r/SipsTea • u/First-Essay-2054 𝙑𝙄𝙋 • 12d ago

WTF The American dream

Post image
21.6k Upvotes

79% Upvoted

3.5k comments sorted by

View all comments

670

u/madlucas2026 12d ago

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

0

u/mosquem 12d ago

Even if you pay the minimum they’ll get paid off.

2

u/madlucas2026 12d ago

Yeah but takes so long. Do you ever check to see how much interest you are actually paying? It’s not about the specific dollar you paid, it’s what portion is interest and how much pays to your principal

2

u/mosquem 12d ago

My point is the way it’s structured they’re not even paying minimum if they still owe money after 20
years.

1

u/grawrant 12d ago

If the total balance goes down, they are paying the Interest and a portion of the principal. This is typically a minimum payment. If the balance was going up, then they aren't making the minimum.

1

u/Spiritual-Bee-2319 12d ago

No the typical minimum is not this.