Debt which is money that is owed to someone else has become an issue for many in developed countries. They are liabilities that drain money out of you, since part of your monthly income will have to go towards servicing the debt and the interest that go with it.
Debt is bad to your finances when you run up your credit card balances in order to live beyond your means or to purchase goods and services that don't have a lasting value for you and your family. For example, restaurant meals, purchase wine, dying of hair don't have any lasting value but they sure increase your credit card debt. Debt is also a negative if you have so much that you have so much that you cannot repay it.
What is good debt then? Debt is good if it ultimately accumulate wealth for you. One example is getting a mortgage to purchase your home which grows in value over time. Another example is a loan to start your own business. Some debts help you to save money in the long run, like getting a loan to make you home or business more energy efficient so you can reduce on your utilities bill.
