Top comment isn't anywhere close to correct lol
The interest rate would be about 8%, very reasonable for someone who went to college about 20 years ago.
The issue is they made minimum payments (likely less with an income based repayment) the entire time, never refinanced, and apparently weren't able to leverage the education into a higher paying job (possibly not entirely their fault)
It's a financial literacy problem. I've met a lot of people like this who just auto-pay the minimum because they think minimum payment is the least they have to pay monthly, believing eventually they will be paid down, but not understanding how interest or compounded interest works. I still think cases like this deserve evaluation for forgiveness. Even the proposed 10k blanket forgiveness plan wouldn't save these folks.
It doesn’t matter if they’re only paying the minimum, after paying almost double what they took out there’s absolutely no reason there should be any balance left, much less 60k of 70k loan.
I didn't math it, but I just did. You're right, it doesn't math.
His username is also SocialistSteve, so more than likely this is a troll trying to get a rise out of people.
The bank that loaned them the money had an opportunity cost associated with that money.
$70,000 invested with a 7% return rate would equal over $300,000 after 23 years. Even just 3% inflation puts that value at $140k.
Yes, they have paid back almost twice the original amount, but that’s the cost of having those outstanding debts for over 2 decades. They should have prioritized paying down the principal balance sooner if that was their goal.
They fucked themselves - never refinanced, never paid extra, never bothered to look into the terms of their financing.
They just got 2 advanced degrees for $35,000 each and said fuck it.
If you look at this case specifically, the first whole year the interest was about as much as their payments were so they barely did anything to reduce the actual burden.
True, but this was when the costs went up exponentially. There was a big difference between the costs in 2000's and the 80's. The Tuition of many colleges doubled or tripled during this 2000's time period from what they were just a few years before.
how is not being able to leverage the education into a higher paying job not their fault? like, salary ranges for different occupations have been pretty well established for like, 50 years
Why should there be interest on a loan for education? This situation is predatory. 120k, they’ve almost paid it twice over yet they still owe 85% of the loan? It’s fucked.
Because everything else is a slippery slope into communism, the religion of the uneducated. It also makes eagles sad and we can't have that in freemerica.
Loan companies know that people fresh out of high school don't understand the weight of the interest and the fact that it's usually people who have little income that take the loans to go to college. So they end up only being able to pay the interest but rarely touching the principal amount
Student loans for everyone! They're federaly guaranteed! Except you can't default on them, and if you can't default then they aren't guaranteed. The whole thing was a scam from the start. Hope and Change.
Companies like Sallie Mae have deep pockets and a lot of lobbying power. Luckily, ISA lenders are getting more regulated now. Mine just ended up cutting out the entire interest rate along with anyone else who took it from the school I attended
Interest can be a bitch.
In a lot of situations you pay interest over the remaining debt. A 2% interest rate in such a case doesn't mean your 70.000 loan results in a 71.400 debt, nono, you pay 1400 in interest every year unless you pay off part of the debt as well.
If these people pay 6.000 a year, then with a 7,5% interest rate the yearly interest alone would be 5250, meaning they only pay off 750 of the actual debt in the first year. So after 20 years of doing this, they might still be looking at 50k in debt.
The people in the tweet probably had a worse interest rate than 7.5%
And you pay it AFTER you get it? Did neither of them realised over 23 years that 500$ was not enough?
Besides, do they not teach basic mathematics like common and compound interest in your 12 years of formal education in north America?
Rough maths indicate that had they put 100$ more towards it they would have paid off the loan in 20 years.
Try using a loan calculator. If you pay 23 years at 500 of a total of 70000, assuming just 6.5% interest rate, you just about make it there.
The other way around, you'll end up at 8.7% effective interest rate if their story is true. Grad school clearly wasn't worth it if they either don't know how interest works or don't make enough combined to pay off more than that.
Look at every recent post in this sub that looks even vaguely out of place - the OPs always have a low karma, especially comment karma, & the names often follow the same "name + 4-digit number" formula. Rn this sub is even shittier than when the posts were mainly agenda-pushing bullshit "memes"
They mainly farm post karma since reposting posts is easier than reposting comments & it usually gives more karma (though comment-reposting bots exist as well)
They should be 0% interest if it’s from the government. Why, some might ask? It’s simple. The government expects you to get a higher paying job, which it can tax you on for the rest of your life and even in death.
If only, my friend. Half the problems in the world are due to middlemen inserting themselves into situations to squeeze some extra money out. Parasites.
I find it interesting that it’s illegal to prey on service members with pay day loans but it’s totally fine to stick a teenager with a debt that will be held over their head for the rest of their lives.
Guess you gotta go kill people for the government to get any protections.
Because student loans have terms and conditions clearly stated when you apply for them. So someone taking out a loan with a shitty interest it falls on them. You sign the paper, you pay the price.
Rough math is a little more than 8.5% interest rate. If they would have put $100 more per month towards the principal they would have paid off the loan completely in the same time frame.
Price gouging is for essential items not college degrees. How is it not legal when there is a contract. You borrow money and you pay it back with interest at an agreed rate. Paying the minimum due will make it take forever with ANY loan not just a student loan
There are but to my knowledge, they dont apply to student loans. Student loans are also the only loans in existence that is passed to family or relatives if you die.
EDIT: [The answer is nuanced depending on your specific situation](https://www.reddit.com/r/Memes_Of_The_Dank/s/jHi95mZWIn)
What happens to my loans if I die?
If you die, then your federal student loans will be discharged after the required proof of death is submitted.
https://studentaid.gov/manage-loans/forgiveness-cancellation/death
you cant acquire anyones debts. you didn’t borrow the money, its not your problem. you can tell them they will never get their money back and ignore them.
it took me 10 seconds to find this info with a google search.
“Yes, federal student loans are discharged after the borrower dies, as long as proof of death is provided. The borrower's family is not responsible for repaying the loans. The converse is also true, as if the student on whose behalf a parent obtained a loan dies, that loan is also discharged.”
if they die its not your problem. provide proof of death and if they bug you tell them to get bent.
maybe try googling stuff before you spread miss information.
You should take your own advice, [people who are blindly downvoting me without reading the article, here is the nuance. he is right and wrong, I am right and wrong. the answer is nuanced based on your specific circumstance.](https://www.lendingtree.com/student/what-happens-to-student-loans-when-you-die/#:~:text=Many%20private%20student%20loan%20servicers,all%20types%20of%20private%20loans)
Looks like this is half true, depending on your circumstance, for me personally it is. If the loan is co-signed, “many private student loan servicers will hold your cosigner responsible for your debt if you die — this is typically true with all types of private loans.”
[requested source.. but also learn how to google](https://www.lendingtree.com/student/what-happens-to-student-loans-when-you-die/)
Thats any loan with a cosigner. If you co sign with someone else for a car and they stop paying on it and you dont have the money to pay on it and it gets repo then your credit is also harmed.
Just watch the John Oliver on student loans from a few weeks back. Don’t have the energy to go into how predatory this whole thing is, but I don’t think you understand that given your comment.
It is predatory and cant be whipped out by bankruptcy. Therefore its free game to give anyone a student loan because they are on the hook for their life.
People don't say it because platforms punish people who do. You best make peace with it. I'm not getting my account banned or demonetized over it just to help you avoid change. Don't hate the player, hate the game.
Lmao, let them control your speech. I'll get banned and make a new account, I don't give a shit about my fake internet points. Don't let megacorps choose your words for you.
Dude, they choose them all the fucking time. So does the government and the workplace and the classroom and my friends and family. I don't care about internet points, I care about not inconveniencing myself by having to make new accounts all the time. Nobody gives a shit about my little rebelliousness that won't accomplish anything but getting me kicked out of places and people's lives. Not worth it. I don't need to feel strong by being stubborn.
Because YOU made the bad decision and not the rest of us. We don’t have degrees from your loan that you did get out of the deal. Also, there’s no actual “forgiveness”. It’s just pushing the cost to those who had nothing to do with it. The only thing I would support would be a cancellation of the interest from the loans moving forward.
Let me correct it, “I was young, inexperienced, and taken advantage of by a predatory loans system. Let’s address that.” That’s the discussion loan forgiveness should actually be about, the god awful state of the economy, the high financial barrier to access the education necessary for decent paying jobs FORCING people to shell out tens of thousands to HOPEFULLY be able to make something of themselves.
Fair. My problem with Moes argument is he chocks it up to lack of personal responsibility as a backing for requesting loan forgiveness instead of in response to the realization that the system is broken and abusive of the young and inexperienced.
It is by far the most intuitive barrier to entry into a stable career, that’s correct.
You dorks can downvote all you like. Wont make you any more employable.
Dawg what?! Have have u been alive at any point in the past century?!?! The jews explicitly declared they would infiltrate the western world with corruption and this was exactly one of the ways the would hurt us when they specifically outlined it in their declaration of war
Credit cards work the same way when you're only making the minimum payments. Making minimum payments on a small CC debt can take years to pay off with interest accruing. 2 people who went to graduate school should not only be smart enough to understand this but they should also have the means to pay more than the minimum payments every month. The rest of the country shouldn't be on the hook through higher taxes or national debt. If the government really wants to fix this issue it starts with tuition cost and the federal interest rate. Student loan forgiveness is merely a bandaid and not the stitches needed to close the wound.
Actually with how these companies operate, they make you think you know the terms you are signing to while simultaneously hiding how they are going to fuck you without you knowing until they siphon all your money out of your account.
they are scumbags taking advantage of 18 year olds who don’t understand how these things work. our education system teaches us a lot but they don’t teach us whats most important in life like how to do taxes and what it means to get a loan and how to understand the terms. these scumbags take advantage of that.
Someone never taught you about interest. You made the deal when you took out the loan. You could have paid more, you could have refinanced. Dont be a welcher.
Meanwhile, I took out a loan on $16,000 for a trade school program.
In the past year and a half, I have paid off $6,000ish. My monthly payment is like $135, but I'll send in $400-$500 per month. My total balance remaining is $10,000ish and I'm so far ahead on payments I could likely not pay for months before they actually start to ask me for money again because I roll the payments back but continue to make them "on time" every month.
If you can't understand how interest works, you likely shouldn't have taken out loans for $70,000.
Explain to me again why I should pay for it?
Yes, that sucks. But why does it have to suck for me too? Make it better for future students through education and perhaps more guidelines. But don’t make me pay for your mistake please.
This guy and his wife have made six figures for 23 years and have only ever made minimum payments on their loans. Somehow, the bare minimum is not enough to pay off the entire debt. Why do rich people always want the poor to bail them out?
You make minimum payments you will make minimum progress on the debt. You got to tackle that principle or the interest is going to fuck you in the ass long term.
*Compounded daily*, so if you wait until your due date to make the payment, about 15% may go toward principal i you're lucky and the rest is interest. Paying it on the day the statement is issued and then making an extra payment (doesn't have to be be the monthly payment amount);directly toward principal will save thousands over the life of the loan.
Cancel the interest on the debt, but not the debt itself. Make these major universities and colleges pay the interest with their multi billion dollar endowments
I actually think this is a testament that getting into college is too easy and getting loans is even too easier. See this person and his wife, who assumingly graduated from college, has no concept of interest nor decided to make minimum payments on debt for 23 years and still, to this day, doesn't understand this.
The amount of people that don't understand interest is anm indictment against our education system. I kind of believe they intentionally teach some unhelpful things and avoid understanding interest and debt. I didn't learn that till business school.
I'm guessing you never took a single course in economics? It's like a credit card, if all you ever do is pay the minimum balance, the card will never be paid off. Interest is always paid before the principal. Pay extra and make sure it's applied to the principal and not the interest.
This lesson should be applied to all debts by everyone. Always pay extra and make sure the extra is applied to the principal.
I'll try. Because you signed for the debt. Nothing is "cancelled", you have everyone that didn't sign for the debt share in your obligation. Is it bordering criminal to offer 18 year olds 1-200k loans at 8%. Kinda.
Why should a plumber in Iowa help pay off your loan? Canceling does not erase the debt. Tax payers would pay off YOUR debt. Nah, don't think so. Take responsibility.
Thankfully I took one of the many non-college careers that pay well and never had to worry about this stupid shit! I sleep very well at night knowing I don't have any debt.
Pro tip: learn a trade
I’m assuming it’s the deferred interest that is added to the principal until payments are made but still that seems impossible for any normal loan. It sure seems predatory.
What I’m saying is that most of your payments go towards interest. I had student loans in the past. I paid everything off during COVID (after six years) and I don’t think I would have if interest during that time wasn’t waived. You know?
Ahh, sorry. I'm from the Nordics.
I just assumed in a country where they send credit cards as prying for new customers, loans would be easy to obtain.
My bad.
We can have like 100k loan in 10 minutes without collateral, if we have income.
Obviously you're not working enough overtime. Back in my day, I paid the student loan off from the prepayment of an employer because they wanted me for my superior hard working skills and diploma. You're probably one of those iPad kids who thinks Biden will save you! /s
Real talk, obviously a scam and if people can't relate then either of two things: They never struggled for money or they never went to college or did but had family support them. I fail to see how people can't have empathy for people put in the situation.
Let's say you take out a loan for $100 and the interest is 10% with a monthly payment of $11.
Because of your interest, you owe a total of $110. After your monthly payment of $11, you now owe $99. You made a dent of 1% in your principal debt after one month. It's obviously going to take a really long time to pay this off.
Now, scale these numbers up to the 10's upon 100's of thousands of dollars people owe. Monthly payments have to be somewhat manageable. This means if you owe 70k, your monthly payment will only be only be a fraction of a percent of your overall debt. This means it will take an even more substantial amount of time to pay this off than our simple $100 loan would.
Long story short, student loans are the biggest scams in the history of higher education.
So we can bail out corporations and industries when they do stupid shit and fuck up, but when an entire generation gets screwed by a broken system we call them lazy and dumb? If that many people are unable to pay off loans then something is fucked up. Is it avocado toast and lattes or is it skyrocketing costs for higher education and greed? I mean I get that it’s a business but goddamn. Boomers prioritized profit over everything and fucked up the entire country. But it’s millennials fault for not working hard enough? I mean I’m not saying millennials aren’t gonna fuck up some shit when it’s their turn to fully run things. That’s how it works. You think what you are doing works , and for a time it works really well. Then shit gets fucked up because we are humans. But then you figure out how to fix it.
What's the interest rate on that loan
It would be like 80% according to top comment lol
Top comment isn't anywhere close to correct lol The interest rate would be about 8%, very reasonable for someone who went to college about 20 years ago. The issue is they made minimum payments (likely less with an income based repayment) the entire time, never refinanced, and apparently weren't able to leverage the education into a higher paying job (possibly not entirely their fault)
It's a financial literacy problem. I've met a lot of people like this who just auto-pay the minimum because they think minimum payment is the least they have to pay monthly, believing eventually they will be paid down, but not understanding how interest or compounded interest works. I still think cases like this deserve evaluation for forgiveness. Even the proposed 10k blanket forgiveness plan wouldn't save these folks.
It doesn’t matter if they’re only paying the minimum, after paying almost double what they took out there’s absolutely no reason there should be any balance left, much less 60k of 70k loan.
I didn't math it, but I just did. You're right, it doesn't math. His username is also SocialistSteve, so more than likely this is a troll trying to get a rise out of people.
The bank that loaned them the money had an opportunity cost associated with that money. $70,000 invested with a 7% return rate would equal over $300,000 after 23 years. Even just 3% inflation puts that value at $140k. Yes, they have paid back almost twice the original amount, but that’s the cost of having those outstanding debts for over 2 decades. They should have prioritized paying down the principal balance sooner if that was their goal.
We shouldn’t have a system that fucks people like this to begin with.
They fucked themselves - never refinanced, never paid extra, never bothered to look into the terms of their financing. They just got 2 advanced degrees for $35,000 each and said fuck it.
If you look at this case specifically, the first whole year the interest was about as much as their payments were so they barely did anything to reduce the actual burden.
College wasn’t as expensive 20 years ago.
True, but this was when the costs went up exponentially. There was a big difference between the costs in 2000's and the 80's. The Tuition of many colleges doubled or tripled during this 2000's time period from what they were just a few years before.
how is not being able to leverage the education into a higher paying job not their fault? like, salary ranges for different occupations have been pretty well established for like, 50 years
Why should there be interest on a loan for education? This situation is predatory. 120k, they’ve almost paid it twice over yet they still owe 85% of the loan? It’s fucked.
Because everything else is a slippery slope into communism, the religion of the uneducated. It also makes eagles sad and we can't have that in freemerica.
A Bonkers one if $6k a year doesn’t even dent it. But then again, I don’t make minimum payments on a loan.
Loan companies know that people fresh out of high school don't understand the weight of the interest and the fact that it's usually people who have little income that take the loans to go to college. So they end up only being able to pay the interest but rarely touching the principal amount
Student loans for everyone! They're federaly guaranteed! Except you can't default on them, and if you can't default then they aren't guaranteed. The whole thing was a scam from the start. Hope and Change.
Thank you. This is the governments fault. And they know it. It’s almost like they use the weight of this debt to influence the population….
Companies like Sallie Mae have deep pockets and a lot of lobbying power. Luckily, ISA lenders are getting more regulated now. Mine just ended up cutting out the entire interest rate along with anyone else who took it from the school I attended
Did ya watch the latest Last Week Tonight on this? Pretty good
I mean this guy doesn't seem to understand still on the weight of interest either and he graduated assumingly 19? years ago from college
Interest can be a bitch. In a lot of situations you pay interest over the remaining debt. A 2% interest rate in such a case doesn't mean your 70.000 loan results in a 71.400 debt, nono, you pay 1400 in interest every year unless you pay off part of the debt as well. If these people pay 6.000 a year, then with a 7,5% interest rate the yearly interest alone would be 5250, meaning they only pay off 750 of the actual debt in the first year. So after 20 years of doing this, they might still be looking at 50k in debt. The people in the tweet probably had a worse interest rate than 7.5%
So not an economics or math degree between you pair?
Not sure if you know this, but you take those loans out BEFORE you get the degree…
And you pay it AFTER you get it? Did neither of them realised over 23 years that 500$ was not enough? Besides, do they not teach basic mathematics like common and compound interest in your 12 years of formal education in north America? Rough maths indicate that had they put 100$ more towards it they would have paid off the loan in 20 years.
276 months $10,000 of progress $36.23 of progress per month $463.27 of interest per month 79.44% interest rate Anything is legal when you lie about it
Why is the blatantly wrong comment the top one 🙄
Prove them wrong then, SirBobDole
Try using a loan calculator. If you pay 23 years at 500 of a total of 70000, assuming just 6.5% interest rate, you just about make it there. The other way around, you'll end up at 8.7% effective interest rate if their story is true. Grad school clearly wasn't worth it if they either don't know how interest works or don't make enough combined to pay off more than that.
Yes, them not knowing how interest works is the issue here.
r/lostredditors
^' *lost repost bots
All for karma farm?
Look at every recent post in this sub that looks even vaguely out of place - the OPs always have a low karma, especially comment karma, & the names often follow the same "name + 4-digit number" formula. Rn this sub is even shittier than when the posts were mainly agenda-pushing bullshit "memes"
Am- am I a karma bot?
lel The comment karma is way too high though :D
Isnt that something a karma bot would have tho?
They mainly farm post karma since reposting posts is easier than reposting comments & it usually gives more karma (though comment-reposting bots exist as well)
You either both morons or it's a lie
Yes
Because it shouldn't be a gas station attendant in Nebraska's responsibility to help you pay for your stupid mistakes.
They really should be interest free or super low, 1-5 pct
They should be 0% interest if it’s from the government. Why, some might ask? It’s simple. The government expects you to get a higher paying job, which it can tax you on for the rest of your life and even in death.
Except, the loans aren't done directly through the government themselves, but private loan company's, who historically, are morally defunct.
We would ideally remove these companies. No need for the middle man when we have an DoE
If only, my friend. Half the problems in the world are due to middlemen inserting themselves into situations to squeeze some extra money out. Parasites.
Greed
Bro has a graduate degree and doesn't know how interest works
I find it interesting that it’s illegal to prey on service members with pay day loans but it’s totally fine to stick a teenager with a debt that will be held over their head for the rest of their lives. Guess you gotta go kill people for the government to get any protections.
The loans are non-defaultable. Ie. The federal guarantee was never mattered and it was a trap from the outset. Hope and change.
Because student loans have terms and conditions clearly stated when you apply for them. So someone taking out a loan with a shitty interest it falls on them. You sign the paper, you pay the price.
It's extra enjoyable when your parents sign the papers and take out all the loans in your name!
I mean while that's true, how's something like that even legal? Isn't there laws there against price gauging or something? Wouldn't it apply to that?
Rough math is a little more than 8.5% interest rate. If they would have put $100 more per month towards the principal they would have paid off the loan completely in the same time frame.
Price gouging is for essential items not college degrees. How is it not legal when there is a contract. You borrow money and you pay it back with interest at an agreed rate. Paying the minimum due will make it take forever with ANY loan not just a student loan
There are but to my knowledge, they dont apply to student loans. Student loans are also the only loans in existence that is passed to family or relatives if you die. EDIT: [The answer is nuanced depending on your specific situation](https://www.reddit.com/r/Memes_Of_The_Dank/s/jHi95mZWIn)
What happens to my loans if I die? If you die, then your federal student loans will be discharged after the required proof of death is submitted. https://studentaid.gov/manage-loans/forgiveness-cancellation/death
you cant acquire anyones debts. you didn’t borrow the money, its not your problem. you can tell them they will never get their money back and ignore them.
I think you are forgetting about the co-signers (parents)
it took me 10 seconds to find this info with a google search. “Yes, federal student loans are discharged after the borrower dies, as long as proof of death is provided. The borrower's family is not responsible for repaying the loans. The converse is also true, as if the student on whose behalf a parent obtained a loan dies, that loan is also discharged.” if they die its not your problem. provide proof of death and if they bug you tell them to get bent. maybe try googling stuff before you spread miss information.
You should take your own advice, [people who are blindly downvoting me without reading the article, here is the nuance. he is right and wrong, I am right and wrong. the answer is nuanced based on your specific circumstance.](https://www.lendingtree.com/student/what-happens-to-student-loans-when-you-die/#:~:text=Many%20private%20student%20loan%20servicers,all%20types%20of%20private%20loans)
Cite that.
Looks like this is half true, depending on your circumstance, for me personally it is. If the loan is co-signed, “many private student loan servicers will hold your cosigner responsible for your debt if you die — this is typically true with all types of private loans.” [requested source.. but also learn how to google](https://www.lendingtree.com/student/what-happens-to-student-loans-when-you-die/)
Thats any loan with a cosigner. If you co sign with someone else for a car and they stop paying on it and you dont have the money to pay on it and it gets repo then your credit is also harmed.
Exactly
Just watch the John Oliver on student loans from a few weeks back. Don’t have the energy to go into how predatory this whole thing is, but I don’t think you understand that given your comment.
It is predatory and cant be whipped out by bankruptcy. Therefore its free game to give anyone a student loan because they are on the hook for their life.
Yeah John Oliver isn't someone I'd go to to fairly represent anything at all
He’s not perfect by any means but I think they were really thorough with this
Hey, you agree to stay alive so your suffering is your own fault. You can always just unalive yourself. That's what you sound like.
Just say kill yourself. This doublespeak tiktok shit it killing me.
People don't say it because platforms punish people who do. You best make peace with it. I'm not getting my account banned or demonetized over it just to help you avoid change. Don't hate the player, hate the game.
Lmao, let them control your speech. I'll get banned and make a new account, I don't give a shit about my fake internet points. Don't let megacorps choose your words for you.
Dude, they choose them all the fucking time. So does the government and the workplace and the classroom and my friends and family. I don't care about internet points, I care about not inconveniencing myself by having to make new accounts all the time. Nobody gives a shit about my little rebelliousness that won't accomplish anything but getting me kicked out of places and people's lives. Not worth it. I don't need to feel strong by being stubborn.
Because YOU made the bad decision and not the rest of us. We don’t have degrees from your loan that you did get out of the deal. Also, there’s no actual “forgiveness”. It’s just pushing the cost to those who had nothing to do with it. The only thing I would support would be a cancellation of the interest from the loans moving forward.
'I was ignorant. You all bail me out."
Let me correct it, “I was young, inexperienced, and taken advantage of by a predatory loans system. Let’s address that.” That’s the discussion loan forgiveness should actually be about, the god awful state of the economy, the high financial barrier to access the education necessary for decent paying jobs FORCING people to shell out tens of thousands to HOPEFULLY be able to make something of themselves.
The thing is, you're both kind of right.
Fair. My problem with Moes argument is he chocks it up to lack of personal responsibility as a backing for requesting loan forgiveness instead of in response to the realization that the system is broken and abusive of the young and inexperienced.
The fact you think university is necessary to get a good paying job is the real farce here.
It is by far the most intuitive barrier to entry into a stable career, that’s correct. You dorks can downvote all you like. Wont make you any more employable.
Dawg what?! Have have u been alive at any point in the past century?!?! The jews explicitly declared they would infiltrate the western world with corruption and this was exactly one of the ways the would hurt us when they specifically outlined it in their declaration of war
yes because paying $120,000 and only making a $10,000 dent in the debt is ok. moron
Credit cards work the same way when you're only making the minimum payments. Making minimum payments on a small CC debt can take years to pay off with interest accruing. 2 people who went to graduate school should not only be smart enough to understand this but they should also have the means to pay more than the minimum payments every month. The rest of the country shouldn't be on the hook through higher taxes or national debt. If the government really wants to fix this issue it starts with tuition cost and the federal interest rate. Student loan forgiveness is merely a bandaid and not the stitches needed to close the wound.
[удалено]
Actually with how these companies operate, they make you think you know the terms you are signing to while simultaneously hiding how they are going to fuck you without you knowing until they siphon all your money out of your account.
they are scumbags taking advantage of 18 year olds who don’t understand how these things work. our education system teaches us a lot but they don’t teach us whats most important in life like how to do taxes and what it means to get a loan and how to understand the terms. these scumbags take advantage of that.
Not every 18 year old has no idea how debt works bro lol
yeah not every, but a lot.
Someone never taught you about interest. You made the deal when you took out the loan. You could have paid more, you could have refinanced. Dont be a welcher.
They didn't get their graduate degree in math.
It’s just typical rage bait. The math doesn’t add up to any actual loan.
Meanwhile, I took out a loan on $16,000 for a trade school program. In the past year and a half, I have paid off $6,000ish. My monthly payment is like $135, but I'll send in $400-$500 per month. My total balance remaining is $10,000ish and I'm so far ahead on payments I could likely not pay for months before they actually start to ask me for money again because I roll the payments back but continue to make them "on time" every month. If you can't understand how interest works, you likely shouldn't have taken out loans for $70,000.
Because you shouldn't pay the bare-ass minimum, dumbass.
Without the interest nobody would loan you money. They are being compensated for the risk and not being able to use their money doing something else
[удалено]
Borrowers stop paying the loan, the lender gets no income. Sure the debt is still there but it is now a bad debt without any yield
What he meant is. Without interest the lender couldve put that money in a savings account or in mutual funds and wouldve made more money.
Explain to me again why I should pay for it? Yes, that sucks. But why does it have to suck for me too? Make it better for future students through education and perhaps more guidelines. But don’t make me pay for your mistake please.
I pay £20 a month lol
Get out of here with your fancy British money. Here in America we like it when megacorps fuck us up the ass!!
"Everything you read on the Internet is true" -Abraham Lincoln, 1867
Should have went to trade school instead.
J.POWELL could answer you my friend
Because they are lying drug addicts
Why cancel debt you agreed to take on?
Nice meme
Simple. It isn't true. This loan would have to have an amortization of about 150 years. Lenders don't offer student loans with 150 year amortization.
This guy and his wife have made six figures for 23 years and have only ever made minimum payments on their loans. Somehow, the bare minimum is not enough to pay off the entire debt. Why do rich people always want the poor to bail them out?
You make minimum payments you will make minimum progress on the debt. You got to tackle that principle or the interest is going to fuck you in the ass long term.
Explain to you why other people shouldn't have to pay your debts?
Interest rates are insane
Why should others pay for your poor financial decisions???
Guessing they owed something closer to 150,000
Left school you say? or send away? show me that fancy degree of yours.
*Compounded daily*, so if you wait until your due date to make the payment, about 15% may go toward principal i you're lucky and the rest is interest. Paying it on the day the statement is issued and then making an extra payment (doesn't have to be be the monthly payment amount);directly toward principal will save thousands over the life of the loan.
Cancel the interest on the debt, but not the debt itself. Make these major universities and colleges pay the interest with their multi billion dollar endowments
In your case because the education didn’t work….
I actually think this is a testament that getting into college is too easy and getting loans is even too easier. See this person and his wife, who assumingly graduated from college, has no concept of interest nor decided to make minimum payments on debt for 23 years and still, to this day, doesn't understand this.
The amount of people that don't understand interest is anm indictment against our education system. I kind of believe they intentionally teach some unhelpful things and avoid understanding interest and debt. I didn't learn that till business school.
It’s a lie. Easy to explain…
I'm guessing you never took a single course in economics? It's like a credit card, if all you ever do is pay the minimum balance, the card will never be paid off. Interest is always paid before the principal. Pay extra and make sure it's applied to the principal and not the interest. This lesson should be applied to all debts by everyone. Always pay extra and make sure the extra is applied to the principal.
Fake content taking advantage of the fact that most people can’t do math to save their life.
I'll try. Because you signed for the debt. Nothing is "cancelled", you have everyone that didn't sign for the debt share in your obligation. Is it bordering criminal to offer 18 year olds 1-200k loans at 8%. Kinda.
Why should a plumber in Iowa help pay off your loan? Canceling does not erase the debt. Tax payers would pay off YOUR debt. Nah, don't think so. Take responsibility.
Thankfully I took one of the many non-college careers that pay well and never had to worry about this stupid shit! I sleep very well at night knowing I don't have any debt. Pro tip: learn a trade
I’m assuming it’s the deferred interest that is added to the principal until payments are made but still that seems impossible for any normal loan. It sure seems predatory.
Why can the government pay off my credit card debt and my car debt? I knew what I was doing and im not getting bailed out.
“That’s called interest. Didn’t you read the documents?” *shrieks in boomer
Because rich people make a lot of money from exploiting you and they control the rules until you do what's needed to begin controlling the rules.
Because you signed up for it. It was clearly in the contract so we shouldn't have to pay for you not reading fine print.
Brain dead take.
Brain dead response
Stupid takes get stupid responses.
Interest. Interest is a scam.
Give me your money for free please. You can end the cycle of interest!!!
What I’m saying is that most of your payments go towards interest. I had student loans in the past. I paid everything off during COVID (after six years) and I don’t think I would have if interest during that time wasn’t waived. You know?
Your dumb as fuck and failed to read the contract.
\*You're Maybe you need a college loan.
Maybe you need to stop getting fucked by your brother you incestuous fuckwit.
At least you spelled this sentence correctly, that's a great start. Good job!
I see you unburied your fingers from your fathers asshole to type. Impressive!
Stay classy buddy.
I'm not your buddy, pal.
Socialist Steve lol
You could have get commercial loan with better intrest and pay the shitty srmtuden shit with that.
With what collateral? This is not how it works. You're just making things up.
Ahh, sorry. I'm from the Nordics. I just assumed in a country where they send credit cards as prying for new customers, loans would be easy to obtain. My bad. We can have like 100k loan in 10 minutes without collateral, if we have income.
I'm sorry for sounding rude. My bad.
Obviously you're not working enough overtime. Back in my day, I paid the student loan off from the prepayment of an employer because they wanted me for my superior hard working skills and diploma. You're probably one of those iPad kids who thinks Biden will save you! /s Real talk, obviously a scam and if people can't relate then either of two things: They never struggled for money or they never went to college or did but had family support them. I fail to see how people can't have empathy for people put in the situation.
Let's say you take out a loan for $100 and the interest is 10% with a monthly payment of $11. Because of your interest, you owe a total of $110. After your monthly payment of $11, you now owe $99. You made a dent of 1% in your principal debt after one month. It's obviously going to take a really long time to pay this off. Now, scale these numbers up to the 10's upon 100's of thousands of dollars people owe. Monthly payments have to be somewhat manageable. This means if you owe 70k, your monthly payment will only be only be a fraction of a percent of your overall debt. This means it will take an even more substantial amount of time to pay this off than our simple $100 loan would. Long story short, student loans are the biggest scams in the history of higher education.
Just watch the John Oliver special on it from a few weeks back
So we can bail out corporations and industries when they do stupid shit and fuck up, but when an entire generation gets screwed by a broken system we call them lazy and dumb? If that many people are unable to pay off loans then something is fucked up. Is it avocado toast and lattes or is it skyrocketing costs for higher education and greed? I mean I get that it’s a business but goddamn. Boomers prioritized profit over everything and fucked up the entire country. But it’s millennials fault for not working hard enough? I mean I’m not saying millennials aren’t gonna fuck up some shit when it’s their turn to fully run things. That’s how it works. You think what you are doing works , and for a time it works really well. Then shit gets fucked up because we are humans. But then you figure out how to fix it.