I analyse the implications of social status concerns on debt holdings at individual and aggregate level, in a partial equilibrium life-cycle framework with heterogeneous agents. The focal point of the analysis is the explicit consideration of durable goods, in their triple role as a part of utility, a collateralizable portion of life-time wealth and a social positioning device. In an economy featuring social status concerns, the debt-to-income ratio is higher, a shift of resources towards the beginning of life arises and the effects of changes in financial conditions are more pronounced.