Business or Personal loans... Are they good or bad for us?

Debt of any type is widely discussed topic in ancient wisdom. Any kind of loan or debt is always advised as risky and we must exercise great caution and wisdom in taking such liabilities.

Debt is a easy trap

Debt an alternate word for credit is easy to fall into but hard to come out off.

The nature of debt is like a termite since it weakens the strength from within and with passage of time if not cleared on time it becomes a reason for pain and suffering.

Take informed decision before signing any kind of debt agreement

Before borrowing any kind of money one must seriously decide its need and if no alternative can be worked out only then one must take the path of credit.

Is debt a necessity of modern times !?

It is proudly claimed that the modern economies survive and thrive on debt. Though it may sound interesting and little luxurious to read but is it really beneficial to take the route of debt or loan !!??

The question is not new it has been answered by experts not only by the modern day financial professionals but also by many ancient scholars who have hinted about the hidden bitterness and pain of the kind that debt brings to the debtor.

Debt is a risky affair !!

If one defaults in repayment of loan their business or personal assets are at direct risk. On the other hand if these facilities are used wisely they are the best resources at ones disposal.

These loans may help in fulfilling ones work related aspirations and at the same time also help in achieving a feat that may otherwise had been impossible.

One must carefully review the benefits of taking any kind of loans and ensure that these align with their business goals.

Any kind of loan or credit may not help much in case there is no clear idea or plan charted out for growth of the business or alternatively for personal use of funds taken on credit.

Review your repayment capacity before taking debt or loans

One must also be highly confident of their ability or capacity to make timely repayment of the monthly EMI dues as if any overdue or unpaid outstanding payment may get reported to the credit bureaus and thereby create a negative impact n the credit score of the Individual or company which has taken such loans.

Any kind of loan is not much easily available to startups except for the funding's that are specifically designated for the startup related purposes.

Any kind of credit or debt is alluring try to stay away as far as possible

Most of the other loan eligibility requirements warrant the business to have been operational for a specified duration in order to become qualified for availing credit facilities.

It is important to appreciate that any kind of credit for any purpose Is a risky affair until and unless one take an informed decision based on multiple parameters to avail any such credit facilities to the best of their advantage's