With increasing debt in the country and less demand for the US dollar, inflation seems inevitable over the next few years. Banks are approving loans to those with good credit at very low interest rates; for now.   Saving your cash in a low interest account will only devalue your assets even more.

What should you do? It is time to take advantage of as many of these loans as possible.  I’m not saying to go out and buy frivolous liabilities but purchase assets with these loans.  Go purchase a house, don’t prepay off your debt this year, and buy things that have real value (i.e. gold, silver). By purchasing durable goods with the dollar now, these goods will sell for a larger dollar amount later. Not because your goods will be worth more but because the value of the dollar will be worth less. Waiting to pay off your debt is also a good idea. By waiting your debt’s value becomes less especially if your debt has a fixed interest rate.

There are many great investment opportunities still out there right now; I understand they are not for everyone. But if you spend a little more now, the dollar amount you will receive in a few years will be greater and the value of debt you owe will be less.