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Thanks Damon, I'll discuss your idea more today

posted by SuccessWarrior on July 10, 2006 at 6:08 AM | link to this | reply

While I Agree...
...with you whole-heartedly regarding debt, and how much more expensive it is, there is a distinction between good debt and bad debt.

Bad debt is what you describe, and it's essentially borrowing money to buy something that will decline in value the moment you take it out of the shop (or drive it off the forecourt). You borrow to buy it, and then while it's value plummets, the amount you owe goes up!!

Good debt, on the other hand, is borrowing to buy an asset that will appreciate over the medium-long term. Property is the classic example.

Good luck with your plan - it sounds simple and doable, and you'll be a great example to others.

D

posted by DamonLeigh on July 10, 2006 at 1:58 AM | link to this | reply