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[–] 36 points 9 months ago (1 child)
  • [–] 12 points 9 months ago (1 child)

    Better answer than "debt" unless that debt is at a high interest rate.

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  • [–] 9 points 9 months ago* (1 child)

    Don't discount paying off a modest 6-7% car or student loan. That's a guaranteed and tax free return on investment. Historically the stock market returns about a 7% annual ROI. Not having a payment every month can make a big difference for liquidity and peace of mind

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  • [–] 10 points 9 months ago*

    I would count that as "high," especially when, as you suggest, you consider risk-adjusted rates.

    Basically, just don't prematurely pay off your mortgage if you have one of those 3% ones from a decade ago.

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