What is debt?
Debt is when you borrow money from a bank, lender, financial company or utility provider. Until you pay back what you owe to the provider, you'll be in debt.
Are debts bad?
Not all debts are bad, as long as you're making your payments on time. In fact, they can be a useful way to build your score and get money when you need it.
What are the different types of debt?
There are 2 types of debts – short-term and long-term. The type depends on how long your term is, which is how long you've got to pay back what you owe.