Points of improvment from the financial crisis
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peace,
The most important thing is probably to minimise your debt in all forms, whether it be mortgage, credit card, loans etc. The current money system thrives on debt. If you reduce yours, you are reducing your role in the problem
Absolutely and reducing your part in strengthening Pharaoh, Haman, and Qarun.
I'm coming round to the idea of investing in gold rather than shares
4335 And also adornments of GOLD. But all this were nothing but conveniences of the present life The Hereafter, in the sight of thy Lord is for the Righteous.
If you are going to borrow money, try a co-operative bank first, a local credit union, then a building society, then things like zopa.com and as a last resort, a conventional bank.
However not many people are aware of credit unions and co-operative banks, so it will benefit all if you could list the advantages of the above as I understand they are owned by the investors but still can act as banks.
peace -
peace farida, all,
Your referencing of 4335 is not about simply having savings/gold. The Quran allows savings, this is fact http//free-minds.org/forum/index.php?topic=8735.msg29090#msg29090
The advantages of the things I mentioned are fairly easy to look up
co-operative bank
http//www.goodwithmoney.co.uk/servlet/Satellite/1200903577042,CFSweb/Page/GoodWithMoneya local credit union
http//www.abcul.org/page/about/intro.cfmthen a building society
http//www.ukmortgageinfo.com/useful/glossary.htm#b
A building society is a mutual organisation owned by its members not by shareholders. Members are the people who save with and borrow from the building society. Building societies do not pay dividends to shareholders so they can pass this saving on to members.zopa.com
http//uk.zopa.com/ZopaWeb/public/about-zopa/big-idea.html -
peace,
I'm coming round to the idea of investing in gold rather than shares
Peace Wakas
The important think, IMO, is to understand WHY you are investing. For me, ultimately it is about retirement and also in times where I need a some of money. With gold, while it is stable, various graphs show it does not seem to rise much, when money is adjusted for inflation. There are also problems of storage. And then there is the issue of exchanging it for items of value. How would this work?
I am not sure what the answers are.
I do however live 5 minutes walk away from a gold minting place where one can buy gold. Perhaps I should pay it a visit.....
Roshan
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The crisis was caused by speculation, and since the only way that gold makes people money is by speculation, I don't seen how 'investing' in it would make the problem go away. It's just adding speculation to speculation.
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The crisis was caused by speculation, and since the only way that gold makes people money is by speculation, I don't seen how 'investing' in it would make the problem go away. It's just adding speculation to speculation.
Peace
I understand exactly what you are saying. Gold is inanimate, it does not do anything for us (unlike food, water, shelter). It goes to the heart of exactly what one feels should have value. However, the same could be said of money but with money surely this is subject to far more speculation than gold.
Roshan
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Money today is based upon debt - banks are able to create money up to the value of loans they give. Therefore this is something useful - a debt is a promise, promises are useful - they have real use value, when youpromise to do something for someone it is really, genuinely, contributing to the benefit of society, and it is this use value that is reflected in the value of the money paid for this promise.
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Peace liquiddharma
Money today is based upon debt - banks are able to create money up to the value of loans they give. Therefore this is something useful - a debt is a promise, promises are useful - they have real use value, when youpromise to do something for someone it is really, genuinely, contributing to the benefit of society, and it is this use value that is reflected in the value of the money paid for this promise.
Don't you think money today IS debt rather than merely being based on debt? Banks actually create money based on the reserves that the central reserve bank of a particular country requires them to hold. In other words, if the central reserve require banks to have a 10% reserve, they are entitled to issue loans worth 10 times that which they hold. This is useful only for those who have. It is not useful for those who don't.
As for promises, keep in mind our promise to God as believers to fulfil that which is entrusted to us. In 9111, God has purchased the lives & wealth of the believers in exchange for Paradise. Therefore we need to distribute this wealth in accordnace with what God has promised everyone i.e. that the needs of all living creatures must be met. With this in mind, don't you think that until there are no longer people whose basic needs are not being met, investment for future should not even be considered?
Imraan
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There is also the duty to make sure that when you help others, your help is not used for bad things. If you're in a city, you can't just go around handing out cash if it is likely to be used for drugs or other vices. Likewise, if you are a government with lots of cash to spare, you can't hand it out to other governments who will use it to fight wars. Otherwise you are responsible for the evil acts they commit.
With this in mind, I think it is very important to do everything we can to help the needy - but when we reach the limit of the people who want to be helped, we also have a duty to look after ourselves.
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Peace liquiddharma
There is also the duty to make sure that when you help others, your help is not used for bad things. If you're in a city, you can't just go around handing out cash if it is likely to be used for drugs or other vices. Likewise, if you are a government with lots of cash to spare, you can't hand it out to other governments who will use it to fight wars. Otherwise you are responsible for the evil acts they commit.
With this in mind, I think it is very important to do everything we can to help the needy - but when we reach the limit of the people who want to be helped, we also have a duty to look after ourselves.
Is your opinion that we look after our basic needs & that of our family, then look after the basic needs of those whose basic needs are not being met (to whatever limit), & only then look after our future investments/
Also, I am referring to basic needs in my comments. Therefore everyhone needs food, clothing & shelter. These needs can be taken care of without fear of misuse. Even if one suspects misuse, measures can be put in place to prevent misuse.
Imraan
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Don't invest in gold, invest in organic seeds a few thousand tons, different foods, herbs, stuff (black cumin seed oil), and a food vacuum sealer.
By the end of 2009 (Codex Alimentarius), GM will be in force. No one likes seedless foods.
Or if you can, to earn some reward from the god. Sell organic food seeds to those who are getting free GM seeds. Sell it for cheap.
And by the way, gold is used in many industrial applications.
