I am never a debt person. Partly due to my personality. I was not a people person when younger, so did not know how to interact well with other people. Hence, I often prefer to work on my own and do not like to owe people a favour. That has spilled over to how I deal with my finance and as much as possible, I do not borrow. As I grown financially, I have learnt that debt might not be a bad thing, especially when it is cheap. Used responsibly, it can help to fulfil needs and wants, and accelerate growth of wealth.
Still, given a choice I would like to be debtless. As the Chinese saying goes, “无债一身轻” (feeling light when you have no debt). So with the last payment of Auto Loan, I am enjoying the feeling of “lightness” again! Sidetrack a bit, I went to find out how much my drive costs now and I am pleasantly surprise that it can be sold at about 70k! However, since I still find it convenient to have a car, selling is a no go for the moment.
Back to being debtless. It means that I do not need to worry about the rising interest rate in my daily life. Well, I do need to think how it might affect my investment, especially for companies that use debt as a leverage in their business model. But not a lot since it is beyond my control and I believe the management is capable enough to deal with the issue.
I will be debt free for the foreseeable future and hope the feeling of lightness can help spur me to become lighter on the weighing scale too!