What is considered bad debt (and why should it matter to borrowers)?

With borrowing costs still high, the type of debt you carry can have a big impact on your financial health. Andrii Yalanskyi/Getty Images

Borrowing has become a normal part of life for most people, especially as everyday costs continue rising . Whether it's groceries, gas or housing, many Americans are now relying more heavily on credit to handle the gap between their expenses and their income. That's part of why the latest data shows that household debt is climbing yet again — a sign that more borrowers are feeling the strain of high prices, persistent inflation and a tough job market . And, for millions of borrowers, that increased dependence on credit is pushing their budgets into more precarious territory.

While some forms of borrowing can help you move forward fina