You are headed to the mountains for some climbing this summer and you need some gear- The local mountaineering shop is offering 6% financing on all purchases before the end of the month- Your savings account is currently paying 5%, and you are in a marginal tax bracket of 28%- Which of the following is true?

What Is Consumer Debt?

Consumer debt consists of personal debts that are owed as a result of purchasing goods that are used for individual or household consumption. Credit card debt, student loans, auto loans, mortgages, and payday loans are all examples of consumer debt.