Miracle of Compound Interest!
This is when things get serious. We’ve
got a long way to go so let’s get to work.
I wanted to begin this session by giving
you a quick task. It won't take long but my intention through
Omniscience is to keep feeding
in practicle ways of achieving freedom.
My new religion is not designed for completation, it's
about doing things right now for the rewards available
to you now. I don't profess to have all-consuming power,
I am not a miracle maker ... I am however able to ofer
you the odd 'real-world' wonder!
If you are leveraging Compound interest
right now read on because I hope that by the end you'll
realise how important it is to maximise it.
The currency I use in examples is irrelevant
as the systems covered are universal. It is the formulae
you need to concentrate on, how they work and what they
can do for you.
Anyway I’m the author and it’s
my prerogative to use whatever currency I like and take
full advantage of my artistic licence. So if you don't
like dollars then think in your own monetary denominations.
Each individual income stream
we implement will not make you rich ...
We are building multiple streams and as each tributary
flows into the main waterway it acumulates until the
torrent is unstoppable.
Trace the Nile to it's source and it begins
life as a tiny little spring. As it journeys through Africa
it's fed by small offshoots and riverlets until ... You
get the picture!
A question for you:
Which would you rather have?
- A million dollars today
- One dollar doubling every day for a
Well if you chose (2), by day 27 you would
have $67,108,864 Yes that’s
sixty seven million odd!
And it’s not even the end of the
This is an extreme case detailing the
affect of Compound interest, but it illustrates the point
- and no, I do not know where you can get a return of 100%
Compound interest per day!!!
Compound interest has been described as
the ‘eighth wonder of the world’.
It works by taking your investment and paying you interest on it. The next
interest payment is then calculated on the original investment plus
the interest. This keeps happening until you cash in. I'm probably
not telling you anyting you don't already know here but what I do know is that
most people dismiss the awesome power of Compound interest because they never
see the true potential of this phenomenon.
Most people are stuck between a rock and a hard thing; they never see the big
The dollar doubling each day
||This area is the small picture and where Mr/Mrs Average
live their lives.
||Look what’s starting to happen to your dollar
||Things are starting to look interesting, eh?
|It gets better!!!
||The miracle has unfolded, and where we want to be
|| My calculator won’t go any further!!!!
Compound interest works in the same way
as the snowball rolling down the hill. It starts as a tiny
snowflake that hits the right gradient. It begins to roll
collecting more snowflakes as it goes, gathering speed
and momentum until that once tiny, harmless flake has grown
into an unstoppable avalanche.
If you aren’t already aware of the
power of Compound interest then I’m introducing you
to it now because we all need to be saving money on a regular
basis, we all need be letting the magic work for us. You
need to be collecting snowflakes now in order to create
an avalanche later.
You must go out and find
the highest Compound interest bearing savings plan
you can find.
If not already you need to start saving
You can, and probably will say: "I can’t afford to save, I have
no spare money."
If you do have a savings plan you may say: "I can’t afford to
put any more away each month."
There is not one person who will
not be able to save on regular basis. At this point we are talking about $1.00
per day - $30 per month as a minimum!
Ideal case scenario is that you put away the maximum you can
afford. Compound interest is passive, its a phenomenon that toils away 24/7
- 365 (24 hours a day, 365 days a year).
I once met a man who made his money from slot machines. When asked: "is
there really any money in running them?"
He replied:"put it this way,
whilst I’m stood here discussing this, people are
putting money in my pocket. When I’m sat at the
dinner table with the family on a Sunday, people are
filling my machines and when I’m sleeping, people
are parting with their loose change."
miracle of Compound interest, cash
passivly fills the coffers without any extra effort from
If you don’t save at the moment
you have to open a savings account now. We are laying the
foundations for your future. Don’t even think about
it at this stage.
As they say at Nike - just do it!
"I can’t, what if, I need this for that"... SHUT
I could fill the next three pages by telling you how you can find an extra
couple of quid a day. Cut down on smoking, drink a couple of pints less at
the weekend, cut down on unnecessary groceries etc, etc, etc...
The plain truth is:
If you are serious about
those dreams, you
will find your own way to save a dollar or two, or more a day.
Do not listen to your inner voice. It
is not trained yet and will be telling you all sorts of
things. Just go out and open that account if you don’t
have one, and if you have, work out a way to put more into
it or check out the interest rates and move to the most
Do not be content with the pittance
high street banks pay. It is obscene and an
insult to you.
High street banks make billions and, as an integral part of The
Machine, give you as little as they can possibly
get away with in return.
Go and see an INDEPENDENT financial adviser.
Make sure they are truly independent and are not
pushing you towards a product which pays them high
Try to find them via recommendations.
Go to www.unbiased.co.uk for
a searchable database of local advisers (UK only). Look in Yellow Pages or
a business directory. It doesn’t matter how you find your contact just
so long as you do. Always ask them how much they are getting paid from
a product they recommend, ask them probing questions.
Unfortunately, the highest performing products are the ones that tend to pay
the lowest commissions, that’s why you are sometimes swayed toward an
inferior package. You are looking for a good-for-you relationship,
not one that benefits the adviser.
Once you are happy you are getting good advice, heed
At this point you are only opening a Savings/Compound Interest bearing type
I’ll write it again: If you haven’t already
got one, open one!
If you do have one then over the next few weeks do some shopping around. The
difference between the best and worst product comes out of your
pocket. It could cost you tens of thousands of dollars by the
time you have discovered you didn’t get the best advice at the time.
The time is now.
My savings account, at the time of writing is returning well above any high
street accounts - @ 8% per month ... Almost 100% per year. That means if things
continue at that rate my money Compounds considerably each year and we know
where that leads, don’t we?
Some of you will say: "Blimey, lucky bugger! I wish I had an account
that paid that, my mortgage would be paid off in no time."
What’s the difference between you and
Nothing! Sod all,
I was given the advice and acted upon
What have I just given you? ...That
same advice! I have no doubt that interest rates will change,
but I’ll know exactly what to do when they do!!!
It's written here and you
need to copy it down and put it in your Goals List:
I have exactly one month
to open or change to the
HIGHEST INTEREST bearing account I can find.
Just after I wrote this the account did
indeed stop performing, but because I had built a good
relationship with my adviser I was able to sit down and
take a calculated look at what was happening in the marketplace,
consequently I was able manoeuvre back into a better position.
I was only able to do this because I followed
my own advice. If I’d have simply
let destiny take its course then I’d have been