Debt is a terrible thing… from what I observed during my childhood at least. It was a time (from what I recall) when a person would only take on debt when buying a house, buying a car, starting a business, and at most, paying for the children’s education. And home equity? It is only used as a last resort. And people who borrow to gamble will always end up in pieces somewhere in a back alley.
You are free to call me “old school.”
Now more than a decade later, the world is a different place. Debt has become a commonplace. Consumerism is celebrated. Instant gratification is glorified. Debt is encouraged. The crowd would cheer as you sit on your European imported sofa, watching TV on your newest Sony Bravia LCD, inside your immaculately re-modeled home, which is complemented with a BMW M5 on your front porch. You may be swimming in a sea of debt behind the doors. But it’s aaaaaaalright. It’s totally fine to have debt.
Okay, I admit that the example is a bit extreme, and I know a majority of people don’t end up in debt due to such acts. Life situations could force us into debt. Nonetheless…the meaning of debt has become lost in translation (adverstisement) in this era. Way too much sugar-coating.
To begin to understand what debt means, I extracted some definitions from Dictionary.com:
Debt is something that is owed. Debt is an obligation to pay something.
In other words, when you have debt, it is an obligation to pay back what you owe. Debt is a responsibility. Since you are taking on debt, it means you don’t have much now, so you pay your debt with what you will have in the future. Therefore, when you take on debt, you are betting on your own future. If the future is unpredictable, debt becomes not so good an idea. And it a very bad idea when you take on debt – despite knowing that you simply won’t have “enough future” to pay back. How did we end up in financial crisis again?
Understanding that, it makes sense for a person to take loan for business purpose because they expect future gains that will enable both profit and payment for the loan. Debt is useful in this way. However, when people start consistently using debt to finance leisure and impulse purchase – things that produce no future gain, then there is a slight problem. The problem worsens in a capitalistic society where lenders set high interest rate to obtain sizeable profits, unlike if you borrow interest-free from a generous relative or friend.
Quotes about debt:
The indebted man “must smile on those he hates, he must extend his hand where he would strike, he must speak pleasantly with a curse in his throat”.
“He [borrower] wears dependence like a yoke.”
“The Borrower Is a Slave to the Lender.”
“Be frugal and free.”
Above all, I enjoy how all the quotes emphasize on the same theme of the “loss of freedom” because not only it’s very true, it relates to my biggest concern with taking on mortgage for a home. With a mortgage, I will be “mortally engaged” in the debt with the bank and a stable job to afford it. What if I am to lose my job? What if I want to do something different? I will have much less freedom to do so. I will be “dependent,” “a slave”, not “free”, and “must smile and speak pleasantly” with the bank and with the same job.
For those who would like some help with their debt issues, I introduce Debt Consolidate Care (Debt CC). Debt CC is internet’s first get-out-of-debt community that offers professtional help. It currently has over 100,000 members with thousands of practical topics regarding debt covered in the form of forums, wiki, and articles. And with the amount of members, you are almost guaranteed to find some information, tips, and advice concerning your debt scenario.
It’s good to know that Debt CC’s main objective is to make you debt free.
Below is the story of Debt CC and Denny, the found of Debt CC:
Debt – a four lettered word with a far reaching impact on an individual’s financial as well as personal life. Being in debt is an all consuming feeling that people carry around with them 24 hoursâ€“ throughout their day in office and even at home while spending time with their family. It is rightly said that getting in debt is easier but getting out of it is harder and difficult to confront though it is not impossible. In fact nothing in life is not unattainable, with sheer determination hard work and patience, you can overcome biggest of problems. The story of Denny, the founder of debtconsolidationcare.com (DebtCC) says it all – from owning a company to sleeping in streets and frantically searching for a decent job to pay off his debts.
Way back in 2003, Denny started DebtCC with the sole intention to extend helping hand to debt crunched people. Since then it has been providing services on debt consolidation, debt settlement and credit counseling to assist people in getting their lives back on track. Being in debt can be very isolating and lonely. Thatâ€™s the reason the site has an online community (Internet’s first get-out-of-debt community) that comprises of 106724 members where people can communicate with others who are experiencing similar problems. There have been countless instances where the experienced community members have helped individuals seeking financial help with their sound advices. There is a chat section too, where the members can discuss on topics ranging from debt to lost hair pin!
Sadly, most of the people incur monetary troubles because of the lack of financial knowledge. Keeping this in mind, the site has incorporated articles section that has a wide range of information on financial topics written by expert content writers.
You must have heard of the quote by Margaret Fuller that says “If you have knowledge, let others light their candles in it” the wiki section is line with the thought. With the help of this section the community members who are empowered with adequate financial knowledge and keep themselves updated with the latest happenings in the finance world can also write articles to aid the financially challenged people.
Apart from offering out of debt programs, the site has various easy to use tools like debt calculator, e-books, and GPL licensed software that readily serve the purpose of the users.
Originally posted 2008-03-05 01:20:44. Republished by Blog Post Promoter