4 ms·
Debt is leverage. When times are good you are great, when they are not and the repo man cometh, they are awful. The banks always win via bailout or not. Stayin
by pibechorro 5y ago
Debt is leverage. When times are good you are great, when they are not and the repo man cometh, they are awful. The banks always win via bailout or not.
Staying debt free is the only safe place, you have flexibility.
- tnel77 5y agoI feel like there’s a middle ground to be had here. You obviously don’t want to be over leveraged, but I don’t think a small amount of debt is inherently bad. I have a mortgage and some student debt, but they are a modest amount of my household income. You work to pay them off and save up an emergency fund, but the reality is that most Americans would never own a house without a mortgage. At a certain point, debt is essentially inevitable.
- hackerfromthefu 5y agoThink of it like crossing an ocean. When the winds are good let out the sails to be propelled along, when the storms come take it the sales and ride out the weather. If you want to do it all under your own steam without a bit of help, well it's a long paddle across an ocean so you will be confined to travelling a short distance in your life.