The Usury System: A Flawed Approach to Generating Wealth
In the current world, there exist two systems of income generation. The first system is one that everyone is trained in but it is not very efficient at creating wealth. This system is built on the concept of usury or debt. This system works by lending money and charging interest on that sum. The debtors are then made to work to repay this debt. The entire process starts at a very young age, continues with further education, the purchase of a car, a house, and eventually leads to a life-long cycle of indebtedness.
The System in Favor of Banks
In this system, everything is set up by the banks for the banks. The entire infrastructure is designed to keep you in debt and the banks in profit. The system creates two groups of people: borrowers and lenders, and only the lenders get wealthy. This structure, known as indentured servitude, is designed to keep individuals in debt.
The Origin of Indentured Servitude
The concept of indentured servitude is old. It was a temporary measure practiced in ancient Israel, where those who couldn't pay their debts worked for the lenders. This practice was limited, with debts being canceled after seven years. Unfortunately, today, the system has evolved into a life-long commitment that is quite different from its original intent.
Changing the Programming
Most people are programmed to work within this system. However, recognizing this flawed system and its effect on personal wealth and happiness can lead to the exploration of better alternatives.
The Entrepreneurial System: A Path to Wealth
Starting an online business 20 years ago enabled me to break free from the cycle of debt. Today, I have a residual income-based business with no clients, no debts, and control over my own time. This was possible because I learned to think like an entrepreneur.
The Basic Strategy: Building Wealth
The basic strategy involves living simply, creating assets, and practicing deferred gratification. The goal is to maximize profits from all income sources, reinvest those profits, and eventually achieve financial independence.
Rules to Achieving Financial Independence
The journey towards financial independence starts with a commitment to a few fundamental rules.
1. Avoid borrowing: Every penny paid in interest is profit lost.
2. Avoid buying new: Buying used items or last-generation goods can save a lot of money.
3. Avoid the status trap: Wealth is not about flashy cars or big houses; it's about financial independence.
4. Don't sell your time: Use your time to create assets and start your own business.
5. Don't make excuses: Rich people are not hoarding all the wealth. Anyone can create wealth by thinking and acting like a successful entrepreneur.
6. Re-invest your profits: Create residual income by investing your profits back into asset generating activities.
Recognizing the flaws in the traditional system of usury and embracing an entrepreneurial mindset is the first step towards achieving financial independence and wealth. It's about making the decision to regain control of your time and using it to create assets and wealth for yourself. It might be a challenging path, but the rewards of financial freedom are worth the effort.