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Managing Your Debt
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Let’s start with your debt. Debt can be thought of as any amount of money you owe– be it a student loan owned by the government, a house payment owed to a mortgage company, to a car dealership for your new car, and so-on. Both you and the debtor “own” this debt, and that debt can be sold to third parties or consolidated to make things simpler. Debt is not always a bad thing, as the money you can hold on-hand can earn you more money when invested, rather than paying off the loan in-full from the start. Having a healthy debt also helps you build credit, which can come in handy when getting more loans.
Tips
- Debt can take many forms, from education to houses.
- Debt can be sold to third parties, or consolidated.
- Debt can be used to earn money through investment.
- Debt can also help you build credit.