Being debt free? It’s a bright idea
Debt is a serious threat to your financial security because it keeps you from making the most of your money. What you spend on debt payments could be stashed away for a rainy day, for your retirement days, or for your kids’ college days. Once you become debt free, you’ll be able to do what it takes to become financially secure.
When you have a mortgage, you don’t own your home, the bank does. The same thing goes for your car and your auto loan. Being debt free means, you own the house you live in, the car you drive, and the clothes you wear. You don't have to worry about someone taking your belongings because you couldn't afford the payments.
Whenever you take out a loan or charge something on a credit card, you’re simply borrowing from your future income. So, the $1,000 or $100,000 you spend today will be taken from what you earn tomorrow. Truthfully, debt decreases your future standard of living, by giving you less money to live on than what you have today. Make the most of the income you expect to earn by taking steps to become debt free. -About.com, credit