7 March 2019
Alternatively, you may be using your credit card on a daily basis to pay for food and other consumables.
While it’s never wise to get into debt if you can’t afford the repayments, certain types of debt can actually be financially beneficial in the long run. Next time you’re applying for a loan or using a credit facility, it’s worthwhile knowing whether you’re getting yourself into good debt or bad debt.
Knowing the difference between good debt and bad debt is the first step in smart financial planning. However, before making any debt-related decisions, it’s best to speak to your financial adviser.