Debt isn't a dirty word, and it's time to stop treating it like one

Nov 6 2018, 5:23 pm

When you work hard and want to achieve a certain lifestyle, you often require some financial assistance. Sometimes, that means going into debt to make your long-term dreams come true.

We’ve teamed up with Pylo Finance Inc. (Pylo) to find out when debt is a good idea and how you can stop your debt from snowballing out of control.

The word ‘debt’ has long held negative connotations because it’s something that can be abused or ill-managed. By definition, debt is “the state of owing money” and when you owe money, you have to pay it back.

Failing to do so impacts your credit score, signalling to banks and private lenders that you could be a risky investment.

“A poor credit score means limited access to capital when you need it most,” says Sylena Urbanoski, COO of Pylo. “A majority of the time, credit scores show past mismanagement of money and are not an accurate reflection of someone’s present approach to financial management.”

From that luxury car to those Sunday shopping sprees on a new credit card, we’ve all spent money in the wrong places before, only to realize the true cost after the fact. But Pylo believes that those mistakes shouldn’t hold you back from achieving your goals; they have other ways of assessing who you are and what loan is right for you.

But let’s be real: Getting a loan is not a lottery win, and it comes with its own set of risks, and if you can avoid getting into the debt trap in the first place, that’s always the best option. So let’s put on our adulting sweatpants and talk about how you can avoid going into debt by taking the reins on your monthly budget and owning it.

Do I really need it?

It’s easy to say “yes” to store credit cards when they’re from your favourite stores and you’re easily convinced that the special offers will benefit you in the long run. Sure, the idea of signing up may seem enticing, but these credit cards often have very high interest rates.

Merely having the store cards can tempt you to spend more than what you had planned. These cards usually have a”no grace” period where you can just pay the minimum but this can lead to the snowball effect of your amount owed. If you avoid signing up for the cards you’ll save yourself from these possible issues.

Don’t fall for sales

Black Friday, Cyber Monday, BOGO deals; there’s always going to be another sale. Fast sales are an easy trap to fall into, but if you buy something in every single one, or treat them like a shopping spree, it can be incredibly costly. Some, but not all, unscrupulous retailers will actually raise their prices before a big sales date, and then lower the item’s price to the regular amount.

Instead of falling for the chance to save 50% of nothing, keep an eye on the price of the product that you need. So, when it does actually drop in price, you can really save. Playing the long game and having a bit of patience can go a long way.

Start tracking your spending

Whether you get paid on a monthly, bi-weekly, or weekly basis, it’s a good idea to draft a quick budget so you have a clear idea of how much money you have to spend after your bills and utilities are paid. You can easily download a free money management app like Mint to start tracking your spending. Tracking your spending allows you to be more conscious and smarter with your money. Failure to do so could result in you continuing to spend more money than you really have.


Credit scores can punish your future for the mistakes of your past when you apply for a loan with select financial institutions.

Pylo is working to break down the stigma associated with debt as they do not judge your credit score. With Pylo, you can get a loan within minutes from the comfort of your home. Visit Pylo Finance Inc. to find out more.