Good debt, like a mortgage or appreciating asset, is worth the interest paid over time. Bad debt finances items that quickly lose value, leaving you still paying for them. Avoid financing furniture and electronics that depreciate immediately, and opt for used or discounted items instead to avoid unnecessary debt. Avoid financing a pricey trip or luxury items, as they may not be worth the debt. Instead, consider budget-friendly alternatives like staycations and living within your means. Don’t finance items like luxury dogs, weddings, or fast fashion. Opt for adopting a shelter pet, budget-friendly wedding options, quality, long-lasting clothing, and discounted electronics instead.

Read more at Yahoo Finance: 8 Things You Should Never Finance, Ever