Taking a loan, enjoying a vacation and earning from it.
It is not simple, however when equation falls right there is an invention, and feeling of excitement is an assurance of a paid vacation with an earning throughout a life. It works as follows in an example:
A. Weekend vacation cost: 25000/-
B. Loan: 25000/- @ 20% interest per annum, maximum approximately.
C. Liquidity to invest in safe deposits: 25000/- @ 10% simple interest per annum for 10 years.
That is in reality cost of weekend vacation from loan 25000/- (A) spent generously after taking the loan, which is to pay back over one year in an EMI that totals to approximately 30000/-(B).
Liquidity in hand for vacation 25000/- invested for 10 years in safe deposits gives 50000/-(C).
Earnings from weekend vacation during a year:
C (Earnings from deposits) –B (Loan Paid) = Earnings
50000/- – 30000/- = 20000/-
The drawback is getting the earnings after 10 years. There is an option to breakeven and reduced earnings with lesser investment. In addition, the balance of the liquidity is clear for investment elsewhere working for higher returns. Will this boost tourism, hotel industry must send this blog free stay vouchers.
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