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Originally Posted by Red
Maybe there is no alternative? Do you think that 'easy money' must exist?
My advise was to not borrow money to spend on a car and home renos. I'd keep my debt to a minimum and save cash for those things and buy them for cash, like anyone should. But what do I know?
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depending on the interest rate though, its not always better to use CASH if that CASH can earn more interest than the debt costs.
also, i tend to agree that life passes us by. we work hard and sometimes you need to invest in your life, even if its not the right financial ratio.
for instance, if you can afford a new car, then buy one if that is what add's value to your existance. so, you may be a few thousand dollar's poorer, but how many thousands does one need?
i will give you another example, my wife and i want to buy a travel trailer. if we wait until we can afford cash for it, our kids will probably have grown out of the age where they will want to join us. i am not going to spend the cash i already have on it, so i look at borrowing the money for the trailer as an investment in our life. yes it will be a debt, but not a burden. yes we could earn more money if we didnt do it, but is life all about having as much money as possible, but if you dont spend it on something, what kind of life have you lived?
i dont want to die with a big bank account, but having let life passed by while i made the right financial decisions.
such is the balance we all look for i suppose.
by the way, i hate debt, especially consumer debt. but i guess without being born wealthy, we all have to make decisions on how to live our life. i tell my wife all the time, we have the money to do ANYTHING we want, just not EVERYTHING we want. its all about priorties i suppose.