MovieChat Forums > General Discussion > If one wins the lottery...

If one wins the lottery...


Is it better to put that money in a bank account, get loans and use the interest to pay off the loans?

Sure the interest rates are higher than the savings rate, but keeping the principal safe seems wise.

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[deleted]

Lottery wins these days are so big that it might be better to put the money into a charitable foundation that you control.

Banks are for smaller amounts of money, like if you came in second place in the lottery and won a few million.

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Charities eat up money with administration costs. Very little trickles down to the people you think you're giving money to.

The people who sign you up on the street sometimes work for marketing companies and for the first year of your donations, they take 100% before passing the account onto the actual charity.

The charity accepts this because after a year it's money but I find the whole set up to be immoral.

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To the people rich enough to fund charitable foundations, I hear that charitable foundations are the tax-avoidance method of choice!

To these people, they don't care if the charity does any good or not. Let the staffers worry about that, as long as they don't give away too much.

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Most charities operate on a 30% administrative/fundraising budget. While it would be nice to have a lower % go to that budget, it probably isn't realistic to be able to raise the huge amounts they do without spending that much.

It's very easy to look up a charity and see where their money goes.

I have no experience with being signed up on the street - why would anyone do that?

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People with the soft touch get talked into it.

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Smart people don't.

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Investment fund, shares, a couple of real estates ( ask Joanna and Chip Gaines😉)

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Pay off your loans/credit cards first. Easiest way to get 20%+ on your money quickly.

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It's best to just give it to me.👍

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If you're over 50 throw caution to the wind and just spend, spend, spend. You don't know how long you have left.

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