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Leverage Is Borrowing Against Your Future Self

Margin loans, BNPL, and home equity lines all share a structure that's easy to underestimate.

Borrowed money amplifies outcomes in both directions. The math people remember is the upside. The math that hurts is the forced-selling at the worst possible price when collateral falls.

Use leverage only when you can fund payments from independent cash flow, not from the appreciating asset itself.