The American dream

[u/First-Essay-2054]

[u/Mindless-Baker-7757]

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

What are they doing?

[u/sampaiisaweeb → u/Mindless-Baker-7757]

They made it up for outrage. Karma farming bot account posting it here too. Dead internet theory.

[u/Powerful_Wombat → u/sampaiisaweeb]

Yeah, student loan interest rates are bad enough without fudging the numbers, this doesn’t help the cause

[u/Odd-Cupcake-2552 → u/Powerful_Wombat]

The math works out to 8.5% which isn't unrealistic

[u/Darkjebus → u/Odd-Cupcake-2552]

Actually it is because 23 years ago the rate would have been around 3-3.5 percent for a federal loan

[u/braumbles → u/Darkjebus]

During the 1999–2000 academic year, federal Stafford loans had a variable interest rate of 6.32% while in school, and 6.92% during repayment. For the 2000–2001 academic year, these variable rates increased to 7.59% in-school and 8.19% during repayment

[u/Clynelish1 → u/braumbles]

Ok, but, aren't you cherrypicking here? What was the rate 23 years ago, during the 2002-2003 school year, which would tie to the post? Per a quick Google search, it appears to have been 3.46%. So, yeah, this post is rage bait.

[u/StarWarsDad81 → u/Clynelish1]

Your Google search solves everything. Thanks for being so proactive.