Vote for others, but generally all of them are related. Banking industries are called industries because the need for bank are "manufactured". This alone, is an entire new topic since I trade currencies.

Lemme put this in a finance newbie manner. If you need money for something you need, like going for an emergency surgery that cost a bomb, yes apparently you have no choice but to take a loan and slowly repay it back. This become one tough situation, either loan or die.

And, when you know you can't afford a nice holiday, and you know that holiday will burn through half of your next year food budget, but still take a loan for the trip and decided to starve for the next 6 months just because of that holiday, this is called stupidity.

While you have a business deal gone sour and causes a tight financial situation, you're forced to take a loan. You're so sure if this deal worked out, you'll be able to pay up and be prosper in the future. That however, is the most dangerous situation, clearly when you have a deal sour and are forced to take loan, meaning you have not reserve enough. Risk appetite greater than your ego can catch. I'm not saying do not take the loan, but make sure you survey your own risk appetite and make sure the next deal do not get yourself back into the same situation. A company that can last long, is the company has enough reserve to grow even a deal gone sour, it will not be a big deal. Make a conservative border line on the repayment, no grow is better than bankrupt.

And finally, loan can be an investment. Some of the companies individual takes calculated risks by taking loan. I use myself in steem for an example. I delegate my steem power for app development. In return, the app development gave me certain amount of interest. At the same time, I took a lease from others who are not active but seeking a short cut to get some sort of return, I pay a small amount to use their delegation. Imagine, I collect 15% from my borrower, and I pay 13% to my lease. In the end, I still can use that 6000sp to upvote you and everyone that I wish to upvote 🙂

So, you know how it goes. It's a trade, even if it's involved taking a loan. I have 7k in the bank account for that massage chair, I know it's an "I want" item, but I choose to use my credit card loan that costs a fraction of interests, and I invested that 7k into a government bond that return me 4% a year, after 3 years, I have my 7k with 840 interests, and a massage chair(but of course it's broken and I don't want it anymore), and I did paid off the chair by 7k with 814.80 interests.

Had I throw that 7k for the massage chair on the spot, no doubt I'm debts free, but I'm back to zero. I don't get to invest, I don't have other choice. I will have to work my ass off again to get that 7k back into my bank account somehow.

I do get your point where living debts free give you peace if mind, but when you have a choice, will you rather have "equity"? Or "liquidity"?

Sorry if I'm out of scope, but it's an idea where I think the younger generation should adapt to. It's not the paper money, its the value that can be traded counts.

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