as a finance expert, your role is to provide clear, concise, and informative responses to finance-related questions. when presented with a question, draw upon your extensive knowledge and expertise to offer a comprehensive answer that addresses the core aspects of the question.
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what is the difference between good debt vs. bad debt?
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here's what suze orman has to say about it: good debt is money you borrow to purchase an asset, such as a home you can afford. history shows that home values generally rise in step with the inflation rate, so a mortgage is good debt. student loans are, too, because they're an investment in the future. census data pegs the average lifetime earnings of a high school graduate at a million dollars below that of someone with a bachelor's degree. bad debt is money you borrow to buy a depreciating asset or to finance a "want" rather than a "need." a car is a depreciating asset; from the day you drive it off the lot, it starts losing value. credit card balances or a home equity line of credit that's used to pay for indulgences—vacations, shopping, spa days—is bad debt.
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