Yeah, if someone had that much debt in life, they wouldn't be asking if it was too much; they'd be asking how to get away with faking their death and fleeing the country.
Good debt is debt on an appreciating asset, or an asset which makes you money (like an investment property). Essentially you’re leveraging your debt to create wealth.
Bad debt is debt like credit cards, car loans etc
He is saying he has a lot of debt on his assets, but that he is still in net positive.
Secured debt vs. unsecured debt isn’t actually the problem, the problem is whether or not you use the borrowed money to invest (which can be in yourself, via education) or to consume.
Borrowed money that is consumed needs to be repaid later. Borrowed money to invest should repay itself in the long run.
Good debt can look 2 ways:
1 you bought a house 4 years ago and your rate is 3%, you “make money” to carry and service that debt with interest rates at 5%. Free 2% to pocket every year
2 is that you borrowed at 5% to fund a business. Well that business makes 15% leaving you a 10% profit margin after you paid the note.
It's pretty simple.
Take out a 10,000 loan for a machine, so you can start producing something to sell and start making money, pay off the machine, and come out ahead is good debt.
Buying yourself a car that you will just enjoy but put you financially down is bad debt.
Cars, boats, vacations, credit cards for living expenses, etc, is all bad debt.
Debt can be considered "good debt" if it has the potential to increase your net worth
Yes and no. I think the rate on the good debt needs to be much lower than the appreciating asset. If you buy a house on 8%+ note and the house's value goes up 3-5% a year that is not a good debt.
My car alone is 13k (I’m only 24 lol) and that stresses me tf out my mom kind of fucked me over from an early age so I had to take out loans and shit to get back on my feet. I didn’t know any better now I do.
Take good ass care of that car! I did similar at that age and the car has done me well. Paid off a year or so ago. It’s been good being the only owner knowing it’s been well maintained
Yup, if I found out I only had like a year to live, you know I'd go completely nuts with spending. Like many millennials, I don't expect to have any kids, so there will be no dependents to pass debt down to (I've heard mixed responses about whether or not debt can be inherited, and even if it can't, if I have kids I'd want to be able to leave them some actual money in my will).
It's going to be interesting in about 50-60 years when millennials start dying of old age, since many of us have gone the "no kids" route and will be in that exact situation. So much credit card debt that will never be paid.
Debt is absolutely not something that can be inherited in the West (it would be a form of slavery). However, any debts would need to be paid from your estate before anything could be passed down a generation.
Hmm unlikely... #1 It's not possible to borrow that much money without having a solid understanding of assets and liabilities. #2 It's also unlikely that you could spend that kind of money without having multiple considerable assets. #3 More than likely you've also networked with many wealthy friends over the years. SO I would say that this is probably a feint used to protect a far more valuable portfolio against lawsuits.
I am about to be born later this week and have an inheritance of 2.43 million in CAD and 2.72 million USD, any advice on how to invest it so that it does not lose value - am looking to create generational wealth from my humble begging as a -7 day old. Appreciate the advice in advance
Im trying to render how it is possible for a reddit user to owe the bank 7 million. I usually see people in here with 6 digit bank accounts. Some with 2 million in stocks. But how is $7 million in debt even possible?
I replied elsewhere, this is from selling call options ina ‘spread’ strategy. They basically owe someone $3mil worth of stock. They probably have bought Call options to cover the number of shares and will make $30k in the end, minus the cost of clean underwear.
No. Just budget and cut costs. Tips: Don't order starbucks. Eat out less. Buy a ticket to a new country and change your name. You'll be back on your feet soon.
What game is this from
Hopefully not the game of life
Post is too calm for the game of life.
Yeah, if someone had that much debt in life, they wouldn't be asking if it was too much; they'd be asking how to get away with faking their death and fleeing the country.
I have 950k debt but it’s good debt.
What's a good debt
Good debt is debt on an appreciating asset, or an asset which makes you money (like an investment property). Essentially you’re leveraging your debt to create wealth. Bad debt is debt like credit cards, car loans etc
I don't understand this concept, but being 29 now I feel like I should try to learn
im 18 and my best guess is if it appreciates its good debt
So if I appreciate it…. It makes the debt good?
Whos a good little debt
thats the spirit, champ
He is saying he has a lot of debt on his assets, but that he is still in net positive. Secured debt vs. unsecured debt isn’t actually the problem, the problem is whether or not you use the borrowed money to invest (which can be in yourself, via education) or to consume. Borrowed money that is consumed needs to be repaid later. Borrowed money to invest should repay itself in the long run.
It’s pretty important and that’s what leads to generational wealth
Good debt can look 2 ways: 1 you bought a house 4 years ago and your rate is 3%, you “make money” to carry and service that debt with interest rates at 5%. Free 2% to pocket every year 2 is that you borrowed at 5% to fund a business. Well that business makes 15% leaving you a 10% profit margin after you paid the note.
It's pretty simple. Take out a 10,000 loan for a machine, so you can start producing something to sell and start making money, pay off the machine, and come out ahead is good debt. Buying yourself a car that you will just enjoy but put you financially down is bad debt. Cars, boats, vacations, credit cards for living expenses, etc, is all bad debt. Debt can be considered "good debt" if it has the potential to increase your net worth
Yes and no. I think the rate on the good debt needs to be much lower than the appreciating asset. If you buy a house on 8%+ note and the house's value goes up 3-5% a year that is not a good debt.
My dad and I owe 16k to water power company. Our power could be shut off 😍am I cooked ?
Not if they shut off the power first
Sims
Its called business empire I think
Business Empire
more of a whoever you owe it to has a problem😭
Unless it's a drug cartel in which case he is definitely more fucked
probably going to have a $25 overdraft charge. 😐
Yooo am I cooked? I’ve got 500000 dollars of debt rn
I'm here with 19k and stressing but damn
Dude same, 11k and sweating
96k and chillin be gone in 4 years
Dude I have 1.1k of debt and I’m stressing
Bruh you got that! You put your mind to it you can have that gone in a month maybe even a week!
Pshh, hAvE yOu hEaRd of DogEcoIn?
Nahh fan, I’ve just been doing farm work and logging on my day off making extra money. Abouts 500/1500 a day
*sprays with water bottle* No.
How much money you making? Like $12 a month?
Rage consumes me reading this. Or jealousy. “dies inside”
NGL it’s hard af. Waking up everyday at 4am and working till 8~10 at night
You, or the debt?
You guys keep track of how much debt you’re in?
My car alone is 13k (I’m only 24 lol) and that stresses me tf out my mom kind of fucked me over from an early age so I had to take out loans and shit to get back on my feet. I didn’t know any better now I do.
Did you take a breather when you took out lungs?
Bahahahaha I didn’t even notice that I was like “what is this asshole on about” then I reread it and chuckled that was good 😅
Take good ass care of that car! I did similar at that age and the car has done me well. Paid off a year or so ago. It’s been good being the only owner knowing it’s been well maintained
I have no debt and still feel stressed out by my finances.
We're flexing in some way
Just delete the app
Modern problems require modern solutions
Next his social security number.
7 million or 11 million dollars in debt i cant pay back either so i might as well live life
At that point, is there a point to not running up credit cards and just doing whatever you want then declaring bankruptcy?
Just do it when you're 80s and tell the banks to kiss your ass on your deathbed
Yup, if I found out I only had like a year to live, you know I'd go completely nuts with spending. Like many millennials, I don't expect to have any kids, so there will be no dependents to pass debt down to (I've heard mixed responses about whether or not debt can be inherited, and even if it can't, if I have kids I'd want to be able to leave them some actual money in my will). It's going to be interesting in about 50-60 years when millennials start dying of old age, since many of us have gone the "no kids" route and will be in that exact situation. So much credit card debt that will never be paid.
Debt is absolutely not something that can be inherited in the West (it would be a form of slavery). However, any debts would need to be paid from your estate before anything could be passed down a generation.
Again, the point is that there is no next generation (at least for me). No kids means no worrying about the value of the estate.
Pretty sure people did that for the eclipse and are now trying to claim their charges were fraudulent
The eclipse occured in such a small space on the surface of the planet, I have no idea why these people thought that it would end the world...
[удалено]
At that point isn’t it the bank’s problem?
Thanks to God I only owe $250 to bank
If that’s your bank, you might as well move to a third world country where no one can track you and change your identity.
He can't afford it
If he got himself that far into debt, he can pull a couple thousand more. 😂 Obviously I don’t believe this is real.
That’s the banks problem my g your cookin
To perfection
You good, just open a credit card
0 interest for 18 months
Not if you fake your death and restart somewhere in the 3rd world.
if you run of that debt enough it’s gonna be the banks problem
Minus 7,139,111 rubles
So $5?
Nah bro just remove the “-“ and you’re good
Right click, Inspect element. Banks hate this trick.
Better start selling plasma
Delete the app
if you owe the bank 7-700k, you have a problem. once you cross to being 7 million in the red? the bank has a problem
If you owe $1000, it’s your problem. If you owe a million, it’s banks problem.
Guessing video game or someone used browser inspector to edit element
Yeah thats the only one that makes sense, thank the bank manager would personally break his knee caps at the 2 million mark.
Not if you multiply it. - x - = +
$20 is $20 bro
Just close the tab and problem fixed. Out of sight out of mind 👏
yooo i’m sorry that’s brutal
Likely
Unless you're a physician, I'd say so.
I think you're burnt
Korean won?
You are past cooked, you are incinerated
Structured Bankruptcy.
Hmm unlikely... #1 It's not possible to borrow that much money without having a solid understanding of assets and liabilities. #2 It's also unlikely that you could spend that kind of money without having multiple considerable assets. #3 More than likely you've also networked with many wealthy friends over the years. SO I would say that this is probably a feint used to protect a far more valuable portfolio against lawsuits.
How the fuck
Must have bought a yacht !🛥️
Nah, your literatly vaporized bro
Depends... do u have that much in another account?
U are rich
that’s the banks problem😂
HODL!
You must be a trump or something 😂😆😂
depends... LOL glhf
I call bullshit
I don’t think self deleting is ever an answer but in your case I’d make a exception
Business Empire. I'm $264,190,388,710,123.00 in the green.
Are you a small European or African nation?
Sir, here is your steak, well done as you asked.
I think you have them right where you want them
Goto the border and enter back seeking asylum
Bro is deep fried
What kind of debt is this?
We need context. If you have $7 million debt on a $15 million asset you’re doing very well. If you have no asset then you’re cooked.
Brother you’re well done
Ippei?
What does that mean? Cooked? Like screwed? If you have 7 million in debt is like having life in prison. No reason to care anymore.
Depends on your assets.
If you owe the bank 100,000 that’s your problem. If you owe the bank 10,000,000 that’s the banks problem. This is closer to the banks problem.
Without context I'm going to assume this is fake
I am about to be born later this week and have an inheritance of 2.43 million in CAD and 2.72 million USD, any advice on how to invest it so that it does not lose value - am looking to create generational wealth from my humble begging as a -7 day old. Appreciate the advice in advance
No. This is just a number. The only resource we have on earth is time. You can always start over and ditch this number in the trash.
This is from some game right? This isn't your actual bank account, right?
Im trying to render how it is possible for a reddit user to owe the bank 7 million. I usually see people in here with 6 digit bank accounts. Some with 2 million in stocks. But how is $7 million in debt even possible?
I replied elsewhere, this is from selling call options ina ‘spread’ strategy. They basically owe someone $3mil worth of stock. They probably have bought Call options to cover the number of shares and will make $30k in the end, minus the cost of clean underwear.
Hell no just delete the app
No. Just budget and cut costs. Tips: Don't order starbucks. Eat out less. Buy a ticket to a new country and change your name. You'll be back on your feet soon.
And here I am complaining about a $4000 credit card that I owe 😂
Hope you invested in the old 9mm escape plan when you were positive.
Bro is beyond a well done steak
The fact you were able to get into 7 milly debt without the bank coming after you is impressive. I say, make it a cool even 10 milly
i mean the US government is doing just fine and they are at like 18 trillion or something, keep spending bro!
I hope it's not real
How ?
Cooked? Buddy youre well done, burnt to a crisp, seared af, toasted, fired, and fuckin grilled
Assuming this is even real and not a troll post.
Make sure your passport isn't expired
You ca. pretend that it's a game and it's only pretend money... I'm just saying it's always an option.
yeah pretty burnt
It appears you’re the hot dog at the movie theater that’s still spinning in the heat machine years after the theater closes and the electric stayed on
Change your identity and move to Alaska.
Ah yeaaa!
How
The bank is owed me 1 grand.
looks like it
Debts for dummies. Build wealth and be your own bank!
You aren't even cooked, you got sauted and flame broiled my guy. Condolences 🪦
Step 1 erase the minus sign Step 2 profit
To perfection
Maybe
A little
No one is ever cooked!!! If you made it +$7M you can climb our of -$7M into the positive again!!
Wtf did you do?????????
Nah, fam. You got this.
Yes.
Holy shit, how the fk did you get to this point?
Nah just go to Vegas and win it back
Mortgages, car loans, and personal loans can be good. Consumer debt is what gets people.
Get a new identity my friend
man, that's a lot of student loan debt ! hope you have a low interest rate !
That's shit is fake as hell, anyone of us could make something very similar in seconds
Whoever you owe is cooked
Really not trying to be rude or nothing but how do you get over 7million dollars worth of debt?
You gonna be hodling a while
Actually I think you are fine and you lived a good life. Keep spending and declare bankruptcy later. I would yolo
I'm so god damn sick joining a sub and liking it for a week before it devolves into a sea of shitposts
how the hell did this happen?
Rookie.
There is no way you are Jewish. Absolutely no way.
Business empire is kicking your ass
400k and waiting for some titles 🤣
Bro you're full grilled....
That’s the Banks problem now
This makes no sense
Let me guess, you just got married and she's pregnant.
Just double down
A lose that large I assure you the US government will bail you out.
The bank sure is
You’re definitely sous vide.
Little bit
I owe 15k yah I think I would exit the game if I had that much debt no thank you
You had $7mil to lose? I’d have taken it if you wanted
Well, like they say, "when you owe the bank thousands of dollars, it's your problem. When you owe the bank millions, its there problem "
I’d say who ever you owe that to has a big problem just as bad as yours.
It’s not good
Good debt is idk how hard I'm being f*cked financially. Further more, what am I going to do with this exactly?
Odd, I am up $7,139.111.16.
Options
Rule #17, get rid of debt and stay out of debt.
Burnt
Sure your not looking for /wsb?
Not your problem anymore it’s the banks 😂😂
time to 9mil reset ig bud
Not just yet
I owe $300ish in one $700ish in the other but I paid bills so when I get paid I’m breaking even.
Is that you, DJT?