In the VSECU Blog you'll find financial and lifestyle resources to help empower possibilities for your personal success.
Debt can be a complicated or sensitive topic, but it’s important to discuss because it’s crucial to our personal finances. Your credit score is impacted by the amount of debt you have, whether you are paying off your debt on time, your credit card balance(s), and more. Debt can also have you spending significant sums on interest alone. According to financial data from Zillow, Forbes, and TransUnion, the average American will pay just under $900 a year in interest on their credit card debt. However, not all debt is bad. Sometimes debt can help to improve your credit score, make a sound investment in your future, and more. Understanding the difference between good debt and bad debt can help you determine what debts to pay off first or avoid going into certain types of debt.