• France Makabu

3 ways to start investing with smaller amounts of money


Save and invest used to be easier said than done. Most of us never felt like we made enough money to save, so investing was straight out of the picture. I wrote this in past tense because today I am sharing with you three ways to start investing with smaller amounts of money.

P2P lending Peer To Peer platforms match borrowers with lenders. Here, borrowers are people looking for a loan outside of traditional banks to cover for medical expenses, credit card payoff, home improvements and so forth. The lenders are other people who are willing to put their money together and loan it to borrowers. The platform checks the borrower’s credit report, credit score, salary, and other credit sensitive information, then uses it to determine the interest rate.

The platform breaks up the loans into small notes, and each investor can review loan profiles, decide which loan (s) to invest in, and how many notes for each loan. The borrower repays the principal to the investors as well as interest. The payment terms and amounts are set by platform before the loan is approved. The platform collects a small percentage on each payment made to the investor. I have personally been using the Lending Club for many months now, and I would recommend to take advantage of the minimum investment and diversify your p2p portfolio. That way if a borrower defaults, you won't lose too much.

Stocks via Loyal3 What if I told you that you can start investing in the stock market today with as little as $10? Loyal3 is a platform on which you can invest in some of the stocks you use every day such as Facebook, Apple, Starbucks, Microsoft, Coca Cola, Amazon, GoPro, and such. The platform invests in the market through batch orders which enables us to invest smaller amounts of money and own fractional shares. For example, if a share of Facebook trades for $127.21, and you want to invest just $50, you will already own 0.3930 of a share of Facebook. I find it very beneficial for beginner investors to use loyal3, because it allows you to discover the stock market without having to pay for fees or commissions. Moreover, you can download the app on your smartphone and trade at any time. The only downside is that the orders are not processed in real time, but that does not make much of a difference for a beginner investor.

Start your own business or learn a new skill I know it sounds intimidating, but there is nothing more rewarding than being your own boss. So, if you have a talent or skill that you can monetize, invest in yourself. If you know how to make dope bow ties, set up your online store and go from there.

If you know how to rock it on a dance pole, you can rent out some time at a dance studio and give pole dance classes. If you don't already have a skill that you can monetize, it is never too late to learn. You can learn how to bartend now, and later on open your own bar. You can go to barber/beauty school now, and later open your own barbershop/beauty shop. My point is possibilities are endless, and we are in the land of opportunities. All you really need is to get started.

Live Life Fully,

France Mkb

#save #invest #money #lending #stocks

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