26/04/2026
💡 Good Debt vs. Bad Debt: Know the Difference!
Not all debt is created equal. The Bangko Sentral ng Pilipinas reminds us that borrowing can either build our future—or burden it.
✅ Good Debt
• Used for investments that grow in value or generate income.
• These debts can strengthen your financial foundation when managed wisely.
❌ Bad Debt
• Used for expenses that lose value quickly or don’t generate returns.
• These debts often come with high interest rates and can trap you in a cycle of repayment.
🔑 Key Takeaway: Borrow only when necessary, and make sure the debt works for you, not against you.
Treating yourself once in a while is okay—but think twice before borrowing for non-essential expenses. 🛒
Use credit for meaningful goals to keep your finances on track! 📈