NJ5 on 11 July 2009
| Khuutra said: Isn't all debt bad debt? |
No... There's no problem with contracting debt to purchase things you need, such as a house. Of course you (used to) need to prove that you had the income to pay off the debt later.
This whole mess was brought by too easy access to lending, as well as too high home prices (the bubble), which led lots of people to take on debt they can't pay anymore.
My Mario Kart Wii friend code: 2707-1866-0957
