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Financial Freedom: A Guide to Achieving Lifelong Wealth and Security by Reuben Advani

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Liabilities

Balance Your Balance Sheet, Part II

It’s no secret that many of us build our economic future on borrowed funds. That’s not always a bad thing, but too much of anything can create problems. We call these obligations liabilities and, in the world of personal finance, they can play a big role in how we live our lives. These obligations come with significant costs. For example, buying a home involves one of the greatest liabilities many of us will ever assume: a mortgage. A mortgage is a sizeable obligation with the costs to match. Many of us use credit cards to finance our regular purchases and, as a result, incur hefty charges when ...

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