Author Archives: trulyrich

San Beda Students Build Their Future!

Almost all attendees in our Building Your Future – Taking Control of Your Money Seminar (March 7, 6pm, and March 21, 6pm sessions) at IMG Quezon City Training Center are Entrepreneurship majors from San Beda College Manila!

Coach Bobet Prudente of IMG conducted a two part session seminar where he taught the students about money concepts including how to turn a savings of P33/day into millions of pesos.

We invite all to attend our FREE Building Your Future seminar in Makati, Quezon City, Calamba, Dasmarinas(Cavite) and other locations.

In Makati: http://bit.ly/seminarmakati
in QC: http://bit.ly/seminarqc
In Calamba: http://bit.ly/seminarcalamba
In Dasmarinas(Cavite): http://bit.ly/seminardasmarinas

San Beda College Students attended the Building Your Future - Taking control of Your Money Seminar in Quezon City. Click on the picture to see the album

San Beda College Students attended the Building Your Future – Taking control of Your Money Seminar in Quezon City. Click on the picture to see (and share) the album

Why Does IMG Recommend Kaiser and Soldivo Products

(Author’s note: I encountered a post in social media which said IMG and Kaiser are owned by the same group of people and that this is the reason why IMG is pushing Kaiser. I quickly wrote a lengthy reply which I polished a little and reproduce below.)

You will note that the Ayala group of companies, the SM group of companies, the Gokongwei group of companies, the Metrobank group of companies and various other groups of companies have many common directors and incorporators in the different companies within the same group. Interlocking directorates are a common facet of the corporate world. It just means multiple companies in the same group are employing synergies to work and cooperate towards attaining interlocking goals.

For the IMG group, the goal is to help Filipino families achieve financial freedom through financial education,  excellent but affordable financial products and powerful business platforms.

Why Does IMG Recommend Kaiser Long Term Health Care?

Most HMO companies today cater to short term healthcare of people who are generally young and healthy. There are very few who cater to senior citizens. Most HMO plans are for employees who are currently working and their dependents. Hence, the moment they resign, or retire, they and their dependents lose their coverage unless the former employee decides to shoulder the substantial costs of premium. In most cases, the resigned or retired employee, and dependent end up with no coverage.

The irony is you get excellent healthcare while you are young and healthy but you do not get healthcare when you are old or sickly or can no longer afford to pay. Most HMOs also have very little life protection coverage for members.

You will note that there are no viable long term healthcare products in the country today, except the Kaiser Ultimate and Kaiser Premium Health Builder products.

The premise of long term health care is very simple and logical.

  • pay for your health care today while you are young, and healthy and productive and can afford to pay, then
  • enjoy healthcare when you are old, or sickly, or can no longer pay.

If later, you need healthcare and you do not have short term healthcare, use your long term health care plan for hospitalization. If the Lord decides to take you home early, the long term health care plan gives your family the proceeds of life insurance. Hence you use your investment to get health and life protection within the maturity period.

And when the plan matures, you have the option to get the balance of your investment plus earnings, or keep it for future healthcare purposes.

In the case of Kaiser Ultimate, you pay for 7 years, to get 20 years of health AND life protection. On maturity, you can opt to get your investments including all profits/interests, or keep your fund growing at 7 to 10% compounded annual growth rate, definitely much more than the current 0.2% growth in savings accounts. You effectively have health care protection until you have “spent” all your health care investments.

If you paid your HMO for short term plans, and pay for 7 years, you will get 7 years of protection, and no more protection after the 7th year. Whatever benefits are unused at the end of each policy year are gone forever. None of the premiums are paid back to you.

One can avail of Kaiser short- and long-term plans whether one is an IMG member or not. IMG considers Kaiser Ultimate as a complete level 1 investment, and very strongly recommends it, especially to its own members.

Kaiser Ultimate Health Builder

Kaiser Ultimate Health Builder is a level 1 product which provides different benefits at different periods

Kaiser Ultimate by itself is difficult to understand.

  • If people compare it to short term healthcare, they will say there are better short term plans.
  • If people compare it to insurance, they will say there are better insurance options.
  • If people compare it to investment, they will say there are better investments.

This is because Kaiser Ultimate is an entry level product designed to give you the most basic and complete initial protection benefits while starting your investment.

  • If you think it does not have enough short term health protection, you can complement it with additional health care of your choice
  • If you think it does not have enough insurance coverage, you can complement it with additional PhilamMOST group yearly renewable term life insurance (available only to IMG members with active Kaiser long term plan)
  • if you think it does not have enough investment value, you can complement it with additional investments in the mutual fund(s) of your choice.

The combination Kaiser Ultimate + Philam MOST + MUtual Funds is unbeatable.

Why Does IMG Recommend the Soldivo Funds?

The Soldivo Bond Fund  (a bond fund) and Soldivo Strategic Growth Fund (an equity mutual fund) were launched only in October 2014, at below P1.00 par value.  As young funds, they have the potential to aggressively and quickly grow.

SSGF is considered a moderate-to-high risk type of fund, investing in shares of the companies listed in the primary and secondary boards of the Philippine Stock Exchange. Recommended for investors with a higher risk appetite who require the growth potential of the equity markets. Its investment objective is capital growth with returns and inflows derived out of investments in equity securities. This is one of the best options for investors who want to access and capitalize on the immense growth opportunities of the Philippine equity market.

The Soldivo funds are managed by respected personalities in local finance, led by Rex Mendoza, former CEO of Philamlife and former adviser to the group CEO of the AIA Group.  Rex Mendoza was also at the helm of Philam Asset Management Inc (PAMI) during the explosive growth years for PAMI mutual funds. We believe the fund management group has the requisite expertise to drive the growth of the funds.

Kaiser International is a major investor in Soldivo funds.  The stronger the Soldivo funds are, the more secure the Kaiser investments are, and thus, the better service Kaiser can provide to its members and planholders.

Soldivo mutual funds are available for retail to IMG members only at this time.

IMG includes Soldivo Bond Fund in its list of recommended bond funds, and Soldivo Strategic Growth Fund in its list of recommended equity mutual funds.  IMG recommends a combination of bond and equity mutual funds as the preferred mode of paper investment.

What Benefits Do IMG Members Get?

IMG members get

  • free lifetime financial education,
  • free lifetime financial checkup,
  • free lifetime training on insurance, mutual funds,real estate and various money topics
    discount/rebates on financial products
  • opportunity to help others, especially family and friends, save and invest,
  • opportunity to earn commission and build a big business

Why don’t you drop by and listen to what we have to say?

Our mission is to help Filipino families achieve financial freedom, NO FAMILY LEFT BEHIND! It starts with learning how money works, then teaching our family and friends how to save, invest and increase cash flow, and then reaching out to extended circles.

Register for our free seminar!

Matin and Malvin Leano – In IMG, Dreams Do Come True!

Mary Christinne B. Leaño, fondly called “Matin” by friends, grew up in an underprivileged family in Bacoor, Cavite during the 80s. She knows exactly how to paint a complete picture of poverty. It would mean long days of hunger, she says, that eventually lead her and her siblings to sicknesses and, if unlucky even culminate in despair.

Matin met and married Malvin while working in a semiconductor manufacturing firm. Both Matin and Malvin finished high school and never had college education. They both began their adult lives as a machine operators.

Who would have thought that these high school graduates and machine operators in a factory would one day take leadership roles in one of the fastest growing financial distribution companies in the world? In four short years, Matin and Malvin became CEO Marketing Directors with more than 3,400 members at the International Marketing Group.

Matin and Malvin Leaño - real life champions

Matin and Malvin’s favorite quote is from Bill Gates: ‘If you are born poor, it’s not your mistake. But if you are born poor and do nothing about it, that’s your mistake.
Matin and Malvin regularly conduct financial seminars in Makati and in Dasmariñas, Cavite

Armed with a soldier’s heart and a powerfully-built support system that she draws from her family, Matin knew there would come one fateful day when everything would eventually fall into place. And true indeed, the day came.

It came in a package Matin least expected. “I’d usually go melodramatic everytime I remember my childhood days,” recalls Matin before finally shedding the first teardrop. “You know how hard that feeling is when you see your childhood friends growing up well-fed, well-clothed, having fancy stuffs and it just makes you think life is unfair.

Mind you, I know all the nooks and crannies of an impoverished life. It’s hard, simply hard,” she recalls.

My father was a jeepney driver, my mother a plain housewife. Seeing the hard life, my mother one day decided to work in Kuwait, to the chagrin of my father. Mother went overseas anyway, and it was a hostile life since then. Our father did not care for us; the family broke. We had to do sacrifices. At 16, I felt the need to work after graduating high school. One year later, our father’s passing sent mother home, and we’re back to the hard life.

So what then keeps Matin going in life, aside from the normal cheering she gets from close friends and relatives? Well, apart from the energy she receives from Malvin, who is the love of her life, she takes inspiration from her most favorite quote from Bill Gates: “If you are born poor, it’s not your mistake. But if you are born poor and do nothing about it, that’s your mistake.

Matin, of course, is the unrelenting kind and did not intend to die poor nor want to be held responsible for some kind of mistake she could have largely veered away from in the first place. Moreover, coming from a life that bit the dust, she never wanted to let her children experience the same hardships she went through on account of financial deficiency.

Time was good, Matin and Malvin one day found themselves working as manufacturing operators in a leading semicon company in the Philippines. But due to the global financial crisis in 2009, the company had to move to Vietnam, forcing them to retire early. The company gave them a good retirement package which they used to pay off their housing loan and invested the rest in a special time deposit that gave them 2.5 percent per annum. Insert some sense of frugality somewhere, and the young couple were left with some decent amount enough to start off a little internet café business later.

Even as they had the reserves upon retirement, Matin shares how the middle class mindset swallowed them up whole while they worked. “We were literally living payday to payday. You find yourself squandering your money because you know there’s another payday coming. There are even times when you will end up in a deficit after payday, owing to your payables.

The biggest blessing came in 2010 when they attended the “Marriage Encounter” in La Salette, Silang, Cavite where they met Bro Benj and Sis Fely Santiago, now their mentors, who first invited them to IMG’s financial literacy seminar in Dasmariñas. From managing finances to increasing income, and from getting out of debts to investing safely and correctly, the seminar gave them the knowledge on how to be more financially steady.

They signed up for International Marketing Group on March 10,2010 and everything they have in life today-the tangibles and the intangibles brought about by those tangibles-came springing as a result of that big moment that led them to their new found fortune.


Better start early. Have the entrepreneurial spirit; nobody gets rich by being employed.” Matin, the self-confessed risk-taker then defines success as “achieving your dream of being truly rich, but also helping other people become rich themselves.


We never had any reservation to join IMG because why would you turn down an offer that would help you learn how to handle your money and investments more wisely, right? I mean, that’s just absurd,” Matin quips. “Honestly, as partners, we knew how to set aside at least a little savings, but we didn’t know we could get this much more financial freedom until we entered the IMG family.

The first fruit of their labor came in December 2011 when they got promoted as marketing directors, officially receiving the award at the Hong Kong convention a month after. God is so good: her dream that time was to travel only to Baguio, but for some unexpected twist of events, the venue changed to Hong Kong. And then she went to Singapore. And then Macau. And then Taiwan. Then Las Vegas and many more.

Fast forward to April 4, 2013, one day before the couple’s 10th wedding anniversary, and just when they thought they had all the good things in life already, little did they know the best was yet coming. Matin was elevated to the position of chief executive officer (CEO)- marketing director on that day, rising into that platform in a span of what-only three years. Yet Matin and Malvin willfully confess that they did not reach their positions alone but with the help of what they call the “Truly Rich Makers” team: Doc Jaime, Doc Dada, Raymund, Sir Noel, Sir Joen, especially Ma’am Shirley and many more unmentioned heroes. Now they have 49  first through 4th generation senior marketing directors and four builder-trainers ( called “Green Jackets” in IMG lingo ).

Finally, their greatest rewards at IMG was to travel thrice in all-expense paid trips , together with other great leaders in the world in their Master Classes aboard first class cruise ships (Southeast Asia in 2014, Europe and Northern Asia in 2015). Having traveled to other parts of the globe enabled Matin and Malvin to appreciate the bigness of the IMG universe. Plus, sometime along those travels, they received their double promotion as senior marketing director and national marketing director and the couple couldn’t say a word except that God is amazing.

In IMG, they learned to dream big dreams; from nobody, they became somebody and each of them really wants to be a servant and a humble leader. In a matter of three short years, Matin’s income dramatically increased from four digits to six digits. They now earns more than P150,000 a month, several times higher than how much they used to earn while working. And not only are they grossing a six-digit income, they are also able to keep faithful to their promise not to let their kids experience the same hard life like they had back in childhood. One may call it “luck” and others may call it “once in a blue moon”, but Matin and Malvin call it “passion.”

My husband and I are very passionate to share the mission of IMG. We love what we do and if you love what you’re doing, everything else follows,” she enlightens. She then shares one particular experience when they had to travel seven hours to conduct a financial literacy seminar in Lopez, Quezon Province. They arrived at the venue feeling cold as wet chicks only to find out the seminar was canceled because of heavy rains. “We felt frustrated,” says Matin, “we sacrificed our money, effort and time that could’ve been more meaningfully spent with our kids, but because we love what we’re doing, then we continue to share our mission.

In another instance in Cabanatuan City, Nueva Ecija, everything had already been arranged for another seminar, yet only three guests came. Still, the seminar pushed through with no holds barred on their part.

Honestly, as partners, we knew how to set aside at least a little savings, but we didn’t know we could get this much more financial freedom until we entered the IMG family.

Aside from being passionate, Matin says it’s likewise imperative to maintain the attitude of perseverance, humility and “being coachable“. She says the more people you talk to and share the concept, the more chances it will be to meet the next superstar. All it takes, she assures, is not to quit. When you’re already on top, you should keep your feet on the ground. And most of all, she believes learning shouldn’t end at promotion.

We are students of life, of the system and of the business; we need a mentor to follow while there’s so much to learn.” After going through months and years with IMG, Matin and Malvin have learned a lot of new things. They run the system, enjoy the system and focus on the mission to serve more people. “Before you become a teacher, you must be a good student.

Matin says. “Attend meetings. The most important meeting is the meeting you missed. Also attend big events; we are the product of conventions and we did not miss any IMG convention.

We do monitor our business. We set a goal and act on it, check our daily, weekly and monthly activities. The most important thing is we don’t compare ourselves with others. Work as a team and fight to win- teamwork gives you more strength and courage to win. When the team wins, you also win. You need to open up and work with others because an isolated team will be suffocated with boredom and have no momentum,” Matin explains.

Matin goes to say that IMG is the sort of business that has no excuses-whether there’s a guest or not, whether the appointment materializes or gets canceled, they need to report to the office. Asked what kind of management style she employs, she responds “consultative”, saying in every decision they make, they check with the team, ask for suggestions and discuss them with the members. “I talk to them directly when I feel they have concerns and issues,” she speaks about dealing with conflicts within her team, “but I always make sure that the conversation remains friendly and casual, not intimidating.” But more than just constantly communicating with the team, Matin motivates her people to focus on the mission and face their fears. She reminds them to stay optimistic and persistent in achieving their target. They go to the meeting at least two times a week and make sure that they hit their 4S-schedule, system, structure and strategy. And what if there was an emergency and Matin had to be away from the company for, say 30 days, do they have strong leaders who could guide the ship in her absence? “Definitely,” she says, “that’s what we also do – train our people to be leaders.

Today, IMG Makati occupies  the 9th floor of Kings Court Building 1 in Chino Roces Ave(formerly Pasong Tamo St), and the 10th floor of the World Centre Building along Sen. Gil Puyat Ave(formerly Buendia). IMG has official offices in Cebu, Singapore, Hongkong, Davao and Cagayan de Oro, plus numerous independent training centers in Quezon City, Calamba, Dasmarinas, and other major cities in the Philippines and abroad.

Matin, based at IMG Makati in World Centre Building, also takes pride in saying that additional big companies in financial services industry are joining as IMG as financial industry providers. In her capacity as a CEO, Matin eyes to coach and produce hundreds of marketing directors in the Philippines and the world over.

Some people will like you, some won’t. Always remember that you do it for love and with purpose,” she says. She asserts she couldn’t have reached the position without the help of her supportive husband Malvin, attributing him as her best partner at IMG and sharing her success with him because they have the same goal, the same mindset. Malvin’s perseverance is in itself a key strength, his “never give up” attitude fires up the entire team. She also thanks God for the opportunity to be part of IMG and her mentors, Bro Benj and Sis Fely, for their guidance in her journey towards being a CEO.

For a woman who only wished her future family wouldn’t experience the same fate as her, Matin has indeed walked a thousand miles. And to all those who want to follow in her footsteps, she has one thing to say: “Better start early. Have the entrepreneurial spirit; nobody gets rich by being employed.” The 37-year-old self-confessed risk-taker then defines success as “achieving your dream of being truly rich, but also helping other people become rich themselves.

And should you fail? No worries, she has a pick-up line as a saving grace: “Don’t quit!” [“Bakit?“] “Mahulog na silang lahat, ‘wag lang ikaw ang mahuhulog.


To learn more about IMG, simply attend our FREE Saving Your Future Seminars on building a solid financial foundation and practical money management techniques in

Or if you are ready , you can join now!


This article is slightly rewritten and updated; the original article is found in IMG Champions Magazine 2013 edition, and reprinted in the IMG Official Blog

Bo Sanchez’ TrulyRichClub is better than Stock Market Seminar

Let me share with you why I think joining Bo Sanchez’ TrulyRichClub can (in some ways) be better than attending the live Bo Sanchez Stock Market seminar.

Bo Sanchez’ Stock Market seminar will be at least cover the following major topics:

  • theology of money
  • how simple it is to invest in the stock market
  • strategic averaging method
  • getting a stock market account

Bo Sanchez’s materials for these topics are available to all members of the TrulyRichClub.

Blessing #5 for members is the “How to be TrulyRich” seminar, which basically discussed Theology of Money: the ultimate purpose of being rich is to help bless others.

Blessing #10 is a free eBook “My Maid Invests in the Stock Market” which details how simple it is to invest in the stock market.

Day zero downloads for new members introduce the following:

  • Strategic Averaging Method
  • how to get a stock market account
  • how to use the Stocks Update Newsletter to guide you on what stocks to buy

Blessing #11 is the Stocks Update Newsletter

Day zero downloads also include a PDF and tutorial video on

  • how to get a stock market account

So actually, it is much better to join the TrulyRichClub (continued online mentoring) than attending the seminar.

It is like having a concert DVD you can play again and again, versus attending the actual concert.
Attending the Stock Market Seminar simply teaches you how to gain financial wealth through the Philippine stock market.  Joining the TrulyRichClub also teaches you how to gain spiritual abundance as well.

Members get 11 blessings:

  • Blessing #1 Receive 2 “PowerTalks” every month (instant access via MP3)
  • Blessing #2 Receive Bo’s “Success Mentors” Collection (1 every 3 months for 1 Year) — FREE
  • Blessing #3 Receive “WealthStrategies” newsletters every month — FREE
  • Blessing #4 Receive “Daily GodWhispers” Email — FREE
  • Blessing #5 Receive “How To Be Truly Rich Seminar” — FREE
  • Blessing #6 Receive “How To Conquer Your Goliath” Ebook — FREE
  • Blessing #7 Receive “How To Turn Thoughts Into Things” Ebook –FREE
  • Blessing #8 Earn Passive Income by being Bo’s Affiliate in the TrulyRichClub
  • Blessing #9 Earn Passive Income with Bo’s other Internet Work
  • Blessing #10 Receive The Very Practical Ebook, “My Maid Invests In The Stock Market…And Why You Should Too.” — FREE
  • Blessing #11 Receive “Stocks Update” newsletter — FREE

Note that the last blessing #11, the Stocks Update newsletter, also gives you stock tips on

  • what stocks/issues to buy,
  • how much to buy,
  • what stocks to sell,
  • how much to sell.

It is stock market investing made easy!

Listen to Bo Sanchez tell you how to join the TrulyRich Club!

How to Spend Your 13th Month Pay

Merry Christmas!

It’s that time of the year when Filipinos are happiest.  Many are eager to receive their 13th month pay to buy presents for family and friends, and to splurge a little on gadgets.  For some, there are extras, perhaps even a 14th and 15th month pay.

How do I spend my 13th month pay?

How do I spend my 13th month pay?

How do you use it?  I strongly suggest you think a little beyond the holiday season, Christmas presents and merry making.  Why don’t you….

  1. Plan

Close to 70% of people who get large amounts of money go broke within 5 to 7 years.  This is because many people are so unfamiliar with having a large amount of money.  Plan how to use your money, and budget how much you want to spend for Christmas and how much you want to allot for more productive use.A good rule of thumb is 10% for your spiritual community, 20% for your future, and 70% for your expenses and lifestyle:

  • 10% for your eternity
  • 20% for your maturity
  • 70% for your family

And then you plan further.  How do you spend your 70%?

  1. Protect Your Family

Have you considered what would happen if the Lord decides to call you home early?  What would happen to your family?  You can be healthy today, but what if tomorrow, you meet an accident?  Will your family go hungry?Buy SUFFICIENT life insurance coverage.  There are inexpensive options available, such as term life insurance.  P6,000 annual premium at age 25 can buy you P1M coverage.Combined with some mutual fund investments, P3,000 per month for 10 years can  buy P1.2M of life insurance at age 25, slowly growing to more than P4.8M coverage ( or P3.8M cash benefit) by age 60.

Learn about protection, savings and investment in free seminars,  like the SAVING YOUR FUTURE seminars on Practical Money Management from IMG.

  1. Eliminate debt

The typical Filipino makes strange financial decisions.  Most save in banks where their money earns 0.20% per year (that simply means if you put P100,000 in the bank on Jan 1, then by December 31, the bank will give you P200 interest after withholding tax), but borrow from the “friendly Bumbay” at 5-6, or from the “sosyal” credit card company at 3.5% PER MONTH.

Pay your credit card debt. By paying  credit card debt you effectively invest your money at a rate at least equal to the 3.5% they charge you.

Read more about How to Invest by Paying Your Credit Card, and earn an equivalent compounded annual growth rate of approximately 51%

  1. Invest

Investing is increasing the value of your assets using your existing resources, like time and money.  While some consider investing a science, there are enough elements of creativity involved, I prefer to think of it as an art.Investing in your greatest asset – you – is probably your best investment.  You probably invested hundreds of thousands of pesos in your formal education (elementary, high school, college) so you can get a good job, and work for money.

Invest in your financial education, to learn how make money work for you, and to gain financial wealth and spiritual abundance at the same time.  Join the TrulyRichClub.

Start by taking a crash course in stock market investing.Invest in safe investment vehicles to build your retirement fund and your children’s college funds. Equity mutual funds and UITFs are good starting points.

  1. Setup Your Emergency fund

Setup your emergency fund, normally three to six months of your living expenses.  Emergencies are for emergencies or unexpected large expenses such as medical emergencies or temporary unemployment.  Sale in malls are not emergencies, even if your dream shoes are on sale at 70% off.

Keep your emergency funds in savings or time deposits.

  1. Indulge

Spend a little on yourself.  Save specifically on little pleasures for yourself, maybe an occasional vacation or adventure.  Save for your future, but  treat your present self every now and then.

A note on the 10% for Eternity

Share your blessings  to your spiritual community and to the less fortunate.  Remember we are merely managers of of God’s wealth.  Giving actually makes you feel more blessed, and appreciate the abundance of God’s universe.  Giving makes you win in all areas of your life.  In other words, TrulyRich.


Bobet Prudente is a financial coach and Senior Marketing Director at IMG TrulyRichMakers.  He is a member of Bo Sanchez’ TrulyRichClub .  He conducts regular FREE Saving Your Future seminars on Practical Money Management Techniques in Quezon City.

 

Kwentong May Kwenta

Literally, “Kwentong may kwenta” means  either

  • stories that matter
  • stories with calculations

In this site, “Kwentong May Kwenta” mean stories with calculations that matter. There are many financial articles that explain financial concepts in great detail, citing numbers which seem magically derived from some advanced mathematics bordering on rocket science.

Our  “Kwentong May Kwenta” use tables of numbers to illustrate financial concepts, and practical applications, showing simple calculations one can do with a basic calculator or Excel.  The computations are easy to replicate for use in actual, personal situations.

We do not even expect readers to do computations.  We hope that by showing numbers to illustrate concepts and practical applications, the readers simply appreciate and relate to the concepts shown.

 

How to Invest by Paying Credit Card Debt

Do you have credit card debt?

If you have credit card debt, one of the best gifts you can give yourself is to pay your credit card aggressively. Paying high-interest debt is actually a very good investment strategy, sometimes “earning” you more than 50%

It isn’t enough to just pay the “Minimum Amount Due” every month. Create a payment plan, put it in writing, and attack your credit cards, starting with the highest interest credit card first. If the cards have the same interest rate, choose the one with the lowest balance.

Cut up your credit cards!

Aggressively pay your credit cards starting with the card with highest interest rate.

What happens if you just pay minimum? Let’s take a look. Suppose

  • you have credit card debt of P20,000 in one credit card
  • you do not add any more debt to that one credit card
  • your monthly interest rate is 3.5% and
  • you normally pay only the minimum P500 per month for this card
  • you keep your other credit card payments constant
Paying Minimum

Paying only the Minimum Amount Due will often increase your debt

After the first month, your P20,000 debt incurs 3.5% interest or P 700, and you pay P 500 only, so your ending balance is P 200 higher at P20,200. After 12 months, you would have paid P 6,000, but incurred P 8,920.39 in interests! Hence your ending balance after 12 months is higher at P22,920.39. Your debt and P 6,000 payment actually lost you P 2,920.39 or 49% loss!

But what if you decided to save an additional P10 per day or P300 per month to add to your credit card payments. That isn’t much, right? Instead of paying the minimum P500, you pay P800.

Pay more than minimum

Paying more than minimum, at least more than monthly interest, will reduce your credit card balance.

Because you are paying P800, or more than the interest (3.5% of balance), your debt actually shrinks every month. Specifically, your P20,000 debt will shrink to P18,539.80 in 12 months. This means your twelve P800 payments totalling P9,600 earned P20,000 minus P18,539.80 equals P1,460.20 or about 14.6%* !!!

But what if, when you get your 13th month pay, you use part of it to make a large payment on your credit card debt? What if, after deciding to save an extra P10 a day or P300 a month, you paid P7,500 on the first month?

Balloon Payment

Making a balloon payment reduces the interest rate

The balloon payment of P7,500 substantially paid the balance of your P20,000 debt, so after the P700 interest, first month ending balance is P13,200. Hence subsequent interest per month dropped initially to P450 then lower every month.

So your debt shrinks faster every month, up to P8,758 after 12 months! This means your P7,500 plus P800 every month totaling P16,300 earned P20,000 minus P8,758 equals P11,242 or about 69%* !!!

But let us make a real plan. Can you save P33/day instead of P10/day? The P23 difference is about the price of a cup of coffee at the cafeteria, or that modest ‘turon’ after lunch. That translates P1,000 per month. What if, in addition to your P7,500 on the first month, you add the P1,000 to the original P500, and pay P1,500 per month?

Aggressive Payment

Aggressively paying your credit card debt will enable you to quickly retire your debt

Wow! Is this for real? The P7,500 initial payment reduced the balance to P12,500 plus P700 interest increased the first month end-balance to P13,200. But the aggressive repayment at P1,500 per month very quickly reduced the balance to P1,022.81 after the 11th month, enabling you to fully retire the P20,000 debt after only 12 months!

Just think about this. Your P23,558.61 in payments earned you enough to fully retire one credit card with P20,000 beginning balance. That is like earning P20,000 on P23,558.61 in one year or 85%! Where can you find an investment that gives you 85% in a year?

After 12 months, it is time for your 13th month pay again. Time to start retiring your second credit card or next P20,000 debt. It will be easier for the second card. If you were paying minimum of P500 on your second credit card, you can then pay P1,500 more ( what you were paying for the first credit card ).

Pay high-interest debts! It is one of the best investments you can make!

* Strictly speaking, the effective interest rate is the same as the credit card rate, approximately 3.5% per month, or a compounded annual rate of approximately 51%.


Learn more about Practical Money Management Techniques in our FREE Saving Your Future seminars in

Related topics

Paano Nakalaya ang Isang OFW Mula Sa Barko at Umuwi sa Pamilya sa Pilipinas

I-share ko lang po sa inyo ang kwento ni Randy and Christy

Ako po ay isang OFW as a Seaman, Randy Cañete.

Randy and Christy Cañete

Meet Randy and Christy Cañete. Randy says: “Ako po ay isang OFW as a Seaman, Randy Cañete. At sa loob ng 16
na taon. Sa loob ng 16 years na paghihirap at pag titiis na malayo sa Pamilya para kumita ng pera….”

At sa loob ng 16 na taon. Sa loob ng 16 years na paghihirap at pag titiis na malayo sa Pamilya para kumita ng pera
….14 years duon ay walang naitabi
…walang naipon at walang investments na bubuhay sa akin at sa pamilya ko kung saka sakaling bigla akong mawawalan ng trabaho
… (mapaaway o nadisgrasya sa barko).Ito siguro sa kadahilanang nagbago ang aking lifestyle ganun din ang aking pamilya
…lumaki ang aking kita pero mas lumaki ang aking gastusin at bayarin dahil sa aking naging
Lifestyle
….Negative cashflow dahil sa “Instant Gratification.” Bili dito, bili duon,pasyal
dito, pasyal doun. Nakalimutan ko na ang”Delayed Gratification” at matutong mag-ipon at mag-Invest para malaguin ang aking Hard Earned Money na syang magpapaginhawa at buhuhay sa aking pamilya sa oras ng wala na kong trabaho.

Salamat sa Dios at sa aking masidhing kagustuhan na matutunan ang wastong Financial
Literacy na natutunan ko sa pagbabasa ng mga Financial Books, pag aattend ng mga Seminars at higit sa lahat sa Opportunity at importanteng kaalaman sa buhay at ispritwal na ibinahagi sa aming mag-asawa ni Bo Sanchez at ng International Marketing Group that really changed
my insights how to handle hard earned Money and make them that Money work hard for me and for my Family. It teaches me and my wife too how to be a good Entreprenuer.

ps: sa ngayon po ay nakalaya nako sa pagiging alipin sa barko dahil 3 years narin ako dito sa Pilipinas kumikita gaya din ng kinikita ko sa barko.

pps: Kasama ko na pamilya ko at napakasarap ang buhay na makitang lumalaki ang aking mga anak at nagagabayan sila ng maayos at may suportang “Moral”.

PPPS: Para marating mo ang isang bagay, It is Important to know where you are right now muna. Answering this FREE survey will help you and your Family’s Future –> https://goo.gl/WpHJlP

AVOID SCAM AND PYRAMIDING! BE FINANCIALLY LITERATE!

Meet Randy and Christy when they conduct our FREE “Saving Your Future” seminar on Practical Money Management Techniques, in Dasmarinas Cavite. Christy normally conducts the Friday sessions.

Mayroon ding seminar sa:

Save Early!

Si Aga Maaga, Inna Sakana, Pol Pahabol at Loi Tuloytuloy

Let me tell you the story of four college friends, who  became millionaires when they retired.

The first friend, Aga Maaga, immediately started saving at age 21. He began saving P2,000 per month and investing it at 12% per year. After six years, he had a mini-reunion with two of his friends.

Aga Maaga

Aga Maaga started saving early, and invested P24,000 a year at 12% per annum. He did this for 7 years.

He told his friends, “Wow! I saved only P24,000 per year for six years, for a total of P144,000. But thanks to the power of compounding, my accumulated balance is now P218,13! But I am getting married already, and I can’t afford to save anymore, so I will stop saving.”

His two friends, Inna Sakana and Pol Pahabol  said “Wow! We’re 27 years old already, but we want to start now! We will begin saving P2,000 per month too, and invest the savings at 12%”

The three friends met again six years later, and compared their portfolio.

All three friends saved P2,000 per month, or P24,000 per year for six years for a total of P144,000. But Aga Maaga already had P430,562 after 12 years, while both Inna Sakana and Pol Pahabol had P218,136, just like Aga Maaga six years earlier!

They noted Aga Maaga‘s investment was already P430,562, or almost twice their P218,136!

Inna Sakana said “I will also get married, and have to stop saving. Maybe my investment will grow like Aga Maaga

Aga Maaga, Inna Hulina and Pol Pahabol

Inna Hulina and Pol Pahabol copied Aga Maaga’s investment, but started 6 years later. They saved and invested P24,000 per year at 12% per annum for six years.

Pol Pahabol said, “I want to catch up with Aga Maaga, so I will keep on saving and investing, until my accumulated investments exceed Aga Maaga‘s”

The three friends met many years later, when they reached 60 years old. They compared their portfolios.

At age 60, Aga Maaga, after saving P144,000 from age 21 to 26, and waiting till age 60, had P10,283,493 in his portfolio. His money grew 71 times from age 21 to age 60!

At age 60, Inna Sakana, after saving P144,000 from age 27 to 32, and waiting till age 60, had P5,209,938 in his portfolio, about half of what Aga Maaga had! The only difference in their investment strategy, is that Inna Sakana began saving six years later!

After 40 years

After 40 years, Aga Maaga and Pol Pahabol both had P10M pesos. But Aga Maaga invested onyl P144,000 while Pol Pahabol invested P816,000!

Pol Pahabol observed that because he kept on saving and investing, his portfolio grew faster and through the years, he was slowly catching up with Aga Maaga. Finally, at age 59, he finally had more than Aga Maaga. At age 60, after saving P816,000 over 33 years from age 27 to 60, he had P10,335,924 in his portfolio, his money grew only 13 times compared to Aga’s 71 times!

Inna Sakana said “Hay naku, nakakainggit si Aga!  Pareho lang ang aming na-invest, pero nahuli lang ako ng 6 years, tapos P5M ang diperensiya, kalahati lang ang aking investment ikumpara sa kanya?  

Pol Pahabol said “Hay naku, ang hirap naman habulin ni Aga!  Grabe! He saved and invested P24,000 a year for only 6 years, or P144,000!  And I invested P24,000 a year for 33 years or P816,000!  Tapos halos pareho lang pala kami?”

Then their fourth friend, Loi Tuloytuloy joined them. He said, that like Aga Maaga, he started saving P2,000 per month or P24,000 per year at age 21. Like Pol Pahabol, he continued saving P24,000 per year until age 60.

At age 60, he had P20,619,417, or about the same amount as Aga Maaga and Pol Pahabol combined!

Loi Tuloytuloy

Loi Tuloytuloy just kept on investing P24,000 per year for 40 years. At 12% per annum, he had more than P20M by age 60!

Who is your role model? Who would you like to copy?
Si Loi Tuloytuloy?
Si Aga Maaga?
Si Pol Pahabol?
O si Inna Sakana?

We’d all like to be like Loi Tuloytuloy, and accumulate P20,619,417, but if not we should be like Aga Maaga, who started early!

Are you ready to start saving and investing? Are you ready to grow your wealth?

Save Your Future by learning Practical Money Management Techniques in our FREE seminars. Register early, there are limited slots available!   Click below to register for the FREE Financial Seminar in

Are you ready to grow your wealth?

Are You Ready to Grow your Wealth?

Investing early and correctly make it easy!

Don’t’wait for the right time to invest, now is the right time!

People who wait till tomorrow to invest never actually  start, because tomorrow never comes;   there will always be another tomorrow.

Suppose you are 20 years old, and you want to have P5M in your retirement fund at age 60, then you have 40 years to build your retirement fund.

If every month, for 40 years, you save P421 in an investment vehicle that earns 12% per year, you will have P5,000,000 in your retirement fund.

Investing P421 monthly at 12% will give you P5M in 40 years!

Investing P421 monthly at 12% will give you P5M in 40 years!

But most young people will say, “I’m young, I’m healthy and I just got my first job! I’ll enjoy my salary and begin saving later!”

At age 30, you wonder if you should begin saving.  You still have 30 years to save before you retire at age 60, right?

If every month, for 30 years, you save P1,416 in an investment vehicle that earns 12% per year, you will have P5,000,000 in your retirement fund.  Because you waited 10 years, the amount of money you need to save to reach P5,000,000 already tripled!

Investing P1,416 monthly at 12% will give you P5M in 30 years!

Investing P1,416 monthly at 12% will give you P5M in 30 years!

At age 30, people say, “I just got married and have lot of new expenses.  I’ll save tomorrow.”

Many people have excuses not to begin saving and investing.  But just look at this table.

Investing early makes it easier to build wealth

Investing early makes it easier to build wealth

At age 40, one needs to save  P5,004 every month, investing at 12% per year for 20 years to have P5,000,000 at age 60.  But people at age 40 say, ”The kids are growing up, and I have lots of school expenses.  Maybe I can begin saving tomorrow.”

At age 45, one needs to save  P9,909 every month, investing at 12% per year for 15 years to have P5,000,000 at age 60.  The amount needed almost doubled in five short years!  But still people say, “My God, I didn’t know college can be so expensive! I can’t afford to start saving.  Maybe tomorrow.”

At age 50, one needs to save  P21,500 every month, investing at 12% per year for 10 years to have P5,000,000 at age 60. The  amount more than doubled! But still people say, “My parents’ retirement money just ran out, and we have to support them.  And I have more bills to pay. I really hope I can start tomorrow”

At age 55, one needs to save  P60,600 every month, investing at 12% per year for 5 years to have P5,000,000 at age 60. The  amount almost tripled!  That is about P2,000 per day!

Which is easier, saving P421 PER MONTH starting at age 20, or saving P2,000 PER DAY starting at age 55? At age 55, people sadly say,

“I should have started saving yesterday.”

And finally at age 65, people say, “My retirement money is just enough to pay for my debts. What will I spend tomorrow?”

It is never too late to start saving and investing! The earlier you start, the better!  It keeps on getting exponentially more difficult as you grow older.

Are you ready to start saving and investing? Are you ready to grow your wealth?

Save Your Future by learning Practical Money Management Techniques in our FREE seminars. Register early, there are limited slots available!   Click below to register for the FREE Financial Seminar in

  • Makati (World Center Bldg, Sen. Gil Puyat Ave, Makati across Mapua)
  • Quezon City (Timog Ave cor. Quezon Ave, in front of Ninoy Aquino monument)
  • Dasmarinas Cavite (Camerino Ave, near main Church)
  • Calamba Laguna (Highway corner Chipeco, Brgy Halang)