The Money the Bank Already Counted On You Spending - Graeme Holm #67

Graeme Holm's point is that the bank already approved your loan assuming you pay about three percent more than you actually do, which means the money is there and you are spending it. His figure for the big four last year is 32.5 billion dollars in profit, and he puts a Qantas point at roughly a third of a cent.

Graeme Holm is the founder of Infinity Group, which he started with his wife Rebecca in 2012 after coming out of a divorce with, in his words, hundreds of thousands of dollars of debt. This is Part 2 of his Bothsides series.

What you will learn:

- The serviceability buffer, and why the bank has already proved you can find another few hundred a week

- Food, fuel and fun: the only three things he says you need accessible from Monday to Sunday

- What he says a rewards point is actually worth, and the merchant fee you pay to earn it

- Why he argues a spreadsheet of last year's spending is not a budget, it is a record of what already went wrong

- Where the growth data actually sits: four falls in forty years, and the size of the largest one

Chapters

00:00 Opening, and a listener giveaway

10:20 The serviceability buffer, and the three percent you are assumed to be paying

12:04 A budget is a route to work, not a punishment

20:46 His figure for the big four: 32.5 billion in profit

24:15 This is high school material, and the sixteen people who said so

31:17 Thirty six bank accounts, and what fractional banking is

33:00 Food, fuel and fun, and nothing else

39:56 Unexpected bills that are entirely expected

44:59 Where the leak is on almost every family's statement

50:20 What a rewards point is actually worth

52:04 The small share of people he says can run a credit card properly

59:54 Dormant equity, and the question to ask before touching it

01:12:49 If you are not an economist, and what inflation actually tracked

01:18:03 Four falls in forty years, and the largest correction

01:24:55 Nine properties at 63, then seven sold

01:35:19 Lenders mortgage insurance by the month

01:42:15 Never lend money to family or friends

01:44:00 Starting the business to solve his own problem

01:52:33 The chalkboard, and where your beliefs about money came from

01:54:19 Domestic violence shelters, and the phones the business donates

Graeme Holm puts money the bank already counted back to work. Property should work the same way.

Most properties only make money if the market does. The ones that pay for themselves from the day you settle are bought differently, and it comes down to four points.

Get the free guide: https://go.bothsides.au/score

Follow Graeme Holm:

◼️ Instagram - https://www.instagram.com/graeme_holm/

◼️ Infinity Group - https://www.instagram.com/infinitygroupau/

Bothsides:

◼️ The weekly email - https://bothsides.au

◼️ Bothsides Buyers Agency - https://www.bothsidesbuyersagency.com.au

◼️ Dan - https://www.instagram.com/daniel_beardall/

◼️ Watch on YouTube - https://www.youtube.com/@bothsidespodcast

General information only. Not financial, tax, legal or credit advice. Bothsides is not a mortgage broker or credit provider.