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It reduces cash in the bank.

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15y ago

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What does finance equity mean?

Finance equity refers to the residual claimant or interest of the major type of investors in assets after paying off all the liabilities. Negative equity exists if liability is more than assets.


Do subsidized loans affect credit?

Subsidized loans will affect your credit score negatively if you are not paying them. If you are paying them, they will have a positive effect on your score.


How do you become debt free without assets?

To become debt free without assets, you can start by getting a job and paying your bills. Set up a budget and follow it. Be sure to include savings and investments. Do not add any more debt!


Do you inherit debt?

No, you do not inherit debt. Unless you choose to do so. The estate is responsible for ending the debt by either paying it off or showing the court there are no assets.


Could be true if one decreases their long term liability and increases their liquid assets a. Paid off credit card balance and added money to savings. b. Paid off medical bills and invested money.?

Option a, paying off credit card balances and adding money to savings, is likely to decrease long-term liabilities while increasing liquid assets, as credit card debt is typically a short-term liability and savings are liquid assets. Option b, paying off medical bills may reduce liabilities, but investing money usually involves allocating funds into less liquid assets, which could decrease liquid assets. Thus, option a aligns better with the goal of decreasing long-term liabilities and increasing liquid assets.

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What one effect of low paying jobs?

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