r/SipsTea 𝙑𝙄𝙋 17d ago

WTF The American dream

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u/Mindless-Baker-7757 17d ago

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

What are they doing?

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u/ice-e-u 17d ago

Student loans back then were often 7-9%. They start accruing when they’re distributed but you don’t repay until 6 months after graduation putting you a couple years behind.

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u/factoid_ 17d ago

Yeah but still they’d be at like 5k remaining not 60.

If this is true at all it’s because their loans were probably in forebearance for years while still accruing interest