The only debt I have is my mortgage. I bought my 1br apartment at the end of 2011, and I now have my mortgage down to 5 digits, while the place itself is now worth at least 1.5x what I payed for it (according to the city appraisal I got this month.)
I have a line of credit that I use sparingly. When I got my current vehicle, I needed to add about $3000 on top of my trade-in. I used the line of credit to get the money, and paid it off over a few months. The line of credit has a very low interest rate compared to credit cards, so I have also used it to fully pay off my credit card after a couple of major purchases, then paid down my line of credit afterward. My line of credit almost always stays at a $0 balance. I have used it to pay for things like work on my vehicle and to buy RRSPs.
When I first came to Kim City in 2007, I had only my clothes, my cat, a computer, and various odds and ends, basically everything I owned fit into mom's minivan (which I "borrowed" for the trip.) While I was getting established I accumulated some debt, but managed to pay it off.
My vehicle is a 2003 Nissan Pathfinder that I've had for almost 4 years, bought from a used car lot. I paid for it with a trade in and $3000 cash. I've never financed a vehicle, or anything aside from my home. After I got here my dad and my long-time special guy came to see me and make sure I was okay, and they took the minivan home with them, but my guy bought me a beater vehicle to help me get around for work and so on. It was a 1996 Malibu, and cost $1200. He also gave money to help with expenses while I was getting settled. I paid him back as soon as I was able. I've "upcycled" a couple of times since. The Pathfinder is actually very nice despite its age, and is tank-like in terms of reliability and power. It needed some work done, but I've been lucky to find a really trustworthy mechanic. It has had new everything since I bought it-- tires, brakes, shocks, belts, and everything else that wears out-- but has needed only a couple of minor repairs that don't fall under the heading of replacing worn out stuff.
"Upcycling" has been my process for other stuff too, especially furniture, housewares, and clothing. I made do with pots and pans and small appliances I bought at garage sales and Value Village for a long time. I've upgraded to nicer things when the opportunity struck-- a clearance item on sale, a great find at a garage sale, and so on-- and given my old stuff back to Value Village for someone else to enjoy. I used my $4 Value Village toaster oven for 8 years, bought a new one at Canadian Tire when they had it marked down to 70% off for some reason, and gave my $4 toaster oven back to VV... some other cash-strapped person is probably still using it today. Value Village is also my primary stop for clothing. I go there to scoop up nice stuff and turn in stuff I'm tired of pretty regularly. Aside from the price, I just like the stuff there better. I don't care for a lot of stuff I see in stores, and feel like buying well-made second-hand stuff from yesteryear has allowed me to create a unique style that suits me better than whatever is in fashion at the moment.
I think buying new things (vehicles, clothes, furniture) is expensive, and often not necessary. Having the persistence to look for used bargains, and having an eye for quality and a mechanic I trust, has been very helpful for my financial security.
-k