- Joined
- Jun 17, 2020
- Messages
- 15,546
- Points
- 113
Your banker isn’t trying to protect your money.
They’re trying to use it.
Most people believe banks exist to keep their money safe.
That’s the fairy tale we were taught.
Here’s the truth they never explained:
The moment you deposit money into a bank, it stops being yours.
When you deposit money, it becomes the bank’s asset.
Your account balance? That’s just a liability they owe you later.
Now the bank has a problem.
They owe you interest…
but your money is sitting there doing nothing.
So to pay you, they must make money with your money.
Here’s how they do it.
They loan your deposit out:
• Mortgages
• Car loans
• Business loans
• Credit cards
And here’s the part most people don’t understand:
Every loan creates new money.
That money didn’t exist before the loan.
Even the Bank of England admits it:
“Money is created when banks make loans.”
That’s why the entire system is built on debt.
Most people think saving money is smart.
But here’s what’s actually happening:
Your savings earn 3%.
Inflation runs at 6%.
You lose 3% every year.
Your bank balance looks the same…
but it buys less every year.
That’s why I say:
Savers are losers.
Not because saving is bad.
But because in a debt-based system, savers get diluted.
The rich figured this out decades ago.
That’s why they do the opposite.
Poor people fear debt and try to save their way to wealth.
Rich people master debt and use it to buy assets.
Same tool.
Completely different results.
Poor people borrow for consumption:
- Cars.
- Boats.
- Vacations.
- Credit cards.
That debt takes money out of their pocket every month.
Rich people borrow for production:
Businesses.
Real estate.
Cash-flowing assets.
That debt puts money into their pocket every month.
Here’s where it gets even better.
If I borrow at 6% to buy an asset earning 8%,
I make 2% on the bank’s money.
Then comes the real advantage.
If I invest:
$200,000 of my money
$800,000 of the bank’s money
I get tax benefits on the entire $1 million.
The bank gets none of the tax benefits.
I get all of them.
That’s how returns compound:
8% → 16% with leverage → 30%+ with tax strategy.
Not because I’m smarter.
Because I understand the rules.
My rich dad taught me at nine years old:
“Savers are losers. Debtors who buy assets get rich.”
My poor dad thought that was insane.
He had a PhD.
He worked hard.
He followed traditional advice.
He died broke.
My rich dad quit school early—but studied money for life.
Same country.
Same banking system.
Same opportunities.
Different education.
Different outcome.
This is what we teach in the Rich Dad Poor Dad Letter.
Every week, you learn:
• How banks really work
• The difference between good debt and bad debt
• Why traditional “save and invest” advice fails
• How leverage accelerates wealth
• The CASHFLOW Quadrant and why most people are trapped
These lessons changed my life.
They’re why I don’t work for money anymore.
Money works for me.
They’re why I legally pay little to no taxes.
And why I build assets while others build debt.
The link to start your weekly education is in the comments.
They’re trying to use it.
Most people believe banks exist to keep their money safe.
That’s the fairy tale we were taught.
Here’s the truth they never explained:
The moment you deposit money into a bank, it stops being yours.
When you deposit money, it becomes the bank’s asset.
Your account balance? That’s just a liability they owe you later.
Now the bank has a problem.
They owe you interest…
but your money is sitting there doing nothing.
So to pay you, they must make money with your money.
Here’s how they do it.
They loan your deposit out:
• Mortgages
• Car loans
• Business loans
• Credit cards
And here’s the part most people don’t understand:
Every loan creates new money.
That money didn’t exist before the loan.
Even the Bank of England admits it:
“Money is created when banks make loans.”
That’s why the entire system is built on debt.
Most people think saving money is smart.
But here’s what’s actually happening:
Your savings earn 3%.
Inflation runs at 6%.
You lose 3% every year.
Your bank balance looks the same…
but it buys less every year.
That’s why I say:
Savers are losers.
Not because saving is bad.
But because in a debt-based system, savers get diluted.
The rich figured this out decades ago.
That’s why they do the opposite.
Poor people fear debt and try to save their way to wealth.
Rich people master debt and use it to buy assets.
Same tool.
Completely different results.
Poor people borrow for consumption:
- Cars.
- Boats.
- Vacations.
- Credit cards.
That debt takes money out of their pocket every month.
Rich people borrow for production:
Businesses.
Real estate.
Cash-flowing assets.
That debt puts money into their pocket every month.
Here’s where it gets even better.
If I borrow at 6% to buy an asset earning 8%,
I make 2% on the bank’s money.
Then comes the real advantage.
If I invest:
$200,000 of my money
$800,000 of the bank’s money
I get tax benefits on the entire $1 million.
The bank gets none of the tax benefits.
I get all of them.
That’s how returns compound:
8% → 16% with leverage → 30%+ with tax strategy.
Not because I’m smarter.
Because I understand the rules.
My rich dad taught me at nine years old:
“Savers are losers. Debtors who buy assets get rich.”
My poor dad thought that was insane.
He had a PhD.
He worked hard.
He followed traditional advice.
He died broke.
My rich dad quit school early—but studied money for life.
Same country.
Same banking system.
Same opportunities.
Different education.
Different outcome.
This is what we teach in the Rich Dad Poor Dad Letter.
Every week, you learn:
• How banks really work
• The difference between good debt and bad debt
• Why traditional “save and invest” advice fails
• How leverage accelerates wealth
• The CASHFLOW Quadrant and why most people are trapped
These lessons changed my life.
They’re why I don’t work for money anymore.
Money works for me.
They’re why I legally pay little to no taxes.
And why I build assets while others build debt.
The link to start your weekly education is in the comments.
