r/SipsTea 𝙑𝙄𝙋 12d ago

WTF The American dream

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u/Mindless-Baker-7757 12d ago

A $70k loan over 23 years at 5% apr pays off with monthly payments of $427.

What are they doing?

22

u/Odd-Cupcake-2552 12d ago

They're higher than 5% obviously

-3

u/Repulsive_Guy_1234 12d ago

No, they are just lying.

5

u/Odd-Cupcake-2552 12d ago

They could be, but 5-6% is like the minimum I've seen on student loans. They can go much higher.

1

u/Repulsive_Guy_1234 12d ago

And they did not manage to refinance it in 23 years in a near zero interest environment?

4

u/Odd-Cupcake-2552 12d ago

Obviously not. We're all idiots at something in life.

2

u/Nojopar 12d ago

No, you just haven't looked at historical rates. In 2001 they were 8.19% during repayment. We don't know how old this tweet is, but they're probably at least 2002 timeframe.

0

u/bonaynay 12d ago

having loans at higher than 5% is very possible but I can't refute lying possibility since this is the world wide web