When a Good Debt Can Be Too Much and Why
Much heated debates have been going on in the financial world on good and bad debts. How much is enough for a tolerable debt? Is it possible for you to get too much out of a good debt? How is this possible since you have zero bad debts and can have too much of a good debt?
If you have been involved and taken lots of good debts up your portfolio, it is a good thing. Owning several real estate properties is the smart move to becoming rich slowly. However, there is a case where you can get too much of a good debt, even with its angelic properties. Still, it is a debt. Debt is considered as borrowed money on an interest. Some real estates will not work out as how you like them to be. Your new business venture could die out in the stiff competitions. Sometimes, in worse cases, people end up doing something entirely different with their degree specialization!
Therefore there are two really imperative and crucial questions you have to ask yourself deep inside. You should even question your loved ones about these questions, too. Are you and your loved ones able to sleep at night without any worries and get up and be as productive in the day time and not having to worry about the expenses next month? Are the two (or more) of you able to save in a financial way to reach towards your goals? If the answers for both questions are yes, then all the good debts you have incurred are helping you in your life indeed.