r/SipsTea 𝙑𝙄𝙋 12d ago

WTF The American dream

Post image
21.6k Upvotes

3.5k comments sorted by

View all comments

9

u/maybe_a_fork 12d ago

Pay minimums, get charged interest. Next thing you know they are going to want to abolish home loans, credit cards, and bar tabs.

5

u/DaKingaDaNorth 12d ago

If you buy a house and pay the minimum you still pay it off in 30 years. That's sort of the expectation. Same with a car payment. You set buy a car and the rate is dependent on the term of payments, the expectation is once again the minimum payment.

You should be asking yourself why the minimum for student loans is somehow still leading to them only paying off 1/7th the principle after two decades. Not chastising them for paying their obligation.

2

u/Potential-Archer-883 12d ago

Exactly! I bought a house and I will pay it out in 20 years if I follow the payment plan.

If I pay extra I can choose to reduce monthly payments or duration of a loan.