Good, Bad and Crazy Debt
Hello and welcome to the Debt Olympics, ladies and gentlemen! We’re going to focus on the three most typical debt categories today: good, bad, and crazy. We’ll also learn about Freedom Debt Relief and how the company can help you eradicate bad and crazy debt.
Grab your calculators, and let’s get started!
The category of good debt comes first. Competing here are the athletes with the best credit ratings. These are the people who borrowed money for a worthwhile goal, such as purchasing a house or attending college. They are willing to play the long game because they are in it for the long run.
- A student loan taken out to pay for college education, which will result in a better job and career advancement
- A loan taken out to purchase a house that will increase in value over time
- A small business loan taken out to launch or grow a successful business
The category of bad debts comes next. Things start to get a little messy at this point. These are the athletes who have made mistakes along the way and now have unmanageable payday loans or high-interest credit card debt. Even though they may have made some bad decisions, they are not yet ready to give up.
- Due to missed or late payments, credit card debt carries a high interest rate.
- High-interest personal loans obtained for luxury purchases or non-essential expenses like vacations
- Exorbitantly priced payday loans that keep borrowers in a debt cycle
The category of crazy debt comes last. The real fun starts from here. These athletes are the ones who incurred debt for the wackiest, craziest causes. They are the ones who deemed it wise to take out a loan in order to invest in a stock that was considered to be a “sure thing” or who purchased a pet llama on credit. They may not have made the best decisions, but they certainly know how to have fun.
There are many athletes with impressive tales to tell in the category of crazy debt. As an illustration, consider the man who obtained a $20,000 loan to launch a company that sells socks that have customers’ faces printed on them. How about the woman who spent $10,000 on credit cards to travel to Las Vegas for a celebrity’s birthday party? Not to mention the couple who used a second mortgage on their house to pay for a round-the-world trip.
- Taking out a personal loan to pay for an expensive cosmetic surgery procedure
- A high-interest credit card balance brought on by a Las Vegas shopping extravaganza
- A loan for a luxury car that is out of reach for the borrower, resulting in a high monthly payment and substantial debt
Although it’s simple to laugh at these tales, it’s important to keep in mind that debt is no laughing matter. Taking on excessive debt can have negative effects on your credit score, your ability to keep your home, and even force you into bankruptcy. Because of this, it’s essential to manage your money wisely and to get assistance if you find yourself in financial trouble.
It’s a good idea to seek some form of professional help right away if you’re feeling overburdened by debt. These people can assist you in weighing your options and locating a way to restart your life. Who knows, though? Perhaps one day you’ll be able to laugh about your crazy debt days knowing that you gained some important knowledge along the way.
So there you go, everyone. The Debt Olympics, with a focus on the category of crazy debt. Remember that paying off debt is not a game, but with some effort and perseverance, you can succeed.