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Credit, Some Debt, and Some Cash vs. No Debt

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What is the difference between having available credit, some debt, and some cash vs. no debt, no available credit, and very little cash, because you have always paid all debts with cash?

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In the first scenario, you have buying power. Even though you may have some debt, you also have available credit and debt if necessary. This makes you a very powerful figure because people will be willing to sell to you since they know you are able to buy and ...

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