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Originally Posted by Sly
School loans are debt just like a mortgage is. Although both are typically considered "good debt" as opposed to "bad debt" like credit cards or medical bills. Good debt has a purpose and hopefully a gain at the end.
How exactly are stocks and bonds a debt? Debt is when you owe money. What debt do stock and bond holders have?
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Yes, I understand on the books it's a debt... you owe someone money.
However, that's not how I look at it. If overtime I invest $100k out of my pocket into stocks/bonds, etc... overtime I expect a return - but it might not. I see that no differently than borrowing $100k, slowly paying it back (like building my investment) until one day it's making money for us monthly (which still requires investment), much like a dividend would - even if my overall investment hasn't made it's return yet.
School loans are investments for life... if people do nothing with their life, I guess it's a debt for people then.
Quote:
Originally Posted by datatank
Your student loans are not Debt?
what?
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