5 Ways  how  Debt  affects our Financial Planning

1. Understanding Debt Types

Differentiate between common Indian debts like education loans, home loans, personal loans, credit cards, or loans from friends.

2. Debt's Impact on Goals

Debt affects saving for goals like retirement, a home, or education. Balancing borrowing and saving is crucial.

3. Debt and Credit Score

Maintaining a good credit score is vital in India. High debt or defaults harm it, affecting borrowing, job prospects, insurance, and rentals.

4. Wise Debt Management

Prioritize high-interest debts, budget to cut expenses, explore consolidation, negotiate rates, or seek professional help.

5. Financial Discipline

Manage debt and plan wisely by resisting impulse spending, setting realistic goals, and diversifying investments. Regularly review strategies and seek advice when needed for a secure financial future.