Quote:
Originally Posted by redpoint5
Debt, like most things, can be used responsibly or irresponsibly. Starting a business or buying a home often requires debt. When utilized wisely, the burden of paying off the debt is more than offset by profits or reduced expenditures.
Think of it this way; if you were to begin earning an income as an Uber driver, you could rent a car with cash on hand without going into debt, but pay more in the long run. Or, you could take out an auto loan, which has a high upfront cost, but in the long run is the cheaper option.
Debt becomes irresponsible when it's used to pay for nonessential goods such as flat-screen TVs or trendy clothing.
|
Completely agree, I think a lot of people who struggle with debt also struggle with the difference between "needs" and "wants"...