Last Friday, President Trump signed into law a massive piece of legislation, titled the Coronavirus Aid, Relief, and Economic Security (CARES) Act. The law provides over $2 trillion (yes, trillion) of funding to everything from the health sector, state and local governments, large and small businesses, and of course, individuals and families.
Is There Any Such Thing as "Good Debt"?
In my Financial Essentials class, Week 2 often covers the topic of debt. It starts with a conversation about compounding interest, and how this “Eighth Wonder of the World” can either hurt you or help you through “good” or “bad” debt.
But a recent conversation with a friend has me thinking: Is there really any such thing as good debt for the typical family?
I’d like to discuss two forms of debt which we gladly justify--or label as “good debt”--and for a moment take a contrarian view as to why these commonly accepted forms of good debt may not be so great.