"Good" Debt Versus "Bad" Debt

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#41
Whether a debt is good or bad is subjective.

I find it quite interesting that Ms Teh Hooi Ling's anecdotes were entirely on leverages made on equity betting. Debts can be on business deals, property investments as some has pointed out, etc.


Personally, I had some scholarship money which I did not used to pay down my uni fees upon graduation. Instead, I paid the 2.6% and threw the money into SPH yielding near to 6% in three tranches, 2 at $4, 2 at $3.80 and 2 at $3.14. On hindsight, the debt was good debt for I had paid it down slowly at $339 per month.

As Cookieguy said, debts should always be well managed, be it being regarded as good or bad.
http://wealthbuch.blogspot.com
-- Where I blog about matters on finances
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#42
The final result tells whether it is good or bad debt.
Positive bottomline = good debt or otherwise.
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#43
(26-11-2011, 10:01 AM)Temperament Wrote: The truth is actually money is not the problem. The problem is actually i don't have a "service" or invention where people will beat a path to my doorstep. So i have to go out and look for money lol.

exactly!! so how? Big Grin

Look for it!! Big Grin
1) Try NOT to LOSE money!
2) Do NOT SELL in BEAR, BUY-BUY-BUY! invest in managements/companies that does the same!
3) CASH in hand is KING in BEAR! 
4) In BULL, SELL-SELL-SELL! 
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