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Politics : Formerly About Advanced Micro Devices -- Ignore unavailable to you. Want to Upgrade?

To: tejek who wrote (317721)	12/29/2006 5:38:13 PM
From: TimF	Read Replies (1) \| Respond to of 1573983

Is this really accumulating debt? Not in the truest sense of the word.....you're using your credit card almost like a debit card...a way to facilitate payment without having to carry cash. That's not incurring debt. It is incurring debt, but only short term debt. Also it isn't continually accumulating debt since its paid off. And importantly its probably 0% interest debt. It is never good paying more than the actual value of a good whether its a car or a house. I suppose I shouldn't have borrowed 112K to combine with my $3K down payment to get my current $350K house. Too bad you didn't advice me back in 2000... Even if I had 115K in cash the debt might still have been a good idea, assuming other investments achieve a higher rate of return then the interest (- the tax benefit) for the mortgage. Of course this discussion was originally about federal government debt, which didn't go to purchase an appreciating (or and income producing) asset, but the idea that its never good to go in to debt is just silly.