Avoid debt that does not help build long-term financial security. For example, avoid borrowing money for things that do not provide financial benefits or that do not last as long as the loan.
Examples include:
a vacation, clothing, and dinners out in restaurants.
Examples of debt that helps build long-term financial security include:
Paying for college education (for you or your child)
Buying or remodeling a house
Buying a car to get to work