Thankfully, there are now several web sites that are there to help people like you with bad credit to find the fast personal loans that you need. When you have bad credit, the first thing that you should be looking for is a loan company that If your financial problems have reached the point where you do not see a way out and you feel as though you are drowning in debt, your best way out is through declaring bankruptcy. Filing may well allow you to get your finances back on track
Most people do not know the difference between good debt versus bad debt. Most people think all debt is bad, and they spend a great deal of time trying to eliminate all of their debts. most people do not realize that good debt exists. Bad debt is debt that makes you poor. Bad debts are expenses or liabilities that do not put any money in your pocket each month. Bad debt is, in every case we could think of, consumer debt. Most of the items you would consider putting on your credit card would fall into this catagory. Good debt, when understood and managed properly, is debt that makes you wealthy. Wealthy people have debt, and are not afraid of using debt. The difference is, it is usually some form of good debt. These debts are expenses associated with a successfully managed business or real estate investment, or liabilities associated with aquiring a cash-flowing business or piece of real estate. Even though the debt from a real estate purchase will always be listed as a liability, if the cash flow from the property exceedes all expenses and produces a profit, than the property as a whole must be considered an asset. In other words, bad debt is always a liability, while good debt is debt associated with assets. Examples of good debt...it is important to note that the success of each investment depends on the proper management of each investment.
- You owe $700,000 on mortgage to an apartment complex that brings you $4000 profit every month after paying the mortgage and expenses
- You take out a home equity loan to start a business or purchase rental property
- You take out a home equity loan to remodel your home, which happens to have a lot of room for appreciation in this market
- You take out a loan to purchase a new vehicle to further your snow plowing business
- You decide to start a home business and you borrow money from several relatives, putting the agreements into writingExamples of bad debt
- You just got your promotion, so you buy a motor cycle with a $300/mo payment financed by the dealership
- You buy $200 worth of clothing at the mall on your credit card