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Debt can be good from "summary" of Wisdom from Rich Dad, Poor Dad by Robert Kiyosaki
Many people are afraid of debt. They see it as a burden, something to be avoided at all costs. But what they fail to realize is that debt can actually be a powerful tool for building wealth. Debt, when used wisely, can help you leverage your money and grow your assets at a much faster rate than if you were relying solely on your own resources. One of the key principles that my rich dad taught me was the concept of using other people's money to make money. This means taking on debt in order to invest in assets that will generate a return greater than the cost of the debt. For example, if you take out a loan to buy a rental property, the rental income you receive can more than cover the monthly mortgage payments, allowing you to build equity in the property over time. Debt can also be a valuable tool for starting or expanding a business. Many successful entrepreneurs have used loans or lines of credit to fund their ventures, allowing them to grow their companies much faster than if they were relying solely on their own savings. By taking on debt, they were able to seize opportunities and take calculated risks that ultimately paid off in the form of increased profits and business success. Of course, it's important to be strategic and cautious when taking on debt. Not all debt is good debt. High-interest credit card debt, for example, can quickly spiral out of control and become a significant burden. It's crucial to carefully evaluate the terms of any loan or credit agreement and ensure that you have a clear plan for how you will use the borrowed funds to generate a positive return.- Debt can be a powerful tool for building wealth when used wisely and strategically. By leveraging other people's money to invest in income-generating assets or business opportunities, you can accelerate your financial growth and achieve your goals much faster than if you were relying solely on your own resources. So don't be afraid of debt - embrace it as a valuable tool on your path to financial success.
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