Financial Literacy

[sosei]

Hey all I am a new to the site but have been reading the content for some time.

I have read studies that indicate that our people fall behind the other major ethnic groups when it comes to understanding money.

Financial Literacy, or lack thereof, leads to so many other issues. We need to teach each other and grow as a people.

Here is a quick 2 minute quiz to test your general knowledge when it comes to money.



http://thecleverafrican.com/2017/04/13/financial-literacy-quiz/

 

[King Khufu]

silly

 

[Ras]

We don't partake in the western financial system.

Everything in the global financial system is based on riba directly or indirectly.

We have our own markets, exchanges and investment vehicles and most of us participate in them.

 

[YourBroMoe]

^f*ck THAT! I'm playing the money game bro. Wealth is important, as it'll secure your future family's success. Learn all you need to learn and make wise financial decisions. Don't let ideas from the past in another culture dictate how you can make money. All you'll do is regret it, because you'll end up missing out on all the money you could of had.

Also, I subscribe to the opinion that interest is permissible, but usury is what's forbidden. Here's my reasoning:

When you take out a loan, the loaner has money that he's giving to you for a period of time. Within that period of time, he could of used said money to do something else. So what is his interest in handing you the loan? Well, you pay a fee for borrowing his money. It's a service.

Ex. Say you got a stable and good job, and you know that in 5-7 years, you'll have the money to buy a house and raise a family. What would you do?:

A) Save up for 5 - 7 years and live in an apartment, and then buy a house.
B) Get a mortgage, own the house, pay it off after 5-7 years with interest, and then keep it.

You'd have to be an idiot to wait. You can raise a family in a good neighborhood, and in a nice house. It's just a sensible financial decision.

Usury is what I believe riba is. Why? Because usury is using the concept of interest on the misfortune to extort them for money.

Ex. A loan shark goes to a broke person with a gambling issue. He gives the gambler a loan of $1000, with an interest rate of 150% that has to be paid off in 3 weeks, and every week it's not, an additional fee of 50% will begin every week.

Do the two situations sound even remotely similar.

Y'all need to read a book and stop acting so retarded. Think a little for fucks sake.

 

[AliUK]

^f*ck THAT! I'm playing the money game bro. Wealth is important, as it'll secure your future family's success. Learn all you need to learn and make wise financial decisions. Don't let ideas from the past in another culture dictate how you can make money. All you'll do is regret it, because you'll end up missing out on all the money you could of had.

Also, I subscribe to the opinion that interest is permissible, but usury is what's forbidden. Here's my reasoning:

When you take out a loan, the loaner has money that he's giving to you for a period of time. Within that period of time, he could of used said money to do something else. So what is his interest in handing you the loan? Well, you pay a fee for borrowing his money. It's a service.

Ex. Say you got a stable and good job, and you know that in 5-7 years, you'll have the money to buy a house and raise a family. What would you do?:

A) Save up for 5 - 7 years and live in an apartment, and then buy a house.
B) Get a mortgage, own the house, pay it off after 5-7 years with interest, and then keep it.

You'd have to be an idiot to wait. You can raise a family in a good neighborhood, and in a nice house. It's just a sensible financial decision.

Usury is what I believe riba is. Why? Because usury is using the concept of interest on the misfortune to extort them for money.

Ex. A loan shark goes to a broke person with a gambling issue. He gives the gambler a loan of $1000, with an interest rate of 150% that has to be paid off in 3 weeks, and every week it's not, an additional fee of 50% will begin every week.

Do the two situations sound even remotely similar.

Y'all need to read a book and stop acting so retarded. Think a little for fucks sake.

Is there is Islamic proof for the difference or are you saying this because of greed?

 

[YourBroMoe]

Is there is Islamic proof for the difference or are you saying this because of greed?

I dunno tbh, I ain't a scholar. Do you homie.

 

[hindhisle]

We don't partake in the western financial system.

Everything in the global financial system is based on riba directly or indirectly.

We have our own markets, exchanges and investment vehicles and most of us participate in them.

Would you allow intrest rate that covers the inflation only where as the real intrest rate is 0>. Abviously this is for the consumers only. States and companies intrest will most likely made of normal: S/D, length, ability to pay back and ofc. inflation once again. Each bank has its own prime-rate too.

This idea is held by many muslim world leaders including erdogan who is the main ally of somalia. Also every muslim nation takes loans from time to time and it has huge intrest becouse most of them are piss poor.

The financial system of the world is connected more than ever, you will have hard time avoiding intrest. Also its internationaly excepted that intrest is the price of the money.

 

[Ras]

Would you allow intrest rate that covers the inflation only where as the real intrest rate is 0>. Abviously this is for the consumers only. States and companies intrest will most likely made of normal: S/D, length, ability to pay back and ofc. inflation once again. Each bank has its own prime-rate too.

This idea is held by many muslim world leaders including erdogan who is the main ally of somalia. Also every muslim nation takes loans from time to time and it has huge intrest becouse most of them are piss poor.

The financial system of the world is connected more than ever, you will have hard time avoiding intrest. Also its internationaly excepted that intrest is the price of the money.

Sure but going headfirst into investing in stocks or other financial vehicles is the opposite of avoided interest.

However that's a moot point anyways...Anyone with more than 2 braincells knows that it's a fixed game.

All the main commodities or large bonds are manipulated by banks and family offices that loan money at nearly 0% interest.

Stocks and indexes are slightly better but why should we invest our money in their businesses when Somali businesses need it more and can provide better returns.

 

[sosei]

We don't partake in the western financial system.

Everything in the global financial system is based on riba directly or indirectly.

We have our own markets, exchanges and investment vehicles and most of us participate in them.

I can understand this to an extent. But I also feel that there could be some people from Somali that live in the Western World. Some of these people, if they do not consider how money works in the western world, will be at a disadvantage. Especially the young ones going through school. I was just hoping this could find some of them and get them thinking about better understanding the system so that they can be more successful.

 

[Ras]

I can understand this to an extent. But I also feel that there could be some people from Somali that live in the Western World. Some of these people, if they do not consider how money works in the western world, will be at a disadvantage. Especially the young ones going through school. I was just hoping this could find some of them and get them thinking about better understanding the system so that they can be more successful.

They shouldn't lock their routes to financial success to the global financial system.

Sure it would give them an easy way to get some decent stable returns if they don't mind riba.

However cadaans do it to help bolster their own economies and in turn help ensure future job opportunities.

Somalis would be better off investing in Somali investment vehicles (I'm sure someone is working on them) that would provide them with better returns.

A 401k would leave you with a pension slightly better off than a social security pension but a HOA alternative could leave you with enough money for future generations.

Riskier but I'm sure there are risk management strategies that could be implemented to offset risks to some extend.