Debt is a financial term that refers to the amount of money owed by an individual to their creditors or lenders. In the context of insurance, outstanding debt specifically pertains to the amount owed by a policyholder. This can include credit card balances, loans, or any other form of borrowed funds. As a knowledgeable professor of finance, it is important to understand the concept of outstanding debt and its impact on an individual's financial health. By managing outstanding debt effectively, one can avoid financial strain and maintain a healthy credit score.
