Glossary
Liability
Money you owe and must repay
A liability is money you'll have to repay, such as a loan or a credit-card balance. Net worth is assets minus liabilities, so cutting debt raises your net worth.
Glossary
Money you owe and must repay
A liability is money you'll have to repay, such as a loan or a credit-card balance. Net worth is assets minus liabilities, so cutting debt raises your net worth.