Not all debt is evil. Used wisely, it can accelerate opportunities. Used carelessly, it can ruin lives.
Good debt: A home loan you can afford. Student loans for degrees that increase earning power. Even business loans if they generate higher returns than the interest you pay.
Bad debt: Credit card balances that rack up 30–40% APR. Payday loans that trap you in cycles of repayment. Lifestyle EMIs for gadgets or vacations you can’t afford.
The ugly part is when people don’t know the difference. They justify “investing in themselves” while swiping cards for luxury dinners. The line is simple: good debt creates assets or income, bad debt funds depreciating stuff.
Action step: if you carry high-interest debt, make repayment your top financial priority. No investment will consistently beat 30% interest draining out of your account.