Originally Posted by
Cpn_Dunsel
Sometimes paying interest on something such as a bike is still a wise move if a person acquires it in timely fashion and the item fills a need. Getting something today instead of tomorrow has value and that value is different for different people.
"Want" vs "need" is a subjective judgment; there is no logical nor empirical way to distinguish between them -- as suggested by your statement that "value is different for different people."
Originally Posted by
Cpn_Dunsel
and often debt can be renegotiated such that only a fraction of the actual cost is actually ever delivered. It is very common to renegotiate a debt packaged at 60% on the dollar so that one actually never even pays the interest and sometimes not even the full principle of the loan (especially with unsecured credit -- go into default and watch the offers develop. Surprising the deals one can broker when one is not afraid of using default as a mechanism))
There's another name for "using default as a mechanism," but it will get me run afoul of the sensor. It will also kill a person's credit rating.
Originally Posted by
Cpn_Dunsel
Debt is simply a financial mechanism.
If there is one thing that this thread has demonstrated, it is that, for many people, debt represents much more than a mere "financial mechanism." Those folks have different values, and there's nothing wrong with that, objectively speaking.