Financial Literacy

Personal Debt = Soverign Debt?

Hello!

It occurred to me today that a countries sovereign debt issues are just a reflection of it's peoples debt issues. The issue is really down to a poor financial education. With improved financial literacy people would see how much better their lives would be with less debt load. This would improve everyone's prosperity and in turn create the environment for real growth.

The level of soverign debt in a country is simply the level that it's inhabitants will tolerate. This is completely borne out by the people of Iceland who would not tolerate the crippling debt conditions their country was under and took poweful and successful action to change their consitution to ensure that the situation could never be repeated.

The bottom line is that we all have a tolerance level, mainly set by experience and education. Improving literacy in problem areas often has a dramatic effect on future outcomes, sometimes much more dramatic than first envisioned.

Let's make 2012 the year to end the termoil caused by a poor financial education and become the guiding light to a prosperious future.

Happy New Year!

 

 

What is wealth?

Hello,

I was thinking about wealth today and it occurred to me that true wealth in the financial sense is not having "lots of money" but it is relative to the lifestyle you wish to enjoy. In line with this, I came up with an interesting two part definition for being truly wealthy

1) "You are truly financially wealthy, if, regardless of what you spend, you are completely debt free and always have $100 in your wallet"

and

2) "You are truly financially wealthy if you help thousands of people be in condition 1".

The most striking thing about these definitions is that they totally support each other; Achieve 2) and you automatically attain 1).   

Have a great week!

 

 

Getting your PEP on!

Hey everyone,

I'm really excited to be part of "Get your PEP on" radio show due to go on the air in Feb 2012. This program is going to help so many people raise their game in life to a whole new level. For more information, go to the "Get your PEP on" group on facebook and get involved with us!

Get your PEP on!

Cheers!

Debt Management Revealed

(A guest post by Jessica Bosari)

Debt management is an option that many people choose when their debts have simply become too much to handle, an occurrence that has quickly become the norm for many people in these harsh economic times. On the surface, it can look like a reasonably easy way to get out of debt, but anyone considering it should look closely to be certain it is the right option for them, and that they will not hurt their credit in the meantime.

What is Debt Management?

Debt management, a service offered by countless companies, essentially consolidates any unsecured debts (i.e. credit card debt, personal loans, medical mills) into a monthly payment, which is then paid to creditors through a credit counseling service. These companies often work to secure lower interest rates and longer repayment terms with the creditors when necessary; they become a kind of negotiator between the creditor and the borrower.

Pitfalls of Hiring a Debt Management Firm

While this kind of service can look good on the surface, keep in mind that debt management might not be a good solution for you. Don't fall for the myths that debt management companies propagate to better sell their services. An important fact to remember is the difference between debt management services and debt consolidation loans. A debt consolidation loan is the more attractive option for anyone who is eligible because it pays off the creditors immediately in one lump sum, thereby ending your responsibility to all but the granter of the loan.

Misconceptions about Debt Management

Many believe that anyone in debt needs credit counseling, which is not true. For most people, real debt management can be achieved simply through more responsible spending and better budgeting of their monthly income. In addition, there are endless free resources on the internet to help the consumer achieve these goals, without having to pay a company for counseling. Debt repayment tips and budget calculators are available to crunch the numbers and help you reduce your debt.

Another popular misconception is that debt management can save money. In truth, one way or the other, creditors always get their money. Debt management services can help to negotiate lower interest rates, however, it does not always work, the interest rates are not always drastically lower, and while the company is negotiating rates, they often withhold payment to the creditor. When this happens, then the consumer's credit report shows a late payment. The debt management company itself also charges high fees, burdening the cash-strapped consumer with another monthly expense.

A third, and perhaps the largest, myth about debt management is that it can help build credit. Debt management is not necessarily bad for credit, but it can hurt credit in the end. You must trust the debt management company to make payments to creditors on your behalf. If the company should miss a payment or send a payment late, which can and does happen, then your credit is damaged by it. In addition, working with a debt management company can make it more difficult to apply for a mortgage, as many mortgage companies consider the process of debt management similar to filing for bankruptcy.

The Truth about Debt Management

Debt management can be potentially harmful to credit. The best kind of debt management is achieved through personal responsibility, better budgeting, and improved spending habits. With a little work, any consumer can improve their financial situation without going through a debt management company.

LowIncomeApartmentFinder.com is a site dedicated to helping low income families get out of debt and on the road to financial freedom. It starts with finding low income housing.

For me or not for me, that is the question?

Hello,

I love to coach people to be better at what they do, and get a huge kick out of when they are successful in doing so. There is no better feeling for me than when someone I have mentored has a big win.

In contrast to that, I have always believed that my own running and exercise program was squarely aimed just at me. This morning I had a thought that may turn that assumption on it's head. As part of the thought, I asked myself this question: Is my own exercise program truly driven selfishly, or does it really include others?

The answer was actually quite surprising to me. One of the wants that came to view was "inspiring others". Yes, my own success in exercising is partly driven by is a deep desire to inspire others to better performance. Hummm, maybe not so selfish after all. In fact on deeper examination the real want is: "To help others be better than me".

One area where this has played out is in helping my wife ease into running. She committed to following an eight week "walk-to-run" program two weeks ago and asked me to help by partnering with her on the training. Contrast that want with the fact that when I get outside on the road, my own body screams "What are you waiting for, lets run!". Hummm. There seems to be a almost direct conflict here. Not so, when I go out with Liz to train, I am totally focused on her training. I actually really enjoy the process of her improvement and how I can best help her.

What is more surprising is that a good proportion of my own need to improve stems from that deep desire to inspire others through my own success. In fact, it is the major reason why I recently became a "Beachbody Coach". I truly want to help others to succeed. Now if I can develop an income from doing that, then it becomes a real win-win. I get better, I insprire others, they get better, and I get some income. Now that's what I call an almost perfect outcome.

Have a fantastic week

Malcolm

 

 

 

 

 

Immersive Passion

I was thinking just now about the times I have been the most successful. Without fail, on each occasion I totally immersed myself in a project or subject area that I am passionate about. Without the spark of passion, it was almost impossible to have enough determination to carry the project on through many disappointments and failures.

Anyone attempting to be a success without first finding an area of passion to concentrate their attention on may do OK, but may never reach then pinnacle of performance.

In short, mastery over any area requires a very high level of passion, persistence and determination. Asking oneself 'what am I most passionate about' is a very good place to start.

Contempt v Gratitude

Hello,

Fo the last 8 weeks I have been in training for a marathon. The race takes place on the 12th September and the training is building up to it's most intense. it have been a great challenge to go from running 7 miles a week to over 40.

Last Sunday I ran 21 miles at the fastest pace yet, however, by the Tuesday morning, I was unable to run at all. The intense training had taken its toll and my left knee was swollen and very painful. I had what is know as "runners knee", a debilitating condition caused by several factors, most that I was unaware of due to being uneducated in the area. Surfice it to say, I was not at all happy about life last Tuesday.

The emotions I was having were mostly centered around contempt for the offending body part. My knee was the vllian and I wanted to punish it for stopping me training. Obviously, the attitude towards the knee did not help he healing prosess at all. In fact, it almost stopped any improvement dead in its tracks. Where was my compassion and caring for all it had done so far, standing up to the immense battering of running 40 plus miles a week? There was absolutely none. Zero.

This stale mate between myself and the knee carried on for another couple of days. Even when I received a set of exercises to help handle "runner knee" from a very helpful fellow Rotarian, I looked them over with little interest, still upset by what the "knee had done to me".

Last Thursday I finally woke up to the fact that if I did not do something, the condition would not improve. So in the morning I swam and in the evening started with the exercises. Slowly at first, but as I did them I noticed the knee was getting a little better. I attempted to run on Friday morning but the pain was still there so I stopped after a short distance. I did get in some cardio and did some more of the exercises. The knee improved again over the course of the day. On Saturday morning I managed some more cardio exercise and tried to run. Again, I had to stop due to the pain.

It was then I realized how I had been treating the knee spiritually. Like a leaper, ostracised and cast out. Wow, now how would I feel if I was treated like that? Not good, that's for sure! So some bridges needed rebuilding and trust re-established. Where was my gratitude for the fantastic job my knees do. Not only supporting my running, but all my other activities?

After completely dispelling any further "bad thoughts" I had about the knee, I started looking at how grateful I was for all it had done for me. Amazingly, wave after wave of remorse and upset came off the knee. Seems I have been abusing this area spiritually for a good while. After flowing gratitude to the area a few more times, all the contempt I had been feeling started to really run out, to be replaced by gratitude and good thoughts about how the knee could help me now and in the future. By Satuday evening, the entire area was feeling much improved.

This morning (Sunday) I went out to run. Not only did I manage to run 3 miles, but at a good pace and with no pain at all. After completing the run I flowed an abundance of gratitude to the area, building on what I had done the day before. I also did the exercises again, this time with enthusiasm and love.

Such a miraculous turn round demonstrates the truly awesome power of gratitude.

Have an awesome week,

Malcolm

You don't know what you can do until you cannot do it

One of my very good friends has a rather interesting saying: "You don't know what you can do until you can't do it".
On the face of it, this is a slightly weird but quite obvious statement. However, when you look at it more deeply, the true message is much more powerful.
If you start something with a can-do attitude, then it is much more likely you will succeed. A positive attitude makes more of and drives you forward. However, if there is any question in your mind about the final outcome, the "can't do" tends to cloud your resolve and before you know it, you are making less of your abilities. Maybe you have experienced this phenomena yourself?
For me, this is most relevant in my marathon training. If I approach a training run with the attitude I can do it, it almost always goes well and I reach my target. However, the two times I have had negative thoughts about the distance or pace, it did not go well at all. So, this completely proves the power of my friends saying.
Have a great week.
Malcolm

The Value of Boasting

Hello,

Ego is a terribly misunderstood word.

Many believe "ego" is a very bad thing, yet we are informed by other sources the low self esteem is also a contributing factor in various personal issues. 

So, what is the truth about Ego and what is it really for?

For me, ego is a person's sense of themselves. In itself, it is not a good or bad thing, it just is. Properly managed and nurtured, the ego is the drive to achieve and makes us proud of our own achievements. As long as it is kept in balance with other aspects of life, ego can be a very valuable attribute.

So, what is boasting? This is where you are proud of an achievement and you make it known. Usually with lots of enthusiasm and maybe at some volume! This is the formula one racing driver shaking the bottle of champagne, the soccer player doing cartwheels, etc. It is an enthusiastic outburst of achievement.

The difference here is "make more of". Whereas ego often clouds the truth, boasting is a known exaggeration. Unlike to possible untruth of ego, boasting is a knowingly performed overstatement. It is also a huge make more of, and therefore improves mood and future performance.

Go on, have a big boast about something you have achieved recently. Even if is seems daft to shout about it, it will sure make you feel good!

Have a wonderful extended weekend.

Malcolm

Persistance

Hello,

If there is one thing I believe is key to success, it is dogged persistence. There are so many great examples of this, from the famous and no so famous.

A case in point is a friend of mine who has been a full-time caregiver for the past few years and by necessity, moved her priorities away from her love of writing. She is a fellow life coach and gifted author, and I have loved her open and powerful posts on several forums ever since she started making them. For me, her delightful prose has always had the mark of greatness.

She recently signed up to the publishing site HubPages as raisingme and her output has been nothing short of prolific. After years of only exposing her talent to a select few, she is really getting noticed at last. In fact, after just five weeks posting articles to the site, she is scheduled to be interviewed by a local TV station. 

So, persistence does pay off. In fact, it pays off in abundance for those who marry it with determination and a strong work ethic.

Have an excellent week

Malcolm