An interview with MyConstant customer: Weldon Burnett
We love hearing from you—our customers. Whether it be on Trustpilot, Live Chat or an email, your voices matter to us.
We also know that many of you are filled with invaluable investment stories and advice.
This is why in the upcoming weeks, interviews like this one with MyConstant customer, Weldon Burnett will be featured on the blog and on the Alternative Investment podcast.
If you’re a frequent investor on MyConstant and you’d like to be interviewed, send me an email at [email protected].
Can you tell us a bit about who you are, where you’re from and what you do for a living?
I’m 66 years old and I live in Texas.
My job? I help people get high.
No—I’m not a drug dealer—I am a corporate pilot.
What time in your life did you start investing and who turned you on to investing?
I was raised on a farm. My dad gave me a cow when I was eight years old and I started my own herd.
I sold the herd when I was 18 and I bought Certificates of Deposits to pay for college. At the time, CDs paid excellent interest. I laddered the CDs so that they came due as I went through college.
What do you feel the biggest misconception people have when it comes to investing?
People don’t plan to fail, they fail to plan. They don’t have a systematic method of preparing for tomorrow.
From the time you began investing your money, until now, what were your goals? And have your goals changed over the years?
My goals have changed. I think with age comes an adverse reaction to risk. I’m in the stock market, but not to the extent that I was in recent years when the market was doing extremely well.
Do you have a story about your investing experience? It could be good or bad.
I bought some cryptocurrency and did well with it—but I got out.
Again, it’s part of that ‘old guy, risk averse’ mentality. I lost a lot of money in the market crash in 2008.
Did I have a ‘get rich quick’ moment with crypto? Yes! Have I had losing experiences with other investments? Excuse me, while I wipe the tear stains off my computer keyboard.
What investment type do you feel has been invaluable to your investment strategy?
It’s not so much the type of investment as it is the habit of the individual. Even if you stuff your money in a hole in the ground, at least if you stuff it regularly you’re making some progress. It’s a marathon, not a sprint.
Are there investors you admire? They could be famous or someone you know personally. Why?
There’s some investment advice that I admire. ‘Never invest in something you don’t understand.’
What are 3 things that you know now about investing that you wish you knew when you first started? And what tips do you have to beginning investors?
- Do you work at a job that allows you to invest with pre-tax dollars? Take advantage of it.
- Does your employer match any funds you put into the investment? To not take advantage of that is to leave money on the table.
- Pay yourself first. Put money aside from every paycheck for the future.
- Put money aside from every paycheck to blow. That’s right—I want you to blow some of your money. Buy a little candy with your grocery budget. Don’t spend all your grocery budget on candy though.
- Have a written budget. Sometimes It’ll be impossible to stick to the budget because of life’s twists and turns. But at least you have a plan you can get back to when you’ve deviated from the plan.
- Despise debt. Live below your means. Interest on loans destroys the gains you make with your investments.
What industry would you suggest people invest in today? Perhaps, something that’s not on everyone’s radar.
Never bypass a kid’s lemonade stand. Reward young people for their foray into the world of business.
Again, don’t invest in something you don’t understand.
It’s okay to make small investments in something you don’t understand to learn about it, but you ought to do it with the same attitude as you would if you were going to a casino with a pre-planned dollar amount of what you are willing to lose.
Of all the P2P lending platforms out there, what makes MyConstant stand out from the rest? What drew you to us?
I’ve used three different P2P platforms: Lending Club, Worthy, and MyConstant.
On Lending Club, I’ve earned more interest than I do with MyConstant. But Lending Club quit doing personal loans, so as the principal and interest come in, I’m moving the money to MyConstant.
Even with a few defaulted loans, I still made more interest there than I did on MyConstant, but I hate defaults—I hate being cheated.
Worthy is a good platform. They paid 5%. But last I checked, they weren’t taking any new investments.
I’ve only had two minor problems with MyConstant. Otherwise, it’s all been good. A wire transfer went missing and it took months to get credit for it. But most of my wire transfers to MyConstant arrive in my account about four hours after they’re initiated.
I had one loan at MyConstant where the lender’s account dropped below the minimum equity level. MyConstant canceled the loan and paid me the interest to date. I didn’t lose a penny, I just didn’t make as much as I had planned.
I’m using MyConstant like I did when I sold my cattle as a teenager—I ladder loans. I have 180 loans. Every day, a loan matures. Every day, I start a new loan. I do this to generate a revenue stream in preparation for retirement.
I’m not kidding when I say that every morning, I wake up, reach for my phone, go to the MyConstant app, make a six month loan, read my email, etc. Later in the day, a loan I made six months ago matures.
Every Tuesday I use the Excel spreadsheet feature on MyConstant to download my loan portfolio. I use this to plan the date that I can afford to increase the amount I make on my daily loans.
I have never taken a nickel out of MyConstant. I use the interest to grow the portfolio so that I can grow my stream of income.
I will never—as we used to say on the farm—‘eat my seed corn.’ The day may come when I take the interest out in the form of income, but I intend to never ‘kill the Golden Goose’ that is making that income.
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