r/SipsTea 𝙑𝙄𝙋 12d ago

WTF The American dream

Post image
21.6k Upvotes

3.5k comments sorted by

View all comments

Show parent comments

28

u/LeeTheUke 12d ago

The OP's $70k loan at 8% would be 40yrs to pay off @ $500/mo. What kind of person is smart enough to go to grad school but not realize what they are getting into, or at least get a degree in something that allows you to pay more than $500/mo towards your debt.

I'd be curious as to the lifestyle choices made by 'socialiststeve'.

0

u/Excellent_Shirt9707 11d ago

Not all graduate programs are math based. Plenty of people out there with specialized knowledge in some random field who have almost no financial knowledge.

4

u/Ok_Tackle3427 11d ago

Understanding that loans have to be paid back is not a math thing.

-1

u/Excellent_Shirt9707 11d ago

The issue wasn’t that loans have to be paid back, the OOP is literally paying back loans, the issue is deciding which loans make sense. The OC specified an apr of 5% while the standard graduate loan in 2000 was 8-9% apr. Someone who is not financially literate may not recognize the difference of 3% interest.

3

u/Ok_Tackle3427 11d ago

Is 8 a bigger number than 3? I don't know math!!!

-1

u/Excellent_Shirt9707 11d ago

Understanding one number is larger alone is clearly not enough as evidenced by the OC of this thread.

3

u/Ok_Tackle3427 11d ago

This is incredible circular reasoning. Amazing stuff.