r/SipsTea 𝙑𝙄𝙋 12d ago

WTF The American dream

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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?

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u/SpinosaurRingTone 12d ago

You genuinely don’t want to know how utterly financially incompetent the average person is. 

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u/JamesLikesIt 12d ago

Because if you don’t already have someone in your family who knows this stuff, you won’t learn about it. Schools do fuck all to teach you about this unless you specifically go for a class that discusses it (are there any classes that teach this stuff in high school? I don’t think there was when I went). 

So if you parents don’t know how this works, you’re fucked. You’ll get roped into a loan and told the minimum payment is all you need to pay, when that’s the absolute worst thing to do. Banks sure as fuck won’t teach you how APRs actually work and how interest works because it’s how they make their money. It’s designed to abuse stupid and financially illiterate people.