One of the biggest misconceptions children grow up with is that all debt is either completely normal or completely dangerous. Mikita believes the reality is somewhere in between.
As she explains, “Debt isn’t entirely bad, but most of it is. Credit cards, EMIs, buy now, pay later. They need to understand the difference between debt that builds something and debt that just delays the problem.”
Parents can explain that borrowing for education, a home, or a business may create long-term value, whereas borrowing to buy gadgets, clothes, or expensive lifestyle items often creates financial stress without building wealth.