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In our crumbling economy, many people, particularly in the middle to lower middle class have found themselves deep in debt. Some of these debts were made while doing reckless stuff and spending as though there were no tomorrow. But the majority of these debts were made honestly and earnestly.

For example, according to the New York Times, student loan defaults are at an all-time high. These defaults are the result of over-borrowing to finance college. The majority of the friends that I grew up with had to take out loans to cover education costs such as housing and other very necessary expenses.

According to Seth Godin, housing is definitely something that one should go into debt to attain. And, I do not believe in living below one's means just to get a college degree. I have seen too many people sacrifice sleep and sanity to "save" money. Meanwhile, the long-term effects of these cost-cutting behaviors are unknown.

Defaulting on anything is not the most optimal solution. However, according to the NYT, defaults are on a sharp rise especially at for-profit colleges and universities, where 15 percent of borrowers defaulted in the first two years of repayment, up from 11.6 percent the previous year.

One must be prepared for a disaster at all times. Personal finance is about behavior and many people in this country were not incapable of repaying these loans and thus should have borrowed conservatively to finance their degrees. Private lenders are the worst to use because of the variable interest rates. Caring about yourself means making educated decisions and making your money, whether borrowed or earned work well for you at all times. There is nothing more costly than ignorance. And, too many college graduates are not informed about how to properly repay their debts. Moreover, those that are informed have a tendency to assume that everyone else is on the same page.

The reality of life and other things is that many people are woefully uninformed about their own habits and personal finance and maintaining a good credit score through honoring one's deals is crucial to success in life.

Remember, it is no one's job but your own to ensure that your future looks bright. Financial success is the result of not only behavior, but also very careful planning.

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