What is Surplus Agent?

Meaning of Surplus Agent

The surplus agent is a term commonly used to explain how the financial system basically works , with money moving from the hands of those who have capital to those who demand too much capital. In return, the latter agrees to return the money for a period of time, with the addition of interest.

A very simple mechanism, do you agree?

Given this, there is nothing to fear when talking about surplus agent , because despite the pompous name, it is a profile of Individuals or Legal Entities that we know very well.

The surplus agent is nothing more than the one who has capital accumulated in some way , that is, surplus money. It is logical that the concept of ” surplus ” is very relative, so it can be compromised in other ways than the debts already signed. But anyway, let’s stick with the basic idea that every agent in surplus is a potential investor .

This is because you have the ability to lend your funds to someone else (either someone you know, or a company) and receive the interest. Therefore, it is necessary that the business be considered more advantageous than simply keeping the money in the mattress or spending it all in the nearest shopping center.

From the moment the surplus agent gives up his surplus capital in this system, he therefore becomes an investor.

As you have seen, the surplus agent is a potential investor . If you put the remaining money in the bucket and eat a portion a day, you’ll still be a surplus agent (at least for a while).

There is no guarantee that just because you have saved a portion of your earnings, someone will automatically make the best decisions for your life.

Therefore, by becoming a surplus agent , the responsibility of learning how to manage this surplus is also born so that it provides the highest possible return.

Loss Agent

I’m not a surplus agent! And now?

The other side of the coin has a name and he is a loss broker . Another term that seems complex at first, but soon reveals itself as something that is known in our daily lives.

Do you know the guy who financed the house in 360 installments? Or your best friend who continues to overdraft? Not to mention your older brother, who took out a huge loan to start his own business. They are all deficit agents . In other words, everyone borrows money from surplus brokers in one way or another.

How we can see how to do this is not unique. It’s not just the debt-ridden guy in your neighborhood that fits this situation. If you engage in any of the behaviors listed above (enter an overdraft or even split your purchases), you’re also a poor agent . And this is not at all advantageous for your financial situation.

There is a maxim that dictates: “ there are two types of people: those who pay interest and those who receive interest ”. In this case, you are in the first group.

There is no magic pill to go to the other side of the scale. It is to organize profits and expenses to have that “ leftover ” in the budget. Therefore, it is possible to invest and ultimately use the interest stock to your advantage.

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