Do you feel like debt consumes your life? Are you searching for a way out that doesn’t simply require you to work harder for more hours?
Today’s guest has always felt differently about money since inadvertently starting his own business at age 17. Earning money without a degree helped open him up to a new possibility that changed his career path forever.
Today’s guest is Jaspreet Singh, a business owner, investor, and YouTube sensation. This episode is a fascinating discussion about what keeps people poor, the rule of debt, what you can do with your credit card debt today, the psychology of investing, an abundance versus poor mindset, and so much more!
If you feel overwhelmed by your current financial situation, this episode is for you! Let’s jump straight in.
Who Is Jaspreet Singh?
Jaspreet Singh, otherwise known as the Minority Mindset, is a qualified attorney, investor, and CEO of both Market Briefs and Market Insider. Although he didn’t receive any formal financial education, he is on a mission to make financial education fun and accessible. His brand has helped countless people get out of debt, start investing, and create a plan for building wealth.
Jaspreet has always thought about money differently, starting in high school. He worked at Indian weddings and became friendly with the DJs, many of whom pushed him to host a teen party for his friends. As someone who didn’t party, drink alcohol or even smoke, Jaspreet started university with a different mindset.
Needing something to do on Friday nights, he decided to bring the teen party business to college. At 17 years old, Jaspreet knocked on every club, bar, and restaurant door, asking if he could host a party. Some demanded $10,000, others $20,000 — but that didn’t stop him. Eventually, some said they simply wanted half of the cover charge, and Jaspreet was in business.
While making a little bit of money and some spare cash, he started investing his time in reading business books. Almost every business book says wealthy people invest in real estate. Right after the 2008 crash, while studying for his medical college admission test, Jaspreet started looking at real estate in between study sessions. On August 22nd, he took the medical college admission test and, a day later, closed his first real estate property at just 19 years old. It was an $8,000 foreclosure on a property worth $150,000 just a few years earlier.
Jaspreet leased it for $600 a month and, even though he had been an entrepreneur, was exposed to the idea of using his condo to generate passive income. Jaspreet asked himself, “Why am I working so hard in school?” Ironically, the answer was so he could become a doctor to make money. So, started Jaspreet’s journey to revolutionize financial freedom.
To kick things off, let’s understand the system that keeps people poor.
What Keeps People Poor
To understand your circumstances, you need to understand the system in which you are operating. Jaspreet gives us an excellent breakdown of why financial literacy isn’t more widespread.
“The banks profit when you’re financially uneducated because they’ll keep you saving money in the bank. If the banks lived by their advice, [they] would be losing money. When you deposit $1,000 in the bank, that cash is a liability for the bank. An asset is something that puts money in your pocket. A liability is something that takes money away from your pocket. When the bank has your cash, it’s a liability, [and] they want to get rid of it as fast as possible. The way they do that is by lending it out because it’s an investment for the bank.” – Jaspreet Singh
Your cash is losing value to inflation every day you keep it in the bank, and you’re becoming poorer each day. Consider the interest you get for saving your money in the bank compared to the interest they charge you on your credit card.
“They want to keep you spending money on their credit card because now they’ll earn 18-25% in interest every time you spend a dollar. Governments want you to be financially uneducated because you remain an employee when you’re financially uneducated. Who pays the highest taxes? Employees and consumers — everybody knows that rich people don’t pay taxes.” – Jaspreet Singh
Hearing how the rich don’t pay taxes makes many people angry, but Jaspreet explains that it’s because we don’t understand why and we get angry at the wrong things and for the wrong reasons.
Luckily, we are here to learn and change that. Let’s hear about Jaspreet’s rule regarding debt.
