06/03/2026
Good debt versus bad debt - What's the difference?
Good debt will help you grow over time and typically carries a lower interest rate. Think:
- Mortgages
- Business Investments
- Investment Loans
Bad debt on the other hand can hold you back financially with higher rates. Think:
- Credit cards
- Impulse purchases
- Financing large depreciating assets like vehicles
Understanding the difference between the two is key in building a successful plan. Even good debt can turn bad if you don't have a clear repayment plan or take more than you can afford.
Not sure where your debt stands? Shoot us a message and let's take a look.