Seven Sins Related To Savings
We all know that there are 7 deadly sins. They are lust, wrath, greed, sloth, envy, pride, and gluttony. These sins can cause physical as well as mental damage to a person if he takes them in excess. Apart from these damages these sins can also cause financial losses. Financial losses simply means loss of your hard money or decrease in financial value. We earn money so that we can save it for future needs. To save money we invest it in different sources. Some of the examples of investments are, bank accounts, National savings, bonds, property, equities (shares), and mutual funds. These investments not only save our money but also help us to multiply it. This saving and multiplication of money is only possible when you are free of these 7 deadly sins. So before investing your hard earned money, you have to get rid of these sins which can eat into your savings.
1. Lust
Lust means an overwhelming and intense desire to achieve something. It can be for anything like sex, power, and knowledge. Lust is the most dangerous sin and if you involve it with your savings, then before you can realize, you will find yourself in a debt ridden situation. We have the tenancy to buy whatever we see. It may be a new model car, a beach side apartment, or a foreign tour. The problem is that we are not able to differentiate between necessity and luxury. This lack of differentiation can cause great financial losses. The first rule to follow before you buy anything is to decide whether the thing you are going to buy is a necessity or a luxury. After you have fulfilled your necessities, then only you should indulge in luxury.
2. Wrath
Wrath generally means anger but it is an uncontrolled hatred for someone or something. Wrath can cause severe financial damages. If you are working in a office, then you will be angry with your boss if he does not promotes you. If you are a share holder of a particular company, then you will be angry with that company for the loss in value of your shares. This habit of blaming others for your financial situation will make you impatient and you will become a victim of wrong decisions because your vision is clouded with rage. The best way to overcome this sin is to make decisions rationally which will help you to invest your money and talent in a more profitable sources.
3. Greed
Greed simply means the tendency to possess something, more than you need. We are greedy by nature but if we want to save our money we have to get rid of this sin. In today's financial market, we come across many schemes that promise to double our money within a short period of time. When such offers flash before our eyes, we are filled with greed and quickly take the bait. We do not think about the risks attached with such quick cash schemes. Before getting involved in such schemes, you have to get a thorough knowledge of their proceedings and have a good idea about your own current financial situation. If your current financial situation is not sound then don't indulge in such scams because you will end up loosing all your money.
4. Sloth
Sloth means extreme laziness. Slothful people have never gained anything in life. If a person is lazy with his money, then it cause huge financial losses. This sloth first starts with small things like delaying electricity or phone bill payments which can cost you more than 100 Rs in penalties. In the next stage there will be a delay in paying credit card bills which can cost you a large sum in penalties. Some people are so lazy that they fail to pay an insurance premium on time and as a result of which their policy lapses. If you have taken some loans, then delay in payment of EMI can cause severe financial damage. To overcome this laziness, you have to prepare a to-do-list of your monthly bills and this will help you to make payments at the appropriate time.
5. Envy
Envy means the desire to achieve other people's qualities, status, and other possessions. This is a dangerous sin for investments because we want to have everything what others possess. Our neighbors buy a new car and we are so envious that we also want to buy the same model car. When we are envious we don't think whether we can afford to buy it or not. If we can't afford it then our envious nature forces us to borrow money or to take loans. This will ultimately make you debt ridden and you may never be able to fully recover from this financial damage. Taking a loan for buying an asset which will have greater value in the future is fine, otherwise be satisfied with your current financial situation.
6. Pride
Pride has two meanings, positive and negative. Positive pride is good for you and it means that you are confident about yourself. Negative pride means you are overconfident about your accomplishments and abilities. This negative pride is an obstacle for your savings. If you invest in stock market and you face losses then admit it that you made a wrong decision rather than showing your pride and again investing in that stock. This arrogant attitude of you will only bring losses. Keep you ego out of investments and when the price of a share falls don't be arrogant. Try to think practically and if the share price falls below a certain level then sell it and invest in some other profitable stock.
7. Gluttony
Gluttony means the desire to consume more than that which one requires. In financial situation gluttony means saving your money in one particular investment. Gluttonous people are obese and like that your money in a particular investment also grows obese. In today's financial scenario nothing is permanent and your investment in a particular industry can turn into losses without any prior notice and you will lose each and every penny of your hard earned money. To avoid this situation, you have to invest in different sources because the risk of losing money is very less. This will help you to create a balanced financial saving.
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