Tag Archives: BadDebt

How Do I Know If I’ve Got Too Much Debt?

Did you know that household debt for the entire nation has almost reached its highest point since 2008? That’s when the Great Recession started, but experts don’t think that household debt will spark off another economic crisis anytime soon. However, that doesn’t mean that this load of debt won’t overwhelm you and cause your own personal financial meltdown. Do I Have Too Much Debt? It’s estimated that U.S. households owe $12.58 trillion in debt, which is 0.8 percent lower than the high point in 2008. Now, most of that debt load is considered good debt because it is on things like mortgages and student loans, but that good debt can go bad, depending on your circumstances. If you are worried that your debt load has grown beyond what you can handle, here are some questions you need to ask yourself. How much debt are you comfortable with? –  Does having…
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Bad Debts and How to Avoid Them…

Do you know what a bad debt is? A bad debt usually involves owing money for something that is neither essential to your way of life, nor does it advance your future prospects. So, student loans, mortgages or car payments wouldn’t necessarily be bad debts, but they can turn into them. Bad Debts: How They Happen and How to Avoid Them When a Mortgage Goes Bad– Owning a home is probably going to be one of your greatest assets, but if you are not careful, you could get in over your head. Carefully analyzing your income to determine if you can afford a home is key, but you also need to take a good look at your potential mortgage as well. Will the interest rate be fixed or adjustable? Will it be easy to refinance later? Are there hidden fees like fines for early payment or balloon payments? Not knowing…
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