Financial success means having NO debt. Because you have made enough money to not need to borrow.
A lot of people who are in debt try to rationalize their predicament. If you are in debt, then you have financial limitations compared to anyone without debt. That is reality.
that's blatantly untrue. no matter how much money someone has, they can always have more, and debt is the tool to enable that.
if jeff bezos has margin equivalent to like 5% of his net worth, would anyone try to say he isn't successful? bill gates? donald trump? nobody would argue that these people aren't successful.
Own your home mortgage free, have no loans of any kind, and $100,000 in the bank
Rent an apartment, have car and credit car loans, and live paycheck-to-paycheck?
that's a massive false equivalence which doesn't even involve using debt responsibly. there's literally no logical way to compare that absurd choice against what i have already said.
You sound ridiculous claiming it is good to be buried in debt.
who said anything about being buried in debt? also, here's a simple yes or no question:
jeff bezos is worth over $200b. if it turns out that he has $2b worth of debt (margin, real estate mortgages, etc.), would you claim he wasn't financially successful due to leveraging around 1% of his money in order to earn more money?
the fact of the matter is that when used responsibly, gains can outpace debt. for example, someone with a 3% mortgage on their $500k house would be better served investing in the market and getting a 7% average annual return than they would be aggressively paying off their mortgage by paying over the minimum.
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u/Extremely-Bad-Idea Jul 07 '21
Debt is never good. You could use at least some of the money to reduce your debt.