Definition of Asset Rich Cash Poor

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Debt Consolidation Glossary and Related Finance Terms:


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Asset Rich Cash Poor definition

Define Asset Rich and Cash Poor: An individual is described as "asset rich and cash poor" when they own considerable property but have a relatively small amount of liquid assets. An example would be a person who must spend most of their net income to service mortgage loan payments on a huge mansion. They are asset rich in that they own a huge mansion; but they are cash poor in that almost all of their money must be earmarked for their scheduled payments. Another commonly used phrase for this situation is saying that a person is "house poor".



Finance Related and Debt Consolidation Terminology
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