Kakande thank you for bringing this out in the open. It is an open secret in the banking corridors. I feel for Agatha!
Finance world is a jungle with banks atop.of the food chain, one has to go there literally armed to the teeth with knowledge, ignorance ain't bliss.
Out those banks so we know about them so they deal with their foot soldiers.
On debt also called leverage I will share a quote I hold dear in this regard:
“My partner Charlie says there is only three ways a smart person can go broke: liquor, ladies, and leverage. Now the truth is, the first two he just added because they started with ‘L’ – It’s leverage.” Warren Buffett
This is why we always have to be very wary of loan officers, and also only sign for the amount of money you need, not what is being offered! Loan officers are always acting friendly, like your saviour, yet they just want to hit their targets and leave you in a terrible condition. You ask for a 10m loan, the guy sees your payslip, and starts stories of how they can get you 30m, and you invest the balance elsewhere. That is always a bad trap. If you wanted a loan of 10m sign for 10m and go back for a top up when you need it.
Successfully repaying a larger loan could enhance one's credit score and financial reputation, making it easier to access credit or negotiate better terms in the future. The difficulty of the present might pay off later in terms of financial credibility.
Thanks to Agatha too for willing to pay for your advice and allowing you to share her story.
In this, I'd say the regulator hasn't done enough to protect the customers and all guns should be pointed at him.
As an example here in a different country, every loan loan contract has a standard loan summary sheet that uses very straightforward language on the key metrics one must know such as those that were intentionally hidden from Agatha.
If the regulator demanded that to be standard for every loan contract, Agatha would have been protected.
Thanks so much Kakande for sharing the insight about Agatha's tragic situation we should however be mindful of our emotional excitement in regards to monetary acquisitions.
Thank you for educating us about the money market. Your insightful articles are invaluable to an amateur investor like myself. i plan to sign up to attend the master class.
Kakande thank you for bringing this out in the open. It is an open secret in the banking corridors. I feel for Agatha!
Finance world is a jungle with banks atop.of the food chain, one has to go there literally armed to the teeth with knowledge, ignorance ain't bliss.
Out those banks so we know about them so they deal with their foot soldiers.
On debt also called leverage I will share a quote I hold dear in this regard:
“My partner Charlie says there is only three ways a smart person can go broke: liquor, ladies, and leverage. Now the truth is, the first two he just added because they started with ‘L’ – It’s leverage.” Warren Buffett
UG banks can afford such predatory shenanigans because they don't really value (earn from) retail loans anymore. The bulk of their bottom line comes from the now popular government bonds.
Perhaps the smarter people here can explain it, but to me this looks like a conflict of interest between the banks and government/regulator; where the ordinary citizen (like Agatha) loses out.
Kakande thank you for bringing this out in the open. It is an open secret in the banking corridors. I feel for Agatha!
Finance world is a jungle with banks atop.of the food chain, one has to go there literally armed to the teeth with knowledge, ignorance ain't bliss.
Out those banks so we know about them so they deal with their foot soldiers.
On debt also called leverage I will share a quote I hold dear in this regard:
“My partner Charlie says there is only three ways a smart person can go broke: liquor, ladies, and leverage. Now the truth is, the first two he just added because they started with ‘L’ – It’s leverage.” Warren Buffett
This is why we always have to be very wary of loan officers, and also only sign for the amount of money you need, not what is being offered! Loan officers are always acting friendly, like your saviour, yet they just want to hit their targets and leave you in a terrible condition. You ask for a 10m loan, the guy sees your payslip, and starts stories of how they can get you 30m, and you invest the balance elsewhere. That is always a bad trap. If you wanted a loan of 10m sign for 10m and go back for a top up when you need it.
Successfully repaying a larger loan could enhance one's credit score and financial reputation, making it easier to access credit or negotiate better terms in the future. The difficulty of the present might pay off later in terms of financial credibility.
Thanks Alex for this piece.
Thanks to Agatha too for willing to pay for your advice and allowing you to share her story.
In this, I'd say the regulator hasn't done enough to protect the customers and all guns should be pointed at him.
As an example here in a different country, every loan loan contract has a standard loan summary sheet that uses very straightforward language on the key metrics one must know such as those that were intentionally hidden from Agatha.
If the regulator demanded that to be standard for every loan contract, Agatha would have been protected.
Thanks, Alex for shedding light on this matter. Much appreciated
Thanks so much Kakande for sharing the insight about Agatha's tragic situation we should however be mindful of our emotional excitement in regards to monetary acquisitions.
Lydia, what do you mean by "emotional excitement in regards to monetary Acquistions?
Just for my understanding.
Dear Mr Alex Kakande,
Thank you for educating us about the money market. Your insightful articles are invaluable to an amateur investor like myself. i plan to sign up to attend the master class.
Kakande thank you for bringing this out in the open. It is an open secret in the banking corridors. I feel for Agatha!
Finance world is a jungle with banks atop.of the food chain, one has to go there literally armed to the teeth with knowledge, ignorance ain't bliss.
Out those banks so we know about them so they deal with their foot soldiers.
On debt also called leverage I will share a quote I hold dear in this regard:
“My partner Charlie says there is only three ways a smart person can go broke: liquor, ladies, and leverage. Now the truth is, the first two he just added because they started with ‘L’ – It’s leverage.” Warren Buffett
Was there not another higher interest venture she could invest the 40M So that she eases the loss🤭
A sad tale about lack of financial knowledge. Thanks for sharing.
UG banks can afford such predatory shenanigans because they don't really value (earn from) retail loans anymore. The bulk of their bottom line comes from the now popular government bonds.
Perhaps the smarter people here can explain it, but to me this looks like a conflict of interest between the banks and government/regulator; where the ordinary citizen (like Agatha) loses out.