Why nosotros will never borrow coin:

Just the other twenty-four hours my wife and I were having a discussion. Out of the bluish, I asked her - is there anything yous'd consider ownership if it meant borrowing money? Afterward thinking for few minutes, she couldn't come up with anything. And then she asked - why would we ever infringe money for "stuff"?

She is a smart cookie. Much smarter than me, I fully admit. After all, I've borrowed coin earlier and got into all sorts of trouble because I couldn't control my borrowing and spending. I've had collection agencies telephone call me several times a day and need payments. I've worked 2 jobs with no days off to pay them off. I ate copious amounts of noodles with tuna to save every penny to pay them off. I've sold near everything I owned to pay them off.

And it's not like I've borrowed money to do something absurd - my borrowed money went into school I didn't even cease and "things" I just had to have.

New laptop.

Pickup truck.

Holiday.

Oh, the insanity! I want to get dorsum in the past and slap myself for doing information technology. It really hurts to recollect nearly how stupid I was with borrowed coin.

Never Borrow Money

Never Borrow Money

Afterward paying off all my debts and becoming a new and improved me, I shudder when I recall about borrowing money. This is probably what heroin addicts think after going through hell and back, giving up the drugs, starting to relish clean life and gaining support … then running into a situation which reminds them of their dark past. Somebody mentions borrowing money for something … and I go into rage. Why? Why!? WHY?!

No, never again. Non fifty-fifty once, non even always.

I'd rather bulldoze a motorcar with no power windows for the residue of my life and then infringe money for shiny new wheels. At that place's not a single car in the world worth borrowing money in my mind. Decent three-4 year old car will go yous everywhere hassle-complimentary just like a brand new car. Become someone else to take a hit on crazy depreciation, and scoop information technology up for cash at much reduced cost.

School loans? No, thank you. My married woman right now is going through school, and borrowing money was an option for her. Instead of borrowing money, we've decided she'll consummate her degree office-time while both of us work and pay for her school in greenbacks. We bankrolled every course she had to take. She's two courses away from completing her designation - and no school loans. When our family income increases information technology volition all become to u.s., not some bank. Was information technology hard? Heck yep. Was information technology worth it! Admittedly!

New piece of furniture? Fancy Television set? Renovations? Not worth borrowing money. When was the last fourth dimension new furniture changed our lives? Our Television receiver sits unused for the nearly role anyhow. No, we'll never borrow money for anything of this nature.

When you never borrow money, your life is piece of cake. You don't have payments to worry about. You paycheck is yours to keep and you don't have to immediately requite up a portion of it. Yous are no longer forced to piece of work in crappy atmospheric condition but because otherwise you wouldn't be able to beget payments on your "stuff". Yous can sleep well at night instead of computing upcoming payments and banking concern balances in your caput. Your life might have less stuff, only it feels more enjoyable because yous owe coin to nobody.

Never borrow money, and live your life on your schedule, not debt repayment schedule.

The but exception to "never borrow coin" dominion:

Housing is a good case of when it'southward ok to borrow money in my mind. You tin't save coin for a business firm, information technology would just take way too long. Existent manor if pretty pricey with average house touching on $450,000 in our expanse. It would take years to salvage. At the same fourth dimension, real estate generally increases in value making real estate borrowing fairly rubber. Consumer "stuff" on the other hand tends to go down in value.

We've borrowed money to buy our home. Simply even then we tried to do it the smart way by ownership when prices went down significantly thus getting more than blindside for our buck. Likewise, we've put down 25% as downpayment which reduced our cost of borrowing since nosotros didn't have to buy mortgage insurance. And we besides borrowed for our dwelling house at a very depression interest rate (under 4%) and volition probably reduce it even further when nosotros accept to refinance adjacent year.

But other than that… I'm confident when I say that nosotros'll never infringe money (over again).