When you hear the word ?debt? it can seem as if it is being uttered in the same breath as ?sin? or ?evil? or some other word that conjures a negative response. In some cases this is very true, but there are examples out there where taking on debt is actually a good thing especially if the long term results work to your advantage. Read on and we'll take a look at three examples where debt can work to your benefit.

New Car Loan ? Buying a new car can be a necessity especially when dependable transportation is needed. Not everyone is handy with working on a car and not every one has the time to make repairs. On the other hand, a new car can give to you years of safe and dependable travel, something that is hard to put a price on. To minimize your debt, seek out a new car offer with zero percent financing. That way you pay only the principle back on the loan and you can always bank the cash.

College Education ? Stories of students taking on student loan debt in the six figure amount can be disheartening. However, if you know that you can average $20,000 more per year if you have a bachelor's or master's degree than you would if you didn't have one, then the extra $800,000 in salary over your 40 year career makes sense. Compare that to owing $100,000 in student loans and even with interest you'll come out with four times the money over time.

Buying a Home ? Few folks have the means to pay cash for their homes. So, the only way they'll ever get a home is to finance one through the bank or mortgage company. In most cases this makes sense and is good debt as you'll own an important asset instead of flushing rent money down the toilet over the years. In some areas of the country renting is preferable, but for the most part owning a home is best especially as it is one asset that continually appreciates over time.

So, there you have it. Three examples of some debt that is actually good. With any debt, you have to look at the long term effects in order to make a decision whether that debt is worth it or not. If it isn't, then by all means avoid it or at least control it by limiting the amount of debt that you will take on.