Show 24 - Is debt bad?
In this episode, I talk about good debt and bad debt, why we get into debt, and how to prepare for your debt paydown journey.
1/3/20241 min read
Before you can think about getting out of debt you need to understand it. The same applies to “losing weight”. If you don’t know why you are gaining weight, your plan to lose weight will probably be ineffective. In this episode, I talk about the difference between good debt and bad debt, how to identify what gets us into debt in the first place, and the beginnings of a strategy to get out of debt.
Key Ideas
Debt doesn’t have to be a fact of life. You can get out of debt and live in such a way to avoid it.
Good debt gives you a greater return on your investments, this includes affordable housing, reliable transportation, and reasonable education.
There are three things you need to do to prepare for debt payoff. Create a debt inventory, get motivated, and identify what is getting you into debt.