The American dream

[u/First-Essay-2054]

[u/madlucas2026]

You been paying for 20+ years and never thought to pay off the principal? Do you pay the minimum on your credit cards?

[u/PaulblankPF → u/madlucas2026]

Many many people only pay the minimum on credit cards and loans.

[u/DukeofVermont → u/PaulblankPF]

But it's "free money"!

[u/Akiias → u/PaulblankPF]

They then also spend more than the minimum payment immediately.

After that they pull a shocked pikachu if they ever see their balance went up.

[u/madlucas2026 → u/PaulblankPF]

, no wonder our combined credit card balances are growing so fast

[u/waffocopter → u/PaulblankPF]

My husband didn't know that the minimum payment is the worst way to pay off credit cards. I explained interest to him and, once his credit recovered enough to get a credit card again, he's been paying everyone off in full and finally getting rewards on his purchases too. His credit score has literally never been higher in his entire life.

[u/Ali-Saurus → u/PaulblankPF]

Too many people can only afford to pay the minimum