Not all debt is equal. Some borrowing can help your future, while other debt can drain your finances.
Often considered “good” debt
Borrowing that may increase your earning power or value over time, like education or a reasonable home loan, if repayments are affordable.
Often considered “bad” debt
High-interest borrowing for things that lose value quickly, like gadgets or holidays on credit.
The key question
Can you comfortably afford the repayments, and is the cost of borrowing worth it?
This article is general information, not personal financial advice. Consider speaking with a qualified professional about your situation.
