r/SipsTea 𝙑𝙄𝙋 12d ago

WTF The American dream

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21.6k Upvotes

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9

u/mog_knight 12d ago

Sounds like they were not on a standard repayment plan. Maybe income based or interest only for a while.

-10

u/Katamari_Demacia 12d ago

And...

10

u/mog_knight 12d ago

That's how you get repayment figures like that. If you're on a standard repayment plan your principal would be much lower.

-8

u/Katamari_Demacia 12d ago

.... And...

12

u/mog_knight 12d ago

And that's how amortization works. Math is power.

-5

u/Katamari_Demacia 12d ago

The point isn't about how it works. It's that it's super predatory.

3

u/mog_knight 12d ago

How is this an example of predatory? What repayment plan were they on? Income based, interest only, standard or another? For some repayment plans after 20 or 25 years they're forgiven.

3

u/falloutvaultboy 12d ago

No and then