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Good Debt Vs. Bad Debt
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[QUOTE="Suba, post: 273622, member: 3658"] Basically, whatever type of debt you have, it will increase your current assets. Imo, debt to buy a car is not bad, especially depending on your goals. If you go into debt to buy a car as a taxi business or as a means of transporting goods in your shop, that's very good, of course you have calculated carefully and you know how to manage debt, while buying a house to live in is very good by way of a mortgage, than you renting a house to live in whose rent increases every year. It is also possible that the government in your country also provides home ownership loans with light installments. Bad debt in accounting terms is defined as uncollectible debt, and recording the write-off of bad debts is carried out in accordance with accounting principles. [/QUOTE]
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