What a popular and complicated question! I am going to attempt to answer this with as much clarity and utility as is possible in a one page article. First I want to cover the questions that you must know the answers to in order to make a good decision on getting cash loans. They are (in no particular order): 1) do you have sufficient funds to make the payment on time and with money left over in case of emergency?, 2) is the thing that you are buying either saving you money somewhere else or making you money that is more than the amount that you are paying for interest?, 3) how much is the thing that you are buying going to be worth when you are done making payments?, and 4) are there any sorts of deals that you can get that will enhance the value of the loan for you? I want to use the two classic examples of new cars and houses that people use financing to purchase.
So the first question is purely a common sense type of question and can only be answered honestly with respect to the amount of money that you make. Basic guidelines would be that you should be spending no more than 20% of your budget for everything that has to do with shelter and 20% for every thing that has...
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