Sunday, June 22, 2008

Loans and debts make worry and frets

This is a fairly obvious statement; if you owe money there is always the fear that something will happen to reduce your income. If you fail to pay up on time there will be penalties and eventually you might lose your assets. When you awake in the "wee small hours" and what if scenarios start running unbidden in your mind the proverb: neither a borrower nor a lender be seems like solid advice.

The person who gives a loan has the corresponding worry: "What if I don't get the money back?" As they say: If you owe a hundred and you can't pay you are in trouble. If you owe a million and can't pay the lender is in trouble.

In the modern economy, credit is essential for most people as they need to buy things now not in twenty-years time when they have saved up the money. To borrow to invest in a business or buy an essential can make good sense if you have carefully worked out the risk. To borrow to finance a luxury you do not really need is not wise. Previous generations would probably have called it sinful.

If something can go wrong it will go wrong so it is prudent to assume some setbacks and give yourself a safety margin.

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About Me


Author of "Stirring Western Poems" "How to Write Lyrical Limericks & Poems that Pay" "700 Limericks & How to Write Them"
"Clean Limericks For All Occasions"