in debt but want to invest.

[Sanitough]

right now i’m in debt for $6k but i want to keep DCA. should i focus more on pay my debt down or investing?

If you want to live peacefully and not be bothered, then never resort into another venture unless if you have done already with your first venture, and that is getting rid of debt by paying it first before its high interests will suck you. After that, then you are free to invest as long as you always invest an amount you can afford to lose.

[Russlenat]

I would say that you should be focus on that to pay off your debt first as noorman0 has written already.
If you paid of all then you can think about to invest in anything you want with the rule " Just Invest that much what you can afford to lose "
Playing with money thats not yours is not good and leading to more problems if you losing it .

Learn to be responsible on paying your debt because you also benefited from it before, and now it’s time to pay it back completely. And once you have fully paid it all, it will also bring a feeling of relief on your side. Then it’s time for you to freely start on your plans, if its investments then it will be good for you. Save first before you invest, so that if everything ends bad in the start, at least you have no one to pay and there’s no big regrets as you only invest on your extra money.

[isaac_clarke22]

~

That is pretty much understandable considering that you had related personal experience with it. Surely when a large amount of money arrives and one has a debt, it should be expected that repayment of the debt should be next. I would somehow react the same way regardless especially if we are talking about large amounts in here.
I would be hella mad to my relatives for such decision like that. Good thing that he did not ask you to pay at his own end in that scenario, since I heard some horror stories of relatives wanting their close ones to pay their debt in exchange of something of "sentimental value" they though.

[Finestream]

Yes it can be risky but it also depends on a few other details which the OP has
not mentioned.

You made a pretty good list, but there's also something we both forgot about:
it's expected that all the prices will grow. So OP will have to also have some backup funds for the winter.
So yeah, not a great time to have debts. I recommend him be overly cautious.

Taking debts will somehow be good and profitable in some valid reasons. However, when it comes to investing, particularly in crypto which is associated with high risks, you can lose them everything if you are not cautious on your part and you’re not skilled yet in making investments. So never invest from taking debts, as much as possible save first before you decide to invest. Because you will never know what will happen in your investments when the market becomes not profitable anymore.

[Memorabilia]

Please pay your debt first. Investing in crypto is very risky. Do not borrow money thinking that crypto will help you pay the debt and the borrowed money and earn some extra bucks. That’s too big of an aim since you are new. Focus on learning and before taking a risk. But before that, get rid of your debt please.

[libert19]

You don't know how investing gonna work out, pay the debt first.

[KingsDen]

~

I would be hella mad to my relatives for such decision like that. Good thing that he did not ask you to pay at his own end in that scenario, since I heard some horror stories of relatives wanting their close ones to pay their debt in exchange of something of "sentimental value" they though.

I would love to know the horror story where someone would be obliged to pay another's debt for some sentimental values or reasons. I am trying to imagine the nature of the story but I can't actually figure out. Maybe it could be some inheritance or wills related issues.

However, I have given my verdict in this post, if he wants to keep investing, it's left for him, now that the market is moving from bear to bearer.

[The Cryptovator]

If you hear me then I will suggest clearing your debt first. I never suggest anyone invest in cryptocurrency by borrowing money. So it's the same as if you invest in cryptocurrency when you have a debt to pay. Only invest you can afford a loss, sometimes some crypto becomes Zero. Likely you heard about the Luna crash. So investing in cryptocurrency when you have debt could through you hell. Everyone here will leave their own opinion actually. You have to take the right decision which is fit for you. We aren't your financial advisor anyway. 

[Franctoshi]

right now i’m in debt for $6k but i want to keep DCA. should i focus more on pay my debt down or investing?

From my own experience you definitely gonna be on pressure on a norm, investing while indebted to someone.However it would have make more sense if you tell us terms involved with the repayment of this loan,  which equally involves the duration at which you gonna pay back this loan, so from there we will able to tackle this properly with the right suggestions. For instance,If you have like 2,3- 5 years time period to repay the loan, it's fine DCAing in Bitcoin and until that time frame, hopefully you gonna have good returns and will be able to pay back your loan.

[albon]

right now i’m in debt for $6k but i want to keep DCA. should i focus more on pay my debt down or investing?

In my opinion, you should pay off your debts first in order to focus on investing with your remaining capital, because if you invest in cryptocurrencies, there is a possibility that you will lose the capital that you have and you will not be able to pay off your debts until after you collect the money again, so you have to end this debt as soon as possible because the person who lent you money does not deserve to wait for you long, and my advice to you if you decide to invest after that, invest in what you can lose, and you should know that crypto does not make it easy for you to get rich quickly. You have to work hard and learn first and stay away from borrowing money again.

[isaac_clarke22]

~

I read those "horror stories" around Reddit though it usually is not crypto-related, but you'll see it there usually in r/personalfinance.

Jeez I can imagine a lot of gaslighting and upbraiding like "I helped your father, brother, sister out of poverty and you should be grateful for that in the first place and I even fed your pet goldfish" and you are left with no choice but to do as they say especially when they are just residing near your area. It feels being trapped to something you did not even asked for.

I also appreciate you sharing your experience in your previous reply by the way.

[Zilon]

It depends on who you owe, if the payment isn't a haste thing or let say you are given enough time to pay back then you can DCA in your favourite coins and pay back your debt slowly.

no matter how close the lender is to the borrower investing in a risky asset with a loaned fund is the worst risk to take. As it stands no one can accurately tell what direction Bitcoin will take at any moment and what if even applying DCA price keeps plunging and the lender decides to demand for the fund with a matter of urgency. Paying back is best even if it means paying gradually

[Marvell1]

..

OP's main mistake was investing in cryptocurrencies with borrowed money. Crypto market is totally different from any other market, you may make huge profit as you may suffer huge losses. Investing in it (especially in new coins) is so risky and this is why members here always advise to "never invest/gamble more than you can afford to lose". What is done is done and all OP can do right is to try to make things right by selling his coins, even at low price, and repay part of the loan.

He ignored the fundamentals of crypto investing when investing with borrowed money.
Yes, he should sell all his crypto assets to pay that loan instead of continuing to borrow to invest more, the market is uncertain so it will be a burden to continue borrowing to invest even if that's bitcoin.

@OP, you should focus and find a way to pay off your debt before you want to invest. Once the debt piles up, it will put a lot of pressure and make you no longer awake enough to make the right decision.

[Poker Player]

He ignored the fundamentals of crypto investing when investing with borrowed money.
Yes, he should sell all his crypto assets to pay that loan instead of continuing to borrow to invest more, the market is uncertain so it will be a burden to continue borrowing to invest even if that's bitcoin.

@OP, you should focus and find a way to pay off your debt before you want to invest. Once the debt piles up, it will put a lot of pressure and make you no longer awake enough to make the right decision.

Well, $6k may be relatively little depending on his income, but he doesn't give more details.

You are right in what you say from an accounting point of view, but it is something that is done a lot these days. How many people pay a mortgage and also invest? It's not crazy in this case. There are also people who have personal loans and invest.

I personally prefer as you say, to get rid of all debts and then invest, but if the debt ratio is low in relation to your income, it is something that can be done.

[FirmWars]

Not a good calling, try to pay your debt first before investing in crypto and also know that crypto investment is not guaranteed, here is a good strategy if I am in your shoes, every 2$ spent on BTC like every day will worth a lot in future, can you afford 2$ per day while paying back your debt?. This is the best plan I can come up with.

[Z-tight]

Please pay your debt first. Investing in crypto is very risky. Do not borrow money thinking that crypto will help you pay the debt and the borrowed money and earn some extra bucks. That’s too big of an aim since you are new. Focus on learning and before taking a risk. But before that, get rid of your debt please.

Paying the debt first will probably be the right thing to do, but i don't think OP wants to use the returns from his investment in crypto to pay his debts, OP did not give us more details on what his situation is, but i don't feel the situation here is that OP wants to borrow money, and then use the money to invest.

I feel OP is already in debt, and he wants to use the money he is earning to invest rather than pay back his debt, his idea may not be too bad, but again he does not give too many information about himself and what he is earning, if he is earning enough to enable him invest and later pay his debt, then he can invest now and pay his debt later, but that is for OP to decide with his family, and not for us, because we know little of OP and what he earns or how much he makes from his business.

[lalabotax]

Paying the debt first will probably be the right thing to do, but i don't think OP wants to use the returns from his investment in crypto to pay his debts, OP did not give us more details on what his situation is, but i don't feel the situation here is that OP wants to borrow money, and then use the money to invest.

OP stated "focus on paying the debt", it means he wants to pay the debt. I think it is very clear that OP has money but he is not really sure whether to pay the debt or buy some crypto coins. However, since he is still in debt, I think OP should focus on paying the debt. Just invest when he already pays all the debt. Ignoring to pay the debt may rise a problem in the future, he will pay bigger because of the interest on the debt.

[Smartvirus]

In truth, I have to scan through the 4 pages so far in search of OP's response to the series of response in suggestions, advice and questions that this thread have gotten and sadly, i couldn't find OP anywhere aside from creating this thread. This makes me question if:

1. Is OP really giving this thread any attention as we wish to believe?
2. Are the questions unnecessary?
3. Are all or some of the suggestions satisfactory or perhaps non yet?
4. Is a response totally unnecessary for the suggestions thus far?

I have what I would have loved to say but, I don't know if you @OP is even following and it would be of no use, for OP at least.

[ajiz138]

Many people have agreed and suggested that loans are not a good thing to invest in if you are caught in a large amount of debt, I think it needs to be paid off so that your DCA does not become pressured because DCA is long-term if the loan is allowed, the interest will swell and that's why even more frustrating.

I think that debt needs to be repaid because if it doesn't have a high interest rate, it's better to postpone your DCA investment and focus on paying off the things that put you under pressure, because I think any investment can be done as long as you are free from loans and it will make you feel better. Your DCA is even more comfortable.

I have also started a new DCA recently but still not accompanied by any loans.

[Gosgosking]

It depends on who you owe, if the payment isn't a haste thing or let say you are given enough time to pay back then you can DCA in your favourite coins and pay back your debt slowly.

no matter how close the lender is to the borrower investing in a risky asset with a loaned fund is the worst risk to take. As it stands no one can accurately tell what direction Bitcoin will take at any moment and what if even applying DCA price keeps plunging and the lender decides to demand for the fund with a matter of urgency. Paying back is best even if it means paying gradually

It doesn't matter how close you may be to the person you collected loan from.  Their are high risk that are involved investing cryptocurrency and their is no guarantee that you can recover the money you took for loan for investing,  cryptocurrency is unpredictable.