that you'll be able to pay the loan + the interest of it and most wealthy people have a lot of sources of income and that's why they're free in doing it. And if you're just an average and minimum wager man, you'll hardly do it.

Borrowing money is only good if you don't rely on a single investment, and that you have lot of sources that generate an income other than crypto. That is why most wealthy investors are capable of this, to expand their investment because they have been doing profits already in their previous investments. Since the more an investor own a lot of investments, the quicker he will become financially stable and secured.

[lixer]

Be careful when we take a loan when inflation is high, this is very risky because it can make our debt increase drastically, but the good thing is to use debt for business capital or use it for investments that provide large profits such as cryptocurrencies.

When you are taking a loan in a nation with high inflation, paying the monthly payments could be very difficult on the first month for example, but after a few years it becomes an easy thing. For example, if I sell all of my investments and take a bit of a loan, I would be able to buy a house right now, that is possible, and sell my car too of course, and I would be in so much debt that I wouldn't be able to pay it fairly in the first year, would make bigger debts on credit card to keep it going, I would have to put every single money I make into the loan repayment.

However in 4-5 years, it would be nothing, it would be a very tiny amount to pay, and with high enough inflation the house I buy would be 5x size of my debt.

[TheCoinGrabber]

Has anyone done the math for some of us who are not as quick grasping this? I still find this a bit too risky. I think I've heard about this before, supposedly you make your money as the inflation go down or something, can't exactly remember. Still, can people really afford to do this at such times like this?

Taking loan is always risk, but if you've got stable earning to pay the interest along with the capital even if the market isn't supportive then it is not a big risk. There are people who doesn't have big spending, and they are affordable to pay the loan premium from their salary or out of the business. For them taking loan to invest on cryptocurrency will be profiting, because they've got the time which will assure with profit/growth.

Yeah it is risky. I probably wouldn't even try it unless I know I have some money saved up to pay for a few months of the premium. Especially these days, it's very easy to lose a job or for a business to go under.

I'm still curious why they are saying it's good to take loan during high inflation. Especially since the money you borrowed would have less purchasing power.

[Finestream]

Inflation or no inflation to me taking a loan to buy asset is just another glorified debts. In my very eventful few years of crypto-Currency I have come to understand that it’s very wrong to take a loan to buy any Crypto-currency asset, so inflation aside I believe a loan is a bondage and using it to buy an asset as volatile as crypto-currency is very far foolish, that’s where the start slow and rise steady comes in, Crypto-currency is very much unpredictable and taking loan to enter it can be a bad decision.

It will never be a smart decision if you take loans so you can invest. Though investing is a wise decision, but knowing you borrowed money for that, that makes it very unhealthy for an investor. However, if you have other sources to pay your debt and that they always generate an income, borrowing money may be somehow reasonable. But for a beginner who makes crypto as his first investment, then he should save for its funds first before he decide to take the risk in investing.

[bangjoe]

Inflation or no inflation to me taking a loan to buy asset is just another glorified debts. In my very eventful few years of crypto-Currency I have come to understand that it’s very wrong to take a loan to buy any Crypto-currency asset, so inflation aside I believe a loan is a bondage and using it to buy an asset as volatile as crypto-currency is very far foolish, that’s where the start slow and rise steady comes in, Crypto-currency is very much unpredictable and taking loan to enter it can be a bad decision.

It will never be a smart decision if you take loans so you can invest. Though investing is a wise decision, but knowing you borrowed money for that, that makes it very unhealthy for an investor. However, if you have other sources to pay your debt and that they always generate an income, borrowing money may be somehow reasonable. But for a beginner who makes crypto as his first investment, then he should save for its funds first before he decide to take the risk in investing.

It becomes very arrogant when we take out a loan to invest which is not certain when we will profit. Indeed, I also realized that when I saw a good opportunity for me to enter to invest and coincidentally I did not have the capital to invest, at first I thought about taking a loan. But I am very grateful when I can withstand it, because if you think about it, it becomes greed which I think greed is the thing to avoid in investing, especially in this cryptocurrency.

[horrifiedx1]

Inflation or no inflation to me taking a loan to buy asset is just another glorified debts. In my very eventful few years of crypto-Currency I have come to understand that it’s very wrong to take a loan to buy any Crypto-currency asset, so inflation aside I believe a loan is a bondage and using it to buy an asset as volatile as crypto-currency is very far foolish, that’s where the start slow and rise steady comes in, Crypto-currency is very much unpredictable and taking loan to enter it can be a bad decision.

It will never be a smart decision if you take loans so you can invest. Though investing is a wise decision, but knowing you borrowed money for that, that makes it very unhealthy for an investor. However, if you have other sources to pay your debt and that they always generate an income, borrowing money may be somehow reasonable. But for a beginner who makes crypto as his first investment, then he should save for its funds first before he decide to take the risk in investing.

It becomes very arrogant when we take out a loan to invest which is not certain when we will profit. Indeed, I also realized that when I saw a good opportunity for me to enter to invest and coincidentally I did not have the capital to invest, at first I thought about taking a loan. But I am very grateful when I can withstand it, because if you think about it, it becomes greed which I think greed is the thing to avoid in investing, especially in this cryptocurrency.

emotional without thinking long makes us regret later. therefore the act of borrowing funds to invest in cryptocurrencies is not recommended for beginners. we can take the example of the luna tragedy, where there are many sad stories from investors, of course because they are not good at managing their funds to invest in crypto, and in the end they seem to fall to the bottom. imagine if the funds used are loan funds

[Altryist]

It will never be a smart decision if you take loans so you can invest. Though investing is a wise decision, but knowing you borrowed money for that, that makes it very unhealthy for an investor. However, if you have other sources to pay your debt and that they always generate an income, borrowing money may be somehow reasonable. But for a beginner who makes crypto as his first investment, then he should save for its funds first before he decide to take the risk in investing.

I agree that taking a loan to invest in cryptocurrency is very risky and carries huge risks. It makes sense to take a loan for a business that is established and brings a stable profit, and a loan is needed to scale up and increase capacity, wich will close this loan. And investment in cryptocurrency can be either unprofitable or long-term, and you need to start repaying a loan after the first month.

[carlfebz2]

It will never be a smart decision if you take loans so you can invest. Though investing is a wise decision, but knowing you borrowed money for that, that makes it very unhealthy for an investor. However, if you have other sources to pay your debt and that they always generate an income, borrowing money may be somehow reasonable. But for a beginner who makes crypto as his first investment, then he should save for its funds first before he decide to take the risk in investing.

I agree that taking a loan to invest in cryptocurrency is very risky and carries huge risks. It makes sense to take a loan for a business that is established and brings a stable profit, and a loan is needed to scale up and increase capacity, wich will close this loan. And investment in cryptocurrency can be either unprofitable or long-term, and you need to start repaying a loan after the first month.

Carries huge risk if you do rely yourself on your crypto investment on repaying those loans or borrowed money but if not then go ahead and do such action.The only problem you do really need to solved on taking

loan is to repay on the right time and we know on how risky crypto investment is which it would really be that right for  you to be mindful on making out such action considering the risk level.

If you could see that you could pay it up without any problems then its your choice but it would be good idea that you shouldnt do as much as you could.

[Naficopa]

Carries huge risk if you do rely yourself on your crypto investment on repaying those loans or borrowed money but if not then go ahead and do such action.The only problem you do really need to solved on taking

loan is to repay on the right time and we know on how risky crypto investment is which it would really be that right for  you to be mindful on making out such action considering the risk level.

If you could see that you could pay it up without any problems then its your choice but it would be good idea that you shouldnt do as much as you could.

We are so much busy about looking for investment opportunities and have invested on yourself almost none.
HAving a good and comfortable lifestyle should be the priority not the wealth only.

[TelolettOm]

I agree that taking a loan to invest in cryptocurrency is very risky and carries huge risks. It makes sense to take a loan for a business that is established and brings a stable profit, and a loan is needed to scale up and increase capacity, wich will close this loan.

Yes, it is better to avoid taking a loan for any crypto investment. The nature of crypto investment is high risks, no guarantee to get profits. Although it offers an opportunity to get a higher profit, not every time and not every coin can bring profit for us. Sometimes we may get losses because of the market situation and the price move that can change significantly. So, it is not a safe place to use loan money. Regarding borrowing money for an established business in real life, it can be acceptable as long as the business is able to earn stable profits to repay the loan money.

[STT]

Crypto wouldnt give the yield vs the cost of the loan but its not a bad idea if you can reduce outgoings or achieve a reliable yield elsewhere in some way.   The main thing is inflation creates instability and people get unexpected events that disrupt their liquidity vs the loan hence it can become a problem.   Always have a backup plan to such ideas is best.

[Uang_kartal]

Your way of thinking is correct, friend, you don't justify pushing yourself from what you have (borrowing) it is felt when the Fomo push makes you want to drain your balance for a promising sort term. And will make quick steps without thinking about side effects after that. I've experienced it, although it wasn't too big, but I had to cut loss because the owner of the funds needed it urgently. There I panicked looking for the remaining shortfall caused by bearish assets. Capital management with my own fiat money in my opinion is better even though predictions aren't always bullish at least cold money will read mental and predictions are more focused

[Sir Legend]

When high inflation occurs, of course, the need increases significantly, if we don't owe it it will be difficult to survive, but will we continue to be in debt and don't want to do anything? Of course not, if we continue to be in debt then we can go bankrupt so the best thing is to find a source of income and investment.

[bitzizzix]

My question is is there any bank willing to lend a very large amount of money for investment, and as far as I know if we want to borrow money from a bank or any loan mostly for business. And we also have to provide a business proposal and also a large guarantee according to the money lent, how do you make a proposal and convince the bank that you want to borrow large amounts of money that you will use to invest.
think carefully because investing in crypto or anything with borrowed money is not guaranteed as expected, unless you have a lot of wealth with the reason you don't want to use it to invest because you will be forced to pay it with your wealth if your investment does not live up to expectations.
and I personally prefer to sacrifice valuables such as a vehicle or a piece of land for me to sell and invest, and when inflation is high the price of land will definitely rise so there is no harm in taking that decision so you don't have to worry and stress with monthly installments if you borrow , and do it that way for the long haul.

[Joshapat]

I think loans are the last option if all things can not be done, it is better if we sell assets or pawn assets such as home or land, but the next thing is to use for productive things such as opening a new business or increasing capital, do not use loans for consumption because will make us unable to pay debts.

[Quidat]

I think loans are the last option if all things can not be done, it is better if we sell assets or pawn assets such as home or land, but the next thing is to use for productive things such as opening a new business or increasing capital, do not use loans for consumption because will make us unable to pay debts.

It should really be your last resort if you dont really have any options left specially when you are seeing  some opportunity which is really hard to resist for you on not to make some action
but if you could really still able to find way for you not to able to take some loan or able to avoid it as much as you could then do it because its totally different when you are really obliging
yourself in paying on something but if you are really that capable on paying it on time then i dont see any problems but we know that not all the times where things turns out to be
okay thats why always mind off with the risk.

[D ltr]

I agree with you, avoiding loans is the right attitude in the current inflationary period, I personally don't dare to speculate in terms of investment if you don't have more money it's too risky

[Xampeuu]

I think loans are the last option if all things can not be done, it is better if we sell assets or pawn assets such as home or land, but the next thing is to use for productive things such as opening a new business or increasing capital, do not use loans for consumption because will make us unable to pay debts.

Taking a loan is supposed to be for productive activities, but to invest or invest, you should already have extensive knowledge, because this carries a greater risk. just like when we invest in cryptocurrencies, of course high volatility becomes a big risk if it is not accompanied by adequate knowledge, as is the case when we open a business, of course targeting prospective business opportunities and according to our abilities

[ninis45]

all types of borrowing not because of an urgent need are not justified, especially for an investment that is very risky but I don't blame them for borrowing with a belief but it's appropriate to see their own ability to borrow so they don't fall into a curse.

[24Kt]

all types of borrowing not because of an urgent need are not justified, especially for an investment that is very risky but I don't blame them for borrowing with a belief but it's appropriate to see their own ability to borrow so they don't fall into a curse.

If they will resort to this route, they should know the possible repercussions of their action. Because they need to think of the possible worst scenario that may come like losing the money that they borrowed, and so what will happen next if they lost it? How can they pay the debt? Taking a loan is fine as long as you have other means of income that can supplement you in case something goes wrong with your venture. But if not, you will only go deep in debt and that will significantly affect your life like stress and other problems.

[Doan9269]

all types of borrowing not because of an urgent need are not justified, especially for an investment that is very risky but I don't blame them for borrowing with a belief but it's appropriate to see their own ability to borrow so they don't fall into a curse.

though it has been said repeatedly that taken a loan for an investment is not really advisable especially when an enterprises is at the early or start up stage, one can solicit for help in different ways or apply for grants but i wouldn't advise someone to engage on borrowing, we know the rate of how many businesses failed after a successful launch but lack the tenacity to be maintain, actually it's not about start a business with loan that matters but the sustainability of it on a long run.

[Naficopa]

all types of borrowing not because of an urgent need are not justified, especially for an investment that is very risky but I don't blame them for borrowing with a belief but it's appropriate to see their own ability to borrow so they don't fall into a curse.

If they will resort to this route, they should know the possible repercussions of their action. Because they need to think of the possible worst scenario that may come like losing the money that they borrowed, and so what will happen next if they lost it? How can they pay the debt? Taking a loan is fine as long as you have other means of income that can supplement you in case something goes wrong with your venture. But if not, you will only go deep in debt and that will significantly affect your life like stress and other problems.

I like what is stated above that all type of borrowing that is not urgent is not justified. I run a small business and I don't earn much - but I fulfill my needs and I am happy with what I have - less is more. Unnecessary borrowing is not appreciated.

[Spontaneous]

    Thanks for this topic it  gives me some knowledge that I can use it to loan or invest and I will share other or my friend on what I've learned and making the right decisions in investing and taking loan. Cause I believe making this i start it's really hard son since there's a guide we can able to encounter any conflict or failure.

[boris singer]

all types of borrowing not because of an urgent need are not justified, especially for an investment that is very risky but I don't blame them for borrowing with a belief but it's appropriate to see their own ability to borrow so they don't fall into a curse.

though it has been said repeatedly that taken a loan for an investment is not really advisable especially when an enterprises is at the early or start up stage, one can solicit for help in different ways or apply for grants but i wouldn't advise someone to engage on borrowing, we know the rate of how many businesses failed after a successful launch but lack the tenacity to be maintain, actually it's not about start a business with loan that matters but the sustainability of it on a long run.

Regardless of anything, borrowing money is indeed for some people this is normal and when that person is sure and knows what he or she is going to do, it's not wrong for them to borrow money because regardless of anything, I've even done a lot of things like this in various circles, but it's true. provided they are able to operate and have a clear and not vague plan.
But when things like this are still unclear, then why take the risk by borrowing money because this will most likely only make things more complicated for yourself.

[Wawa2013]

all types of borrowing not because of an urgent need are not justified, especially for an investment that is very risky but I don't blame them for borrowing with a belief but it's appropriate to see their own ability to borrow so they don't fall into a curse.

If they will resort to this route, they should know the possible repercussions of their action. Because they need to think of the possible worst scenario that may come like losing the money that they borrowed, and so what will happen next if they lost it? How can they pay the debt? Taking a loan is fine as long as you have other means of income that can supplement you in case something goes wrong with your venture. But if not, you will only go deep in debt and that will significantly affect your life like stress and other problems.

I like what is stated above that all type of borrowing that is not urgent is not justified. I run a small business and I don't earn much - but I fulfill my needs and I am happy with what I have - less is more. Unnecessary borrowing is not appreciated.

It's true that we should borrow money only for urgent needs, if borrowing money for investment or fulfilling a lifestyle seems to be avoided.
Sometimes it's greed that makes us take bold decisions to borrow money, then we borrow money that sometimes doesn't plan properly regarding
the payment of the loan installments. So I often find people around me who borrow money from banks for business capital and end up having problems
not long after. Because the business he does can provide enough profit to meet daily needs and pay off debt installments.

In the end, borrowing money only makes it more difficult for a person to life. I prefer people who run a business like you, even if your income is
not large, but all your needs can be met without the need for debt. In the end we must be able to control our greed, so that we can be more grateful
for what we have now.

[Viscore]

Today I had a meeting with a friend of mine who teaches economics at university.
He believes when the inflation rate rises that's profitable to take a loan even with high interest to buy other assets such as gold, bitcoin, and even real estate. On one side of this theory, we usually suggest people never invest money that they can't afford to lose and don't invest the money that does not belong to them for many reasons. These are golden tips and useful in any market.
But the question is what if you do not own enough money for investing? can you take a loan and invest?
Because if you look deeply into charts of inflation rates in most the countries you can easily understand taking loans even with high interests could be useful and profitable.
Personally, I don't suggest doing this because using other people's money will put me under stress and this can have negative effects on my decisions. What do you think?

Honestly, i won't suggest to a newbie or any person who plans to take loans just for an investment. Whether its crypto or not, taking loans will never guarantee profits. It may fall in the opposite direction in most cases and see you broke in the end. Although crypto can beat hyper inflation, but investing in it from a wrong option will never end into success and profits, but more on seeing you doomed and losing your funds.

[lienfaye]

all types of borrowing not because of an urgent need are not justified, especially for an investment that is very risky but I don't blame them for borrowing with a belief but it's appropriate to see their own ability to borrow so they don't fall into a curse.

True. Its not really advisable to borrow if not for urgent needs like for emergency situation. However we dont know what other people has been going through or whats their capability to take loan to use for investing.

Regardless of the type of your investment that you'll be entering in, as long as you're confident to pay the debt on time or has other resources to fill the loan incase something went wrong in your investment, then its on your own discretion.

But as much as possible dont take loan to invest, much better to save then invest.

[og kush420]

my bad experience investing in Bitcoin using borrowed money from banks, which I won't make the same mistake in the future.

My dad has made a very stricket advice to us - and he  always kept reminding us - don't borrow money from - Never EVER!
He aslo made a mistake of borrowing money - since he was not a finance - it took almost half of his life to payoff the debt. We always keep that in mind and dont borrow money - unless urgent.

[South Park]

my bad experience investing in Bitcoin using borrowed money from banks, which I won't make the same mistake in the future.

My dad has made a very stricket advice to us - and he  always kept reminding us - don't borrow money from - Never EVER!
He aslo made a mistake of borrowing money - since he was not a finance - it took almost half of his life to payoff the debt. We always keep that in mind and dont borrow money - unless urgent.

Getting a loan is sometimes inevitable as very few people have the money to pay for a house or a car with cash, however I do think that in this age people ask for loans for almost any reason and this is one of the reasons why they cannot escape the rat race, so avoiding loans as much as possible is a good thing and they should only be used when absolutely necessary, which is why I do not really like that people use leverage, which is nothing more but asking for a loan to buy more of the asset they want, as they are multiplying their risk many times over and this means they can lose a great deal of money if they make a single mistake when they trade, something that is quite common.

[Poker Player]

Today I had a meeting with a friend of mine who teaches economics at university.
He believes when the inflation rate rises that's profitable to take a loan even with high interest to buy other assets such as gold, bitcoin, and even real estate. On one side of this theory, we usually suggest people never invest money that they can't afford to lose and don't invest the money that does not belong to them for many reasons. These are golden tips and useful in any market.
But the question is what if you do not own enough money for investing? can you take a loan and invest?
Because if you look deeply into charts of inflation rates in most the countries you can easily understand taking loans even with high interests could be useful and profitable.
Personally, I don't suggest doing this because using other people's money will put me under stress and this can have negative effects on my decisions. What do you think?

I think the same. Mathematically it's one thing but when we take psychology into account it's another.

The logic is: if inflation is at 8% and I get a loan at 4% I am making money, but there are many other factors to take into account, such as risk, that inflation can vary downwards, etc. That's why Kiyosaki's method works for far fewer people than Dave Ramsey's, because being debt free gives you a peace of mind that being in debt does not, and all economic choices are influenced by your psychology.

[ninis45]

I think the same. Mathematically it's one thing but when we take psychology into account it's another.

The logic is: if inflation is at 8% and I get a loan at 4% I am making money, but there are many other factors to take into account, such as risk, that inflation can vary downwards, etc. That's why Kiyosaki's method works for far fewer people than Dave Ramsey's, because being debt free gives you a peace of mind that being in debt does not, and all economic choices are influenced by your psychology.

basically someone dares to make a breakthrough because of some theories and experiences that have successfully done it several times so that he dares to take a loan, it's just that as you say he will get worried biologically and emotionally so that not infrequently they end tragically.

debt free gives you peace of mind

[Semar Mesem]

Taking a loan, of course, is only temporary, we cannot continue to rely on loans for our daily needs, and in my opinion the loans we can do are for business purposes, if we take a loan for the necessities of life then we will go bankrupt and assets will be sold to pay debts.

[doomloop]

Getting a loan is sometimes inevitable as very few people have the money to pay for a house or a car with cash, however I do think that in this age people ask for loans for almost any reason and this is one of the reasons why they cannot escape the rat race, so avoiding loans as much as possible is a good thing and they should only be used when absolutely necessary, which is why I do not really like that people use leverage, which is nothing more but asking for a loan to buy more of the asset they want, as they are multiplying their risk many times over and this means they can lose a great deal of money if they make a single mistake when they trade, something that is quite common.

Maybe that is the definition of necessary or urgent for them. They take loans because they don't have any money in their pockets. They will then use the borrowed money on their risky crypto activities, while for us, urgent and necessary would mean that if we or the people we love are hospitalized and our own savings is not enough to support them.

I think this reason is more valid in my opinion, I support this more, than to the first scenario. Another thing that people can do to avoid taking loans is to be contended living on a much simpler life. They don't need to take a loan only to have a car or to have a good house because those things are not really that important.

[carlfebz2]

Taking a loan, of course, is only temporary, we cannot continue to rely on loans for our daily needs, and in my opinion the loans we can do are for business purposes, if we take a loan for the necessities of life then we will go bankrupt and assets will be sold to pay debts.

This should really be your main concern which you should be minding off that never ever took a loan for the sake of necessity,needs or wants which would really be fucking you up later on on the time that you would

need to repay those interest or money borrowed unless if you do have some other source of income then it would really be just fine but if not then better avoid it as much as you could.
You could make out some savings and then make out some investment later on if you had accumulated or saved for long.

[FanEagle]

I have a friend who just bought a house, spent about 20k on the house upfront, and took about 45k loan and bought the house. Let's see what happens, inflation is huge in my nation and interest rates are insane, but he could still make a good amount of profit in the long run because the house could worth a lot more. I also had a friend who bought a house for around 50k back in the day, about 4 years or so ago, and now his house worths nearly 300k, inflation is THAT high in my nation.

So, if the same thing happens to this new one, I may actually start looking at selling something I have and buying a house, because it does make people richer. Loans require basically nothing, specially if it's fixed rate, compared to high inflation.

[awik p]

Taking a loan, of course, is only temporary, we cannot continue to rely on loans for our daily needs, and in my opinion the loans we can do are for business purposes, if we take a loan for the necessities of life then we will go bankrupt and assets will be sold to pay debts.

Taking a loan for a business also has to be very careful, let alone taking a loan for long-term investment, so we have to go through careful calculations, because every month we have to repay the loan, and when it comes to investing in cryptocurrencies, we don't know if the bear market will last long. or not, therefore it must be done with careful calculations

[Dhaniii]

Has anyone done the math for some of us who are not as quick grasping this? I still find this a bit too risky. I think I've heard about this before, supposedly you make your money as the inflation go down or something, can't exactly remember. Still, can people really afford to do this at such times like this?

Taking loan is always risk, but if you've got stable earning to pay the interest along with the capital even if the market isn't supportive then it is not a big risk. There are people who doesn't have big spending, and they are affordable to pay the loan premium from their salary or out of the business. For them taking loan to invest on cryptocurrency will be profiting, because they've got the time which will assure with profit/growth.

If you just take a loan to invest it on cryptocurrency then this bad idea you made because especially at this moment we are in bearish season and we don't know the out come on every market movements so if you buy some these days then the price of major coins dump then there's nothing will happen and you will sink in debt. Maybe take loan if you really need it especially by using it on your daily needs or other 100% sure profitable things.

for me taking a loan to invest in crypto is very good but the current time because the crypto market is in a bearish condition. indirectly for the time being can not make a profit from our investment, while the loan continues to mature and must be repaid immediately. Isn't that condition can make us stressed unless you have a reserve of funds to cover the loan due.

[Ultegra134]

I find it extremely risky at the moment. Due to the increasing living costs, there's a risk of a decreased income in the long-term. For instance, I bought a motorcycle a month ago, using my credit card with 12 interest free installments. While I'm receiving approximately the same amount of money per month, my available income has severely shrunk, due to inflation.

If it's for investment purposes, I'd first make sure that I have a decent allowance per month, enough to cover the monthly dose and an extra 20% for safety reasons.

[Renampun]

...
But the question is what if you do not own enough money for investing? can you take a loan and invest?
...

I will certainly take out a loan to buy more Bitcoins when the market experiences inflation...

Of course this is a very big risk, but that doesn't mean it's a bad idea either (taking loan to buy investment assets). I once worked in a restaurant and the restaurant owner often took loans to the bank, he said "that opportunity only happens once, why not try it even though it's risky".

[Silberman]

...
But the question is what if you do not own enough money for investing? can you take a loan and invest?
...

I will certainly take out a loan to buy more Bitcoins when the market experiences inflation...

Of course this is a very big risk, but that doesn't mean it's a bad idea either (taking loan to buy investment assets). I once worked in a restaurant and the restaurant owner often took loans to the bank, he said "that opportunity only happens once, why not try it even though it's risky".

The issue is that while the loaned money could be the same, the use that you will give to it is different, if you invest that money in a business that is producing profits already then you can increase your profits and pay the loan, when it comes to bitcoin you have no control at all of what the market does, and this means that the interest could become so high that even if the price eventually went up you will earn nothing, so I do not think this is a good idea.

[monineklutak]

Has anyone done the math for some of us who are not as quick grasping this? I still find this a bit too risky. I think I've heard about this before, supposedly you make your money as the inflation go down or something, can't exactly remember. Still, can people really afford to do this at such times like this?

Taking loan is always risk, but if you've got stable earning to pay the interest along with the capital even if the market isn't supportive then it is not a big risk. There are people who doesn't have big spending, and they are affordable to pay the loan premium from their salary or out of the business. For them taking loan to invest on cryptocurrency will be profiting, because they've got the time which will assure with profit/growth.

If you just take a loan to invest it on cryptocurrency then this bad idea you made because especially at this moment we are in bearish season and we don't know the out come on every market movements so if you buy some these days then the price of major coins dump then there's nothing will happen and you will sink in debt. Maybe take loan if you really need it especially by using it on your daily needs or other 100% sure profitable things.

for me taking a loan to invest in crypto is very good but the current time because the crypto market is in a bearish condition. indirectly for the time being can not make a profit from our investment, while the loan continues to mature and must be repaid immediately. Isn't that condition can make us stressed unless you have a reserve of funds to cover the loan due.

It's true that taking a loan to invest certainly doesn't hurt, but on the other hand we also need to consider the right time to take the loan,
and if you look at the current state of crypto where the market is still down for me this is not the right time and I agree it can be stressful for us,
but it all depends on everyone's consideration

[Oilacris]

Has anyone done the math for some of us who are not as quick grasping this? I still find this a bit too risky. I think I've heard about this before, supposedly you make your money as the inflation go down or something, can't exactly remember. Still, can people really afford to do this at such times like this?

Taking loan is always risk, but if you've got stable earning to pay the interest along with the capital even if the market isn't supportive then it is not a big risk. There are people who doesn't have big spending, and they are affordable to pay the loan premium from their salary or out of the business. For them taking loan to invest on cryptocurrency will be profiting, because they've got the time which will assure with profit/growth.

If you just take a loan to invest it on cryptocurrency then this bad idea you made because especially at this moment we are in bearish season and we don't know the out come on every market movements so if you buy some these days then the price of major coins dump then there's nothing will happen and you will sink in debt. Maybe take loan if you really need it especially by using it on your daily needs or other 100% sure profitable things.

for me taking a loan to invest in crypto is very good but the current time because the crypto market is in a bearish condition. indirectly for the time being can not make a profit from our investment, while the loan continues to mature and must be repaid immediately. Isn't that condition can make us stressed unless you have a reserve of funds to cover the loan due.

It's true that taking a loan to invest certainly doesn't hurt, but on the other hand we also need to consider the right time to take the loan,
and if you look at the current state of crypto where the market is still down for me this is not the right time and I agree it can be stressful for us,
but it all depends on everyone's consideration

It's a matter of risk taking because not all would really be that risk taker on making out decisions something like this like taking loans and putting it up all in crypto since we know on how risky and non assured type of investment.

No one knows on when it would pump and no one knows on when it would dump or moving sideways on which if you do rely your crypto investment profits to repay those loans or debts then you are putting yourself at risk or too much more deeper problems.

[dezoel]

The scary thing is, giving your money to someone for investment. Is there anyone who understands this scare? I don't know if it is just me. Like for example you are going to get a loan, and then give that money to someones account, so it is all traceable and there is rarely ever anything that would be easily figured out, and yet when you are buying a real estate, a house, it is obvious and simple and tens of millions of people do it everyday right? Yet I would feel scared when buying, I would be sending money and then what if they don't give me the house?

Silly fear, but it is real and I fear that. I have a great great great real estate deal at 60k dollars, which I do not have at all, but it would pay itself back, I just need to pay 5k upfront, and 55k would be loan which renter will be paying basically, and yet I am fearing it a lot, which is funny to some people but I find it a serious problem.

[BITCOIN4X]

I haven't taken out a loan during this inflation and so far I haven't thought about doing so. My earnings in crypto and the real world still seem safe enough not to have active loans either in crypto or fiat at banks or people around.

I just thought that having an active loan would only burden me financially and it would make me insecure to do anything especially about work. So thankfully my financial condition is still safe now without a loan.

The scary thing is, giving your money to someone for investment.

Of course, that's completely unreasonable. But when one has something more to give in the form of a loan regardless if it is for investment or trading then what is the harm? I only think about collateral, it will be safer.

[batang_bitcoin]

The scary thing is, giving your money to someone for investment. Is there anyone who understands this scare? I don't know if it is just me. Like for example you are going to get a loan, and then give that money to someones account, so it is all traceable and there is rarely ever anything that would be easily figured out, and yet when you are buying a real estate, a house, it is obvious and simple and tens of millions of people do it everyday right? Yet I would feel scared when buying, I would be sending money and then what if they don't give me the house?

Buying a house is different from giving your loaned money for investment. There's the process for buying a house and you should have the idea on what documents must be shown to you before you purchase that real estate. It's your negligence if you don't know anything before you buy it and let's say that you've followed the process and complete documents are there, you have the right to sue whoever is that person you're talking to that don't want to give the house. You're confused and fear would really give you that headache.

[nurilham]

I just thought that having an active loan would only burden me financially and it would make me insecure to do anything especially about work. So thankfully my financial condition is still safe now without a loan.

You need to understand that having an active loan isn't a must. So, if you don't need it, never think to have it in your life. People who try to take a loan because they have no longer money for investment, or want to get bigger profits by using loan money. So, if you don't want to take a high risk in investment and you also still have enough money for investment or for your daily needs, taking a loan is surely not needed. What for? Sure, you are very lucky that you have a good financial condition, which makes you never consider taking a loan.

[Sir Legend]

When inflation occurs, the best thing we can do is make an income post, currently there are many options for doing business and the easiest thing is to become an agent or reseller, social media helps us to actively market the products we sell, and loans can be a good solution because can increase income.

[Naficopa]

When inflation occurs, the best thing we can do is make an income post, currently there are many options for doing business and the easiest thing is to become an agent or reseller, social media helps us to actively market the products we sell, and loans can be a good solution because can increase income.

I would try to play safe. And I would not put myself in unnecessary trouble.
But there are people who love taking a risk and they would go get it. The bigger the risk the higher the profit is. or the loss.

[savetheFORUM]

the question is what if you do not own enough money for investing? can you take a loan and invest?
Because if you look deeply into charts of inflation rates in most the countries you can easily understand taking loans even with high interests could be useful and profitable.
Personally, I don't suggest doing this because using other people's money will put me under stress and this can have negative effects on my decisions. What do you think?

It's similar to taking loans when the price is down and there are many people who do that. While it's not the worst idea in the world, there are a few problems like what would happen if you need to pay the interest and the economy/price goes further down. Also there are times when the expected return is less than that of the due interest and that causes a lot of problems.

According to me, loans must be taken taking into consideration the profits you are going to make with it. Just because there is inflation doesn't sound like a great reason for taking loans. If you have done the calculation and your income will be higher than the interest, then go ahead and take the loan!

[og kush420]

the question is what if you do not own enough money for investing? can you take a loan and invest?
Because if you look deeply into charts of inflation rates in most the countries you can easily understand taking loans even with high interests could be useful and profitable.
Personally, I don't suggest doing this because using other people's money will put me under stress and this can have negative effects on my decisions. What do you think?

It's similar to taking loans when the price is down and there are many people who do that. While it's not the worst idea in the world, there are a few problems like what would happen if you need to pay the interest and the economy/price goes further down. Also there are times when the expected return is less than that of the due interest and that causes a lot of problems.

According to me, loans must be taken taking into consideration the profits you are going to make with it. Just because there is inflation doesn't sound like a great reason for taking loans. If you have done the calculation and your income will be higher than the interest, then go ahead and take the loan!

I think we should take the loan when it is needed the most.
Impulsive borrowing is like an impulsive buying and it's hard to get rid - sometime the interest rate rise and fall to such an extreme that one gets sick for losing a huge amount of investment,

[jaberwock]

When inflation occurs, the best thing we can do is make an income post, currently there are many options for doing business and the easiest thing is to become an agent or reseller, social media helps us to actively market the products we sell, and loans can be a good solution because can increase income.

I don't know how people are so calm about taking loans. I mean when I consider taking a loan, it's almost the last thing on my mind. I would rather sell my car or bike and arrange money because having a loan on my head is not something I am very calm about. It's hard to imagine what would I do if I take a loan, especially non-collateral loan from a friend or family and then struggle to pay it back on time.

I would try to play safe. And I would not put myself in unnecessary trouble.
But there are people who love taking a risk and they would go get it. The bigger the risk the higher the profit is. or the loss.

I have the same mindset, I see loans as a potential problem later on. It might be because I have seen my father struggle with loans all my life and it has subtly impacted my way of thinking.

[lalabotax]

I don't know how people are so calm about taking loans. I mean when I consider taking a loan, it's almost the last thing on my mind. I would rather sell my car or bike and arrange money because having a loan on my head is not something I am very calm about. It's hard to imagine what would I do if I take a loan, especially non-collateral loan from a friend or family and then struggle to pay it back on time.

People may feel calm because they only think about the possible profits to get from their investment by using the loan money. They never think about the risks that possibly happen in the future, they keep their optimism in using the money. But this is the wrong way, it is like to avoid thinking about the worst scenario to happen in our investment. Some loans may have a return deadline, they will panic when they realize they have no longer time to collect money to return the loan. So, they won't be calm forever, they must be like you to always think about how to return the loan money.

[Wong Gendheng]

Taking Loan is an instant solution to overcome inflation, but we must be aware that loans can make us sick and bankrupt if we do not have a strategy to use the money, if we already have a clear plan for example to make a business or increase investment then taking loans is the right idea .

[og kush420]

Taking Loan is an instant solution to overcome inflation, but we must be aware that loans can make us sick and bankrupt if we do not have a strategy to use the money, if we already have a clear plan for example to make a business or increase investment then taking loans is the right idea .

high prices are pushing up the cost of living and thereby erodes the purchasing power of the the consumers. High cost of borrowing strangles demand in interest rate-sensitive segments however this fiscal inflation is more hurting than before. In the UK the bank of England has warned that inflation might reach 10 percent within months as the process of fuel and food put pressure on household budget.

[ChiBitCTy]

Today I had a meeting with a friend of mine who teaches economics at university.
He believes when the inflation rate rises that's profitable to take a loan even with high interest to buy other assets such as gold, bitcoin, and even real estate. On one side of this theory, we usually suggest people never invest money that they can't afford to lose and don't invest the money that does not belong to them for many reasons. These are golden tips and useful in any market.
But the question is what if you do not own enough money for investing? can you take a loan and invest?
Because if you look deeply into charts of inflation rates in most the countries you can easily understand taking loans even with high interests could be useful and profitable.
Personally, I don't suggest doing this because using other people's money will put me under stress and this can have negative effects on my decisions. What do you think?

I think one should only ever be taking a loan for investments if they’ve got a considerable amount of income that seems to be set to be coming in for some time to come. Taking any sort of loan is risky in and of itself but to take a loan for some volatile investments Im not sure is a good idea regardless of interest rates. I suppose size of loan plays a big factor.

[Alisha-k]

Taking a loan for investment is only advisable if there is enough duration to pay back lets say a long term loan. Inflation and volatility goes hand in hand but for a high salary earner the risk can be considered but it must be a worthy risk. one thing i will forever kick against in taking loan for investment is never invest in a project that has given high ROI already no matter how tempting it appears

[og kush420]

I think one should only ever be taking a loan for investments if they’ve got a considerable amount of income that seems to be set to be coming in for some time to come. Taking any sort of loan is risky in and of itself but to take a loan for some volatile investments Im not sure is a good idea regardless of interest rates. I suppose size of loan plays a big factor.

I agree with you. One should risk one's own money rather than taking loan and paying interests as well.
I would rather not indulge myself in loans and unnecessary debts. The point above is well stated that one should use the extra money for this. There is no end to inflation rather earn lots and lots of money. JUST!

[Sir Legend]

When inflation occurs, there are actually many opportunities, there will be many needs that skyrocket so that by looking for substitute materials it will make us successful, taking a loan is a good idea to develop a business so that it grows rapidly during inflation, there are many opportunities during inflation, the best thing is to follow the trend which is popular.

[The Author]

But the question is what if you do not own enough money for investing? can you take a loan and invest?

I wouldn't take or even recommend taking to someone else because taking a loan to begin with already an emotional stress or tie as you would always have it at the back of your mind that you're owing wherever you may go.
Secondly, using such loans to invest in cryptocurrency is considered very unwise from my own end. because no matter how good of an analyst you are, cryptocurrency would always shock you by taking a more positive turn than expected or a negative altogether.
And at the end of the day you would still have to pay your Lender and with the high inflation as fore-mentioned, that would be a massive loss.

[Pujangga]

Of course this depends on the goal, most people take loans to fulfill their hobbies and interests such as buying cars, gadgets and so on, of course this is a difficult burden because when they want to pay installments and their needs go up, they will experience difficulties and fail to pay.

[UpiwArt]

Today I had a meeting with a friend of mine who teaches economics at university.
He believes when the inflation rate rises that's profitable to take a loan even with high interest to buy other assets such as gold, bitcoin, and even real estate. On one side of this theory, we usually suggest people never invest money that they can't afford to lose and don't invest the money that does not belong to them for many reasons. These are golden tips and useful in any market.
But the question is what if you do not own enough money for investing? can you take a loan and invest?
Because if you look deeply into charts of inflation rates in most the countries you can easily understand taking loans even with high interests could be useful and profitable.
Personally, I don't suggest doing this because using other people's money will put me under stress and this can have negative effects on my decisions. What do you think?

Take a loan in current market conditions that are not good or are getting worse with the aim of investing it
Very risky
while investing with non-loans is also risky, especially by relying on loans, but it depends on your way too because it must be considered carefully and unanimously

[blockman]

Of course this depends on the goal, most people take loans to fulfill their hobbies and interests such as buying cars, gadgets and so on, of course this is a difficult burden because when they want to pay installments and their needs go up, they will experience difficulties and fail to pay.

Those things that people are trying to fulfill with the factors you've said are just adding them with depreciating expense. If they will just put it in cars, gadgets, and any other depreciating asset, it's not worth it to take a loan as it adds interest while the thing they've purchased isn't adding value but instead losing more value in the long run. So if you're going to buy those things, it's much better to just spend your own cash and don't use loaned money for it.

[Altryist]

It's similar to taking loans when the price is down and there are many people who do that. While it's not the worst idea in the world, there are a few problems like what would happen if you need to pay the interest and the economy/price goes further down. Also there are times when the expected return is less than that of the due interest and that causes a lot of problems.

According to me, loans must be taken taking into consideration the profits you are going to make with it. Just because there is inflation doesn't sound like a great reason for taking loans. If you have done the calculation and your income will be higher than the interest, then go ahead and take the loan!

Creditors will take into account all the points that will relate to their profits, you can be sure of this. The moment of high inflation will most likely be spelled out in the paragraph on force majeure, and in this case an additional indexation on interest paid for the use of money can be applied. A loan is always higher risks, especially if they are taken for high-risk investments in cryptocurrency.

[Botnake]

That's a risky move but if you trust the asset you are investing, then it should be a great idea to take a loan.

Personally, I trust bitcoin that it will excel when our economy is hit by a high inflation rate, remember, some countries that experience a hyper inflation regulate bitcoin already as one of the legal currency to save their economy, so it's a safe haven and a good investment for me.

The good news is bitcoin is on bearish mode now, you can buy more with the money you will borrow.

[Gozie51]

The good news is bitcoin is on bearish mode now, you can buy more with the money you will borrow.

Borrow you said huh.... Lol. At any point it is not a wise decision to borrow money for cryptocurrency investment. Bitcoin being a bear and you can't say if it is at the bottom yet and it may keep sliding down  It Is not a very good advise to use another person's money to invest in bitcoin. This should be a disclaimer for newbies and people thinking this way also.

[n0ne]

The good news is bitcoin is on bearish mode now, you can buy more with the money you will borrow.

Borrow you said huh.... Lol. At any point it is not a wise decision to borrow money for cryptocurrency investment. Bitcoin being a bear and you can't say if it is at the bottom yet and it may keep sliding down  It Is not a very good advise to use another person's money to invest in bitcoin. This should be a disclaimer for newbies and people thinking this way also.

Cryptocurrency investment is high risk involved unlike the traditional market. Every country is experiencing the hardship out of the rise in price of oil and natural gas. Almost every country is experiencing inflation and the GDP have dropped drastically. The interest rates too have increased alot. By this time taking a loan for an investment into cryptocurrency is like a gamble. So, good is to stay away from loan for now.

[milewilda]

The good news is bitcoin is on bearish mode now, you can buy more with the money you will borrow.

Borrow you said huh.... Lol. At any point it is not a wise decision to borrow money for cryptocurrency investment. Bitcoin being a bear and you can't say if it is at the bottom yet and it may keep sliding down  It Is not a very good advise to use another person's money to invest in bitcoin. This should be a disclaimer for newbies and people thinking this way also.

Cryptocurrency investment is high risk involved unlike the traditional market. Every country is experiencing the hardship out of the rise in price of oil and natural gas. Almost every country is experiencing inflation and the GDP have dropped drastically. The interest rates too have increased alot. By this time taking a loan for an investment into cryptocurrency is like a gamble. So, good is to stay away from loan for now.

Its indeed a gamble if you do invest on crypto with some loan money and if you do rely with those investment returns for you to pay those loan interest then its really a bad idea.
Taking a loan for the sake of crypto investment is never been a good thing unless if you could pay it on other sources then you could really be having some chance
on making profit without any depending with those main investment of yours in crypto. Always be considerate with the risk because taking anything step
something like this wont really be that effective if you dont do some precautionary.

[doomloop]

Take a loan in current market conditions that are not good or are getting worse with the aim of investing it
Very risky
while investing with non-loans is also risky, especially by relying on loans, but it depends on your way too because it must be considered carefully and unanimously

They say that the bear is the perfect time for investing but what if what you are saying is true? What if the market will just become worst and more worsen? We cant be like that for a long time because we have a loans to pay.

We can use the bear as an opportunity for buying only if we have a money of our own that is not important so that we won't worry if how long we can make a profit and it's also okay to us if ever we lose that money. A high interest rate is good only if we are the ones that lend our money but if we are the ones that take out loans, that means we are going to pay a little higher as interest is like a service fee.

[judaspriest]

The good news is bitcoin is on bearish mode now, you can buy more with the money you will borrow.

Borrow you said huh.... Lol. At any point it is not a wise decision to borrow money for cryptocurrency investment. Bitcoin being a bear and you can't say if it is at the bottom yet and it may keep sliding down  It Is not a very good advise to use another person's money to invest in bitcoin. This should be a disclaimer for newbies and people thinking this way also.

Cryptocurrency investment is high risk involved unlike the traditional market. Every country is experiencing the hardship out of the rise in price of oil and natural gas. Almost every country is experiencing inflation and the GDP have dropped drastically. The interest rates too have increased alot. By this time taking a loan for an investment into cryptocurrency is like a gamble. So, good is to stay away from loan for now.

If you look at the news and data some time ago, indeed many countries experienced inflation.
certainly not an easy job to stabilize and commodity prices have also increased,
seeing the current conditions is certainly not the right time to make a loan for investment in crypto

[iv4n]

The good news is bitcoin is on bearish mode now, you can buy more with the money you will borrow.

Borrow you said huh.... Lol. At any point it is not a wise decision to borrow money for cryptocurrency investment. Bitcoin being a bear and you can't say if it is at the bottom yet and it may keep sliding down  It Is not a very good advise to use another person's money to invest in bitcoin. This should be a disclaimer for newbies and people thinking this way also.

In this stadium, we can say that people who took loans to invest in crypto are in profit! More specifically people who did that before 2020! It's a risky investment, I agree with that part, but if you believe in something if you plan to invest in the long run then it's a different story! Now it's a bearish period, and the price can drop more, who knows, to take advantage of "buy the deep" you will have to have money at the specific moment, if you don't have it I guess it's ok to take one that you will repay from your salary in a year or two, and you will have your investment for the future!

[Lubang Bawah]

High inflation is dangerous if we take loans at banks, usually banks always follow the trends that are happening so that it can make our debts increase significantly, when taking loans then the best thing is used for business or business capital, because if we are not good at managing debt Then it will make us regret.

[Awwal08]

Taking a loan at a period of high inflation, is not my opinion, is the largest risk, because buying anything during that time is like preparing to pay back the debt plus interest. During that time, I am not in favor of taking a loan.

[teosanru]

Today I had a meeting with a friend of mine who teaches economics at university.
He believes when the inflation rate rises that's profitable to take a loan even with high interest to buy other assets such as gold, bitcoin, and even real estate. On one side of this theory, we usually suggest people never invest money that they can't afford to lose and don't invest the money that does not belong to them for many reasons. These are golden tips and useful in any market.
But the question is what if you do not own enough money for investing? can you take a loan and invest?
Because if you look deeply into charts of inflation rates in most the countries you can easily understand taking loans even with high interests could be useful and profitable.
Personally, I don't suggest doing this because using other people's money will put me under stress and this can have negative effects on my decisions. What do you think?

I don't understand what is the logic behind this? The basic mathematics is that you have to invest in any asset which will give you a better interest rate than what you are paying for your loan or borrowing only then it can be said that it's profitable otherwise you are just struggling to pay interest, second thing here will be the cash flow loan interest generally you have to pay in cash while returns on investment you might not get in cash those will be reinvested. So this is financially wrong, also in times of high inflation you will find interest rates are also pretty exorbitant so technically makes no sense to do this.

[BITCOIN4X]

They say that the bear is the perfect time for investing but what if what you are saying is true? What if the market will just become worst and more worsen? We cant be like that for a long time because we have a loans to pay.

In a market situation like this I don't think borrowing will be very profitable. The worst risk is that the loan will fail due to falling asset prices, this will be a big problem for the borrower. It may be more realistic to think that a loan can be made securely if the borrower and the owner of the fund both agree on the consequences.

We can use the bear as an opportunity for buying only if we have a money of our own that is not important so that we won't worry if how long we can make a profit and it's also okay to us if ever we lose that money.

Of course I would agree with this choice because all investment risks are at our own risk without worrying about loan repayments.

[Hamphser]

Today I had a meeting with a friend of mine who teaches economics at university.
He believes when the inflation rate rises that's profitable to take a loan even with high interest to buy other assets such as gold, bitcoin, and even real estate. On one side of this theory, we usually suggest people never invest money that they can't afford to lose and don't invest the money that does not belong to them for many reasons. These are golden tips and useful in any market.
But the question is what if you do not own enough money for investing? can you take a loan and invest?
Because if you look deeply into charts of inflation rates in most the countries you can easily understand taking loans even with high interests could be useful and profitable.
Personally, I don't suggest doing this because using other people's money will put me under stress and this can have negative effects on my decisions. What do you think?

I don't understand what is the logic behind this? The basic mathematics is that you have to invest in any asset which will give you a better interest rate than what you are paying for your loan or borrowing only then it can be said that it's profitable otherwise you are just struggling to pay interest, second thing here will be the cash flow loan interest generally you have to pay in cash while returns on investment you might not get in cash those will be reinvested. So this is financially wrong, also in times of high inflation you will find interest rates are also pretty exorbitant so technically makes no sense to do this.

Profit wise then we do know the benefits or advantage thats why some people do really take risk on getting a loan because they do know those probabilities but considering yourself putting some funds or investment in

crypto which wont really make out any assurance of profits but once it does then we know that it could give out those enormous profits which is something that you cant find on any investment or to those typical.

Its not that recommended on taking up some loan but there are instances or situations which there are exemptions or does really need such action.

[barbara44]

The tricky part is that when you are getting a loan is the fact that you are paying high interest rate as well, it is not going to be that simple. So, let’s assume that in regular periods, it is like 3%, and the inflation is 2% for example, this is just an example, during high inflation period, it will be 10% interest rate, and 7% inflation.

So, you are right that if it goes on like that, then you will profit because you will be in a situation where the money you pay will not be that much after a while, fixed rate will allow that. But at the same time, when we are talking about something regarding inflation dropping down, meaning rate could go down as well, which would ruin your plans if it happens.

[qwertyup23]

The good news is bitcoin is on bearish mode now, you can buy more with the money you will borrow.

Borrow you said huh.... Lol. At any point it is not a wise decision to borrow money for cryptocurrency investment. Bitcoin being a bear and you can't say if it is at the bottom yet and it may keep sliding down  It Is not a very good advise to use another person's money to invest in bitcoin. This should be a disclaimer for newbies and people thinking this way also.

Cryptocurrency investment is high risk involved unlike the traditional market. Every country is experiencing the hardship out of the rise in price of oil and natural gas. Almost every country is experiencing inflation and the GDP have dropped drastically. The interest rates too have increased alot. By this time taking a loan for an investment into cryptocurrency is like a gamble. So, good is to stay away from loan for now.

Though this may be the case, investing into cryptocurrencies can have positive effects if you truly aim for long-term investment.

Given that the nature of cryptocurrencies are deflationary and limited in character, you can purchase and HODL them for long-term. As a rule that can be applied to all investments, only invest the amount that you are willing to lose. In addition, always have a clear goal and plan towards your investments if you truly plan on profiting in the end. It is also advisable to create a contingency plan to know the minimum/maximum profit or loss you are wiling to shoulder.

[teosanru]

Today I had a meeting with a friend of mine who teaches economics at university.
He believes when the inflation rate rises that's profitable to take a loan even with high interest to buy other assets such as gold, bitcoin, and even real estate. On one side of this theory, we usually suggest people never invest money that they can't afford to lose and don't invest the money that does not belong to them for many reasons. These are golden tips and useful in any market.
But the question is what if you do not own enough money for investing? can you take a loan and invest?
Because if you look deeply into charts of inflation rates in most the countries you can easily understand taking loans even with high interests could be useful and profitable.
Personally, I don't suggest doing this because using other people's money will put me under stress and this can have negative effects on my decisions. What do you think?

I don't understand what is the logic behind this? The basic mathematics is that you have to invest in any asset which will give you a better interest rate than what you are paying for your loan or borrowing only then it can be said that it's profitable otherwise you are just struggling to pay interest, second thing here will be the cash flow loan interest generally you have to pay in cash while returns on investment you might not get in cash those will be reinvested. So this is financially wrong, also in times of high inflation you will find interest rates are also pretty exorbitant so technically makes no sense to do this.

Profit wise then we do know the benefits or advantage thats why some people do really take risk on getting a loan because they do know those probabilities but considering yourself putting some funds or investment in

crypto which wont really make out any assurance of profits but once it does then we know that it could give out those enormous profits which is something that you cant find on any investment or to those typical.

Its not that recommended on taking up some loan but there are instances or situations which there are exemptions or does really need such action.

I don't agree with you one this. Infact if you see in longer term Cryptos has always assured you profit (obviously if you were wise enough to keep everything in safe coins and not shitcoins). So this is assured that you will repay the loan and end up in profit. The only doubt is the cash flow. You might have to repay the loan at a time when there is market collapse, not to forget regular interest payments are due which you obviously won't be able to pay in bearish times.

[Fatunad]

Today I had a meeting with a friend of mine who teaches economics at university.
He believes when the inflation rate rises that's profitable to take a loan even with high interest to buy other assets such as gold, bitcoin, and even real estate. On one side of this theory, we usually suggest people never invest money that they can't afford to lose and don't invest the money that does not belong to them for many reasons. These are golden tips and useful in any market.
But the question is what if you do not own enough money for investing? can you take a loan and invest?
Because if you look deeply into charts of inflation rates in most the countries you can easily understand taking loans even with high interests could be useful and profitable.
Personally, I don't suggest doing this because using other people's money will put me under stress and this can have negative effects on my decisions. What do you think?

I don't understand what is the logic behind this? The basic mathematics is that you have to invest in any asset which will give you a better interest rate than what you are paying for your loan or borrowing only then it can be said that it's profitable otherwise you are just struggling to pay interest, second thing here will be the cash flow loan interest generally you have to pay in cash while returns on investment you might not get in cash those will be reinvested. So this is financially wrong, also in times of high inflation you will find interest rates are also pretty exorbitant so technically makes no sense to do this.

Profit wise then we do know the benefits or advantage thats why some people do really take risk on getting a loan because they do know those probabilities but considering yourself putting some funds or investment in

crypto which wont really make out any assurance of profits but once it does then we know that it could give out those enormous profits which is something that you cant find on any investment or to those typical.

Its not that recommended on taking up some loan but there are instances or situations which there are exemptions or does really need such action.

I don't agree with you one this. Infact if you see in longer term Cryptos has always assured you profit (obviously if you were wise enough to keep everything in safe coins and not shitcoins). So this is assured that you will repay the loan and end up in profit. The only doubt is the cash flow. You might have to repay the loan at a time when there is market collapse, not to forget regular interest payments are due which you obviously won't be able to pay in bearish times.

Deal with the interest because its been there since from the start and you are fully aware of it before you do take a loan and on the time that you had applied then you had just
basically accepted with those terms which i dont see the thing or right action yet you are the ones who had dealt on it which you should accept the risk on paying those interest
whether its a bull or bear market.Its up to you or its up to your own choice as long you do agree with the terms and conditions then you wont really be having any
choice but to pay those interest no matter what.

[Markinzo]

Taking loan to invest in business or real estate housing is very much meaning decision to go with knowing full well that on the long run at the end of it all the proceeds will be used to fixed the loan and whatever interest that comes with it.

It's only wrong and not advisable in anyway , for someone to go taking loan to use in investing into crypto no matter how juicy profitable the coin might promise. It is always an unpredictable situation and  this can ruine one's career as you may spend many years of your life paying loan for money you never profited from.

Another mistake that people make which the OP didn't mention though, is taking a loan to pay another loan. Like What does such situation leaves you with?

[STT]

We have high inflation right now and you have more then a hint why its still dangerous to take a loan. There is great upset and possible volatility and instability to the economy while that inflation takes place, not every person can be sure of repaying the loan so confidence is low.  Low confidence across an entire economy leads to low growth feeding the problems that might be causing the inflation to begin with.
  There is no ideal isolated scenario for this, the study and theory of taking the loan is quite different from the reality unfortunately but its not incorrect still.

[og kush420]

We have high inflation right now and you have more then a hint why its still dangerous to take a loan. There is great upset and possible volatility and instability to the economy while that inflation takes place, not every person can be sure of repaying the loan so confidence is low.  Low confidence across an entire economy leads to low growth feeding the problems that might be causing the inflation to begin with.
  There is no ideal isolated scenario for this, the study and theory of taking the loan is quite different from the reality unfortunately but its not incorrect still.

Do not invite trouble. Play safe. Loans are not the way to become rich again.
How ever the hidden charges are sometime too hard to be back on the feet once again. Better be safe than sorry.

[livingfree]

Do not invite trouble. Play safe. Loans are not the way to become rich again.

On the other side, the loaner is the one that will be rich if the rates have increased. But honestly, who on Earth is looking to take loans and will think that he's going to get rich out of it? Well, maybe by taking loans and using it for business purposes, I guess that's the idea you're trying to convey.

How ever the hidden charges are sometime too hard to be back on the feet once again. Better be safe than sorry.

Hidden or not, charges can't be skipped and that's given if you've taken a loan. That's how it goes and what I think about these loans is that if you're in need of cash and you're starting to prep yourself for the upcoming recession, you'll be needing cash and there could be people that will use it as their stored cash.

Well, that's very much possible.

[Kimonoe]

We have high inflation right now and you have more then a hint why its still dangerous to take a loan. There is great upset and possible volatility and instability to the economy while that inflation takes place, not every person can be sure of repaying the loan so confidence is low.  Low confidence across an entire economy leads to low growth feeding the problems that might be causing the inflation to begin with.
  There is no ideal isolated scenario for this, the study and theory of taking the loan is quite different from the reality unfortunately but its not incorrect still.

Do not invite trouble. Play safe. Loans are not the way to become rich again.
How ever the hidden charges are sometime too hard to be back on the feet once again. Better be safe than sorry.

Indeed, by relying on loans we have a double risk, considering that we will not know for sure market movements, plus we have dependents on our loans. therefore if you borrow to just gamble by relying on luck, then this is very unsafe. Many people have experienced frustration because of their expectations of getting a lot of money in a short time, while they only rely on luck

[Uang_kartal]

~Snip~ On the other side, the loaner is the one that will be rich if the rates have increased. But honestly, who on Earth is looking to take loans and will think that he's going to get rich out of it? Well, maybe by taking loans and using it for business purposes, I guess that's the idea you're trying to convey.

true bro. I've heard that there are some people who do business lending money, he doesn't care for what and his abilities, the logic is simple if the consumption of funds in liquidity is not directed (try it) then where to return it to the owner.
if for a capital and supporting business foundations, I think the reserve funds are legitimate and will be more useful.
if crypto currency and everything in it is started by borrowing it will start a fire. Until now we don't know how long the market will recover. We can't stand cold funds anymore because it's been bearish for a long time.

[GelatikKembar]

We have high inflation right now and you have more then a hint why its still dangerous to take a loan. There is great upset and possible volatility and instability to the economy while that inflation takes place, not every person can be sure of repaying the loan so confidence is low.  Low confidence across an entire economy leads to low growth feeding the problems that might be causing the inflation to begin with.
  There is no ideal isolated scenario for this, the study and theory of taking the loan is quite different from the reality unfortunately but its not incorrect still.

Do not invite trouble. Play safe. Loans are not the way to become rich again.
How ever the hidden charges are sometime too hard to be back on the feet once again. Better be safe than sorry.

Indeed, by relying on loans we have a double risk, considering that we will not know for sure market movements, plus we have dependents on our loans. therefore if you borrow to just gamble by relying on luck, then this is very unsafe. Many people have experienced frustration because of their expectations of getting a lot of money in a short time, while they only rely on luck

Besides that, with the current bear market conditions, I don't think borrowing money to trade or invest is not the right decision,
we must be wise in making decisions because if we make a little mistake then it will cost us money,
but what is clear is that everyone has their own decisions and they must be responsible for it themselves

[og kush420]

i
Besides that, with the current bear market conditions, I don't think borrowing money to trade or invest is not the right decision,
we must be wise in making decisions because if we make a little mistake then it will cost us money,
but what is clear is that everyone has their own decisions and they must be responsible for it themselves

Indeed I think twice before borrowing money. TO me having someone's money in my wallet seems to have burden on me.
I want to invest and earn but with my money for which I am not answerable to anyone. That is the big freedome - I want to enjoy!

[Ziskinberg]

Today I had a meeting with a friend of mine who teaches economics at university.
He believes when the inflation rate rises that's profitable to take a loan even with high interest to buy other assets such as gold, bitcoin, and even real estate. On one side of this theory, we usually suggest people never invest money that they can't afford to lose and don't invest the money that does not belong to them for many reasons. These are golden tips and useful in any market.
But the question is what if you do not own enough money for investing? can you take a loan and invest?
Because if you look deeply into charts of inflation rates in most the countries you can easily understand taking loans even with high interests could be useful and profitable.
Personally, I don't suggest doing this because using other people's money will put me under stress and this can have negative effects on my decisions. What do you think?

If you have another sources that can generate an income, taking loans may give advantage to you like if you want to increase or widen your investments. The more investments you have, the higher the chances you will live a good and profitable life. But if you only want to take loans for your first time investment, most likely it would not work. There are still no guarantees that you will succeed on it so how would you repay the loan amount. Believe me, it will only give you a lot of headaches. Better save then invest. And only invest what you can afford to lose.

[carlfebz2]

Today I had a meeting with a friend of mine who teaches economics at university.
He believes when the inflation rate rises that's profitable to take a loan even with high interest to buy other assets such as gold, bitcoin, and even real estate. On one side of this theory, we usually suggest people never invest money that they can't afford to lose and don't invest the money that does not belong to them for many reasons. These are golden tips and useful in any market.
But the question is what if you do not own enough money for investing? can you take a loan and invest?
Because if you look deeply into charts of inflation rates in most the countries you can easily understand taking loans even with high interests could be useful and profitable.
Personally, I don't suggest doing this because using other people's money will put me under stress and this can have negative effects on my decisions. What do you think?

If you have another sources that can generate an income, taking loans may give advantage to you like if you want to increase or widen your investments. The more investments you have, the higher the chances you will live a good and profitable life. But if you only want to take loans for your first time investment, most likely it would not work. There are still no guarantees that you will succeed on it so how would you repay the loan amount. Believe me, it will only give you a lot of headaches. Better save then invest. And only invest what you can afford to lose.

Another source of income would be the key because you wont really be able to pay those loans or debts if you do only rely with your crypto investment since we know that it wont really give out any assurance

that you could make out profits on the right time and if you do depend on those gains then this is something that wont really be that effective yet we know that everything is unpredictable or cant be known.

Taking loan for crypto investment is something a risky thing to be done but if you do see some opportunity and you could pay it out without any problems then i dont see any issues with it.

[lalabotax]

Do not invite trouble. Play safe. Loans are not the way to become rich again.

Sure. Taking a loan isn't the right way to be rich, I am sure everyone knows it. Having a loan probably makes us in a trouble because we may be difficult to pay the loan. But some people don't care about the risk and just take a loan confidently. They may think to pay the loan isn't something very hard because there should be many ways then. Even some people take a new loan to pay their previous loan. They don't know if it will be a big trouble in the future.

[EdenHazard]

Do not invite trouble. Play safe. Loans are not the way to become rich again.

Sure. Taking a loan isn't the right way to be rich, I am sure everyone knows it. Having a loan probably makes us in a trouble because we may be difficult to pay the loan. But some people don't care about the risk and just take a loan confidently. They may think to pay the loan isn't something very hard because there should be many ways then. Even some people take a new loan to pay their previous loan. They don't know if it will be a big trouble in the future.

Well sometimes you need to take that high risk to get that high return... otherwise yeah you will just living a standard life , im not saying taking loan is the only way ..
But hey let's see someone's success story , they always invite the third party to come in to invest , to take a loan just like elon musk who bought twitter with money that he loaned.

High risk , high return... that's all .. the crisis like this could be an opportunity for the high risk taker.

[livingfree]

~Snip~ On the other side, the loaner is the one that will be rich if the rates have increased. But honestly, who on Earth is looking to take loans and will think that he's going to get rich out of it? Well, maybe by taking loans and using it for business purposes, I guess that's the idea you're trying to convey.

true bro. I've heard that there are some people who do business lending money, he doesn't care for what and his abilities, the logic is simple if the consumption of funds in liquidity is not directed (try it) then where to return it to the owner.
if for a capital and supporting business foundations, I think the reserve funds are legitimate and will be more useful.
if crypto currency and everything in it is started by borrowing it will start a fire. Until now we don't know how long the market will recover. We can't stand cold funds anymore because it's been bearish for a long time.

I've got relatives that are into this business and became rich.

We have read stories about people that have took a loan for the purpose of investing in the crypto market. Sadly, majority of those people have failed and we didn't want that to happen to them and for the others that will do the same thing.

If it's about taking a loan for crypto, much better people shouldn't do it. But if you know what you will do very much, take the risk and take the consequence, positive or mostly negative.

[bitterguy28]

Do not invite trouble. Play safe. Loans are not the way to become rich again.

Sure. Taking a loan isn't the right way to be rich, I am sure everyone knows it. Having a loan probably makes us in a trouble because we may be difficult to pay the loan. But some people don't care about the risk and just take a loan confidently. They may think to pay the loan isn't something very hard because there should be many ways then. Even some people take a new loan to pay their previous loan. They don't know if it will be a big trouble in the future.

Well sometimes you need to take that high risk to get that high return... otherwise yeah you will just living a standard life , im not saying taking loan is the only way ..
But hey let's see someone's success story , they always invite the third party to come in to invest , to take a loan just like elon musk who bought twitter with money that he loaned.

High risk , high return... that's all .. the crisis like this could be an opportunity for the high risk taker.

It may be right but there is no assurance in crypto investment and dealing with this using our Loan money is really not that good idea for me.

I have a friend back in 2017 who do the same and yes he used to earn but with His greed mind? he turns out as loser, and now I will neber apply the same thing for this matter,

But of course if depend on how we wanted to do our dealings , though always remember that in volatile market? there is always a high risks.

[og kush420]

We have read stories about people that have took a loan for the purpose of investing in the crypto market. Sadly, majority of those people have failed and we didn't want that to happen to them and for the others that will do the same thing.

If it's about taking a loan for crypto, much better people shouldn't do it. But if you know what you will do very much, take the risk and take the consequence, positive or mostly negative.

since its a gambling too. There are many religious people who thing that this is not the fine way to earn money.
And this crypto money is an easy money - there are so many factors involved which has made people realized that the easy money goes easy. So people are disheartened too.

[fullhdpixel]

In this stadium, we can say that people who took loans to invest in crypto are in profit! More specifically people who did that before 2020! It's a risky investment, I agree with that part, but if you believe in something if you plan to invest in the long run then it's a different story! Now it's a bearish period, and the price can drop more, who knows, to take advantage of "buy the deep" you will have to have money at the specific moment, if you don't have it I guess it's ok to take one that you will repay from your salary in a year or two, and you will have your investment for the future!

The same could be said in reverse for people who did it in 2021 though. Like if they got a loan and bought at 60k then they are in a big big loss right now, not only they will fail to pay their loan back, but they will also fail to make any profit at all as well. Remember, these people who take a loan, pays with interest back as well, so if it is a long term deal, then they would eventually have to spend that money on regular life stuff that they can't right now.

Just to give an example, I need only 200 bucks to pay off my debt leftover, I paid everything else, and I am doing pretty well for myself, and the only payment I make right now is like 70 bucks a month, for another 3 months and I am done with it, and yet I am still not paying it full even if I can. Because, I want my cash with me to survive, that extra 140 bucks is needed to survive, and you are telling me people would pay it back in full if they profit or loss? Doubt so.

[virasisog]

We have read stories about people that have took a loan for the purpose of investing in the crypto market. Sadly, majority of those people have failed and we didn't want that to happen to them and for the others that will do the same thing.

If it's about taking a loan for crypto, much better people shouldn't do it. But if you know what you will do very much, take the risk and take the consequence, positive or mostly negative.

since its a gambling too. There are many religious people who thing that this is not a fine way to earn money.
And this crypto money is easy - there are so many factors involved which have made people realize that easy money goes easy. So people are disheartened too.

Gambling has its risk as well as crypto investment and it depends on how we're going to deal with those risks but we're digging into a worse situation if we will loan just to enter any of the two. We should know that there will be consequences if we will loan and won't pay our debts on time. I guess it would be better if we'll pick the risk that we could handle but loaning for crypto-investment isn't really a wise idea. Just save and use your own funds so you won't regret loaning if ever you fail in investing.

[Lanatsa]

We have read stories about people that have took a loan for the purpose of investing in the crypto market. Sadly, majority of those people have failed and we didn't want that to happen to them and for the others that will do the same thing.

If it's about taking a loan for crypto, much better people shouldn't do it. But if you know what you will do very much, take the risk and take the consequence, positive or mostly negative.

since its a gambling too. There are many religious people who thing that this is not a fine way to earn money.
And this crypto money is easy - there are so many factors involved which have made people realize that easy money goes easy. So people are disheartened too.

Gambling has its risk as well as crypto investment and it depends on how we're going to deal with those risks but we're digging into a worse situation if we will loan just to enter any of the two. We should know that there will be consequences if we will loan and won't pay our debts on time. I guess it would be better if we'll pick the risk that we could handle but loaning for crypto-investment isn't really a wise idea. Just save and use your own funds so you won't regret loaning if ever you fail in investing.

Taking loan and make use of it in investment is much more better than on taking a loan just for the sake of gambling which i do see to be a dumb decision for someone to make considering the risk level would really be

high and its not recommendable but there are some exemptions on some situations where you do need to take some action specially into times where opportunity like this example with the current market today

where everything is really on deep reds where cheap coins are everywhere.If you do wait for some slump then this time would be the best ones for you to make out such step.

[EdenHazard]

Do not invite trouble. Play safe. Loans are not the way to become rich again.

Sure. Taking a loan isn't the right way to be rich, I am sure everyone knows it. Having a loan probably makes us in a trouble because we may be difficult to pay the loan. But some people don't care about the risk and just take a loan confidently. They may think to pay the loan isn't something very hard because there should be many ways then. Even some people take a new loan to pay their previous loan. They don't know if it will be a big trouble in the future.

Well sometimes you need to take that high risk to get that high return... otherwise yeah you will just living a standard life , im not saying taking loan is the only way ..
But hey let's see someone's success story , they always invite the third party to come in to invest , to take a loan just like elon musk who bought twitter with money that he loaned.

High risk , high return... that's all .. the crisis like this could be an opportunity for the high risk taker.

It may be right but there is no assurance in crypto investment and dealing with this using our Loan money is really not that good idea for me.

I have a friend back in 2017 who do the same and yes he used to earn but with His greed mind? he turns out as loser, and now I will neber apply the same thing for this matter,

But of course if depend on how we wanted to do our dealings , though always remember that in volatile market? there is always a high risks.

Actually if you are newcomer and have not the experience doing the crypto investment at all .. then it's a total disaster. At least you need to bei experienced for a couple years knowing the up and downs .. the exceptional feeling on getting a huge profit .. the misery on falling apart overnight etc then you will have a better sights on how crypto investment should be done with the money you get from a loan.

Not really good idea but yeah the best way to get rich for the risk taker.

[Zanab247]

We have high inflation right now and you have more then a hint why its still dangerous to take a loan. There is great upset and possible volatility and instability to the economy while that inflation takes place, not every person can be sure of repaying the loan so confidence is low.  Low confidence across an entire economy leads to low growth feeding the problems that might be causing the inflation to begin with.
  There is no ideal isolated scenario for this, the study and theory of taking the loan is quite different from the reality unfortunately but its not incorrect still.

I don't think, it is good for anyone to take a loan to invest in crypto investment in this period of higher inflation because it will be very difficult for such person to recover the money back from his or her investment, because crypto market is unpredictable, it can increase today and dump tomorrow. Since the inflation is everywhere, i think is not advisable for anyone to demand for loan either from bank or company because it will be difficult for the person to pay back the loan based on higher inflation that is disturbing the world economy.

[Hamphser]

We have high inflation right now and you have more then a hint why its still dangerous to take a loan. There is great upset and possible volatility and instability to the economy while that inflation takes place, not every person can be sure of repaying the loan so confidence is low.  Low confidence across an entire economy leads to low growth feeding the problems that might be causing the inflation to begin with.
  There is no ideal isolated scenario for this, the study and theory of taking the loan is quite different from the reality unfortunately but its not incorrect still.

I don't think, it is good for anyone to take a loan to invest in crypto investment in this period of higher inflation because it will be very difficult for such person to recover the money back from his or her investment, because crypto market is unpredictable, it can increase today and dump tomorrow. Since the inflation is everywhere, i think is not advisable for anyone to demand for loan either from bank or company because it will be difficult for the person to pay back the loan based on higher inflation that is disturbing the world economy.

Paying back would really be your primary concern whenever you do took some loan but if you could do this via other sources of income then go ahead and proceed but if you are relying with crypto investment profits

then you are in great trouble because there's no assurance that it would really be having some gaining momentum or bullish moment which does simply imply that your investment will depending on how the market
moves and thats why its never been ideal on taking some loan on a market which is unpredictable. Invest if you do see to be worth but of course you should be mindful about with the corresponding
risk so that you wont really be shocking out yourself if you do face up volatility issues.

[paxmao]

Today I had a meeting with a friend of mine who teaches economics at university.
He believes when the inflation rate rises that's profitable to take a loan even with high interest to buy other assets such as gold, bitcoin, and even real estate. On one side of this theory, we usually suggest people never invest money that they can't afford to lose and don't invest the money that does not belong to them for many reasons. These are golden tips and useful in any market.
But the question is what if you do not own enough money for investing? can you take a loan and invest?
Because if you look deeply into charts of inflation rates in most the countries you can easily understand taking loans even with high interests could be useful and profitable.
Personally, I don't suggest doing this because using other people's money will put me under stress and this can have negative effects on my decisions. What do you think?

Debt is debt. What I mean is that no matter how you take debt, it will always put you under an obligation. That needs to be managed by taking the right amount, from the right lenders and for the right time and interest rate.

A completely different matter is the technical effect of inflation, which is very beneficial for the debtor, as long as the income that serves the debt increases with inflation (typically salaries, rents, ...), but careful if used to buy bitcoin, shares or bonds!

[Pejoh Asu]

When inflation occurs, many people panic and sell anything to meet their needs, some even owe for many things from useless such as consumption to productive things such as business and investment, of course, depending on the situation whether we are worthy of debt or not, if it is very emergency Or need business capital, then this is of course a productive debt.

[Lanatsa]

Today I had a meeting with a friend of mine who teaches economics at university.
He believes when the inflation rate rises that's profitable to take a loan even with high interest to buy other assets such as gold, bitcoin, and even real estate. On one side of this theory, we usually suggest people never invest money that they can't afford to lose and don't invest the money that does not belong to them for many reasons. These are golden tips and useful in any market.
But the question is what if you do not own enough money for investing? can you take a loan and invest?
Because if you look deeply into charts of inflation rates in most the countries you can easily understand taking loans even with high interests could be useful and profitable.
Personally, I don't suggest doing this because using other people's money will put me under stress and this can have negative effects on my decisions. What do you think?

Debt is debt. What I mean is that no matter how you take debt, it will always put you under an obligation. That needs to be managed by taking the right amount, from the right lenders and for the right time and interest rate.

A completely different matter is the technical effect of inflation, which is very beneficial for the debtor, as long as the income that serves the debt increases with inflation (typically salaries, rents, ...), but careful if used to buy bitcoin, shares or bonds!

Yeah, no matter in what form it would be it will still be considered debt and its your obligation to pay no matter what thats why its important that you should think twice or thrice whenever you do decide on taking one.

Be sure that you could able to repay on the right time to avoid some interest problems due to those delays.Its not bad to take some loan for some investment but at least you should make or do your own research.

Take loan if you are responsible enough on repaying those in time or you wont see it as a problem but if its opposite then better skip out.

[Japinat]

Today I had a meeting with a friend of mine who teaches economics at university.
He believes when the inflation rate rises that's profitable to take a loan even with high interest to buy other assets such as gold, bitcoin, and even real estate. On one side of this theory, we usually suggest people never invest money that they can't afford to lose and don't invest the money that does not belong to them for many reasons. These are golden tips and useful in any market.
But the question is what if you do not own enough money for investing? can you take a loan and invest?
Because if you look deeply into charts of inflation rates in most the countries you can easily understand taking loans even with high interests could be useful and profitable.
Personally, I don't suggest doing this because using other people's money will put me under stress and this can have negative effects on my decisions. What do you think?

If you are sure that it will profit in the next possible months, then its never wrong to take a loan. But the problem is, crypto never guarantees when will you make a profit, even if you come to invest in bitcoin which is the most prominent crypto asset. The reason why we should not consider taking loans especially with high interest as you might lose your money if you mismanage your investments. Just save and invest a portion of it, that way you will always be safe from huge loss.

[og kush420]

Paying back would really be your primary concern whenever you do took some loan but if you could do this via other sources of income then go ahead and proceed but if you are relying with crypto investment profits

then you are in great trouble because there's no assurance that it would really be having some gaining momentum or bullish moment which does simply imply that your investment will depending on how the market
moves and thats why its never been ideal on taking some loan on a market which is unpredictable. Invest if you do see to be worth but of course you should be mindful about with the corresponding
risk so that you wont really be shocking out yourself if you do face up volatility issues.

To me paying back is a real thing.
I dont take loans neither I suggest anyone to take loans. At this point of time where there is so much uncertainty - one should be very careful in dealing with leans and finances.

[Freeesta]

Today I had a meeting with a friend of mine who teaches economics at university.
He believes when the inflation rate rises that's profitable to take a loan even with high interest to buy other assets such as gold, bitcoin, and even real estate. On one side of this theory, we usually suggest people never invest money that they can't afford to lose and don't invest the money that does not belong to them for many reasons. These are golden tips and useful in any market.
But the question is what if you do not own enough money for investing? can you take a loan and invest?
Because if you look deeply into charts of inflation rates in most the countries you can easily understand taking loans even with high interests could be useful and profitable.
Personally, I don't suggest doing this because using other people's money will put me under stress and this can have negative effects on my decisions. What do you think?

I think it depends on the character of the person. If a person is willing to take risks, then you can make an attempt to take a loan. Will this risk be justified? Nobody will give guarantees.If the situation in the country soon stabilizes and this interest rate hike is temporary, then it might not be worth the risk. Unfortunately, we cannot build long-term forecasts regarding market stability and make investments at our own discretion. Probably there are people who will pay off such investments.

[og kush420]

I think it depends on the character of the person. If a person is willing to take risks, then you can make an attempt to take a loan. Will this risk be justified? Nobody will give guarantees.If the situation in the country soon stabilizes and this interest rate hike is temporary, then it might not be worth the risk. Unfortunately, we cannot build long-term forecasts regarding market stability and make investments at our own discretion. Probably there are people who will pay off such investments.

During this time - when there is so much inflation and people are very upset for the increased price and everything looks barish.
I am not sure if it is the right time to take such kind of step. At least i won't do it. Too risky!