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For all the advice about taking a loan and investing the cash you would have spent, no one I know of does that. Secondly, you are supposed to invest money you
by theandrewbailey 4y ago
For all the advice about taking a loan and investing the cash you would have spent, no one I know of does that.
Secondly, you are supposed to invest money you aren't going to use for at least 5 years. That's a much longer horizon than most product purchases. Why? Sometimes stocks/real estate/crypto/etc. goes down. Have you checked the markets lately?
- bobkazamakis 4y ago>Secondly, you are supposed to invest money you aren't going to use for at least 5 years. lol. Supposed to?
- dang 4y agoCould you please not post unsubstantive and/or flamebait comments to Hacker News? It's not what this site is for, and it destroys what it is for. https://news.ycombinator.com/newsguidelines.html https://news.ycombinator.com/newsguidelines.html
- RC_ITR 4y agoExactly, no one you know does that because it’s actually sort of bad advice derived from how extremely rich people allocate capital. Normal people generally have to hold a certain amount of cash anyway since they do not have access to collateral-backed revolving lines of credit and because they can’t afford to lose money that they know they will need to send in the future. Unsurprisingly all the BNPL maximalists do not live under those constraints.
- rchaud 4y agoNot just the extremely rich. That's why HELOC exists. So people can take a loan out on the value of their home. I wouldn't want to do this just to have some extra cash to invest, but some do use this to say, pay for college tuition, assuming the HELOC rate is lower than the college loan rate.
- 1123581321 4y agoRegular people who save anything do that, but it usually looks like taking a loan instead of dropping their 401k or IRA contribution.