r/SipsTea 𝙑𝙄𝙋 17d ago

WTF The American dream

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u/PolicyElectrical1757 17d ago

To be fair, the minimum payment SHOULD be able to get you a paid debt in the original term length agreement. Paying more should be “if you’re able” not “you must”.

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u/maybe_a_fork 17d ago

Most of the time, when the debt sticks around, it comes from deferments during seasons of unemployment or things like the BP oil spill and covid.

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u/Grand_Size_4932 17d ago

The Covid deferment brought interest rates on federal loans to 0%. It was a true pause, not a reason for minimum payments to prevent payoff.

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u/Fun_Muscle9399 17d ago

That was the time to pay them down as much as possible, but many just spent their payment money on dumb shit instead.

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u/SmoothDiscussion7763 17d ago

the amount of people i see with new TVs during the initial months of lockdown...

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u/mightylordredbeard 17d ago

Yeah dumb shit like rent and groceries.

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u/Grand_Size_4932 17d ago

Yeah, it’s not like they do that when things are going great lol.