How to generate money from Debt.Good debt and Bad debt which are you in.

When we borrowed money, we say that we are in debt simply. And we only thought that Debt is only bad and it cannot be good. But debt can be good. I am not talking about giving money and you get a good debt. If you want you can say but there is good debt and bad debt but it is up to you how debt money work for you because you-you is the owner of your money and decided where you will put it. 

"You can never have true freedom without financial freedom."-Rich dad

 Many people are in debt of houses, cars, education, and many others. And the simple way that people are in debt is is by the credit card and education loan. They use their credit card randomly that they can pay in the last month but the amount became large that they can't pay and about an education loan they think that they will graduate with good marks and a high paying job and pay it. But in reality, they never graduate or if they graduate but life does not go according to their plan.


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I think we all known about the bad debt but what is good debt, I think you are all think about it. 


Good debt is getting debt like bad debt but good debt pays your debt and can also put some money in your pokect.we can say good debt is our assets.

As an example let's think that I have brought land in a loan now I am in debt of $5,000 and I have to pay $100 every month. Then, I give the land in rent for $125. You can see the cash flow it is like above. I was paid by the lender and the money that lender give became my income which I don't have to worried about paying to a bank and It also give me $25 in my pocket. It is called Good debt. 

"If you get debt make sure you have someone to payt fr you"

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Bad Debt is the complete opposite of Good debt.
Like in the above image you can see the bad debt only suck money from you which Bad debt is a liabilities.

Make sure to make the right chose when you are in debt.

"Freedom may be free but it has a price"

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