/biz/ - Business & Finance

>>57490951
holy shit i need to buy a school and give morons good boy points for reading wiki articles

>>57490951
Lol you were too stupid for college and got tricked into selling yourself into slavery.

>>57490951
Just get on the SAVE plan and pay 0

>>57490951
state of texas gave me 20k cause my parents dont have degrees

>>57490951
>i owe 52000 in student loans. the interest rate is 5.5% and they let me pay $244/month
They don't "let" you, retard, you can pay more.

>>57490951

according to the rules no one will have to assume the debt upon death.

Don't actually die though, just fake your own death bro

>>57491056
kek, yes do this, and the next GOP president in the next 20 years will revert it and he'll owe a LOT

A lot of idiots are going to get rugpulled hard on the SAVE cope

>>57490951
What happens if you don’t pay for this bullshit in burgerland?

>>57490951
I knew an internal medicine doctor. Accepted this fate and paid the minimum a month with no intentions of ever paying it back while he drives his Porsche Cayenne

>>57491233
credit tanks, no one will loan you money for houses or cars, wages garnished

>>57490951
Assuming that the interest accrues once per year, your yearly interest is 52,000 * 5.5% = 2860.

If you can pay back 244 per month, which is 2928 per year, paying this amount will bring your principal down by 2928 - 2860 = 68 to 52,000 - 68 = 51132, which is a reduction of 1.67%.

Consequently, the interest accrued next year would be 2812.26, which is 47.74 less, or a reduction of also 1.67%.

100/1.67 = 59.88, or let's round it to 60, which suggests the explanation that the maximum amount by which you can reduce your principal per year was chosen to let you pay off the loan in 60 years, which roughly corresponds to the life expectancy of 80 years (plus a few). The repayment-scheme was thus likely chosen to let the loan run over the duration of the entirety of the average of the post-schooling life. A bit longer than that, in fact, since the average life expectancy is a bit less than 80 and the average student will finish schooling around, say, 25, but I assume this is to account for long-term default risk. Quite ingenious: you are kept, for life, as an actual cash cow.

>>57491463
Why would you post something so fucking antisemitic you fucking bigot.

MODS do your fucking job and ban this piece of shit. PLEASE. FOR. THE. LOVE. OF. G*D. BAN HIM

My mortgage is almost 3 times that but i could sell me house for 500k pretty easy. Why don't you sell your piece of paper and pay it off.

>>57491206
Save plan has 0 interest… you should still pay it off without accruing interest onlyroaches will get rugpulled

>>57491330
So don't work, become a crypto bro and don't cash out in banks. Problem literally solved

I owe $150k for my MBA. My parents are giving me an interest free loan to knock out my two highest interest loans at 6.8%. Making $210k this year so I’m gonna try to get rid of all my federal loans. The fact that student loans aren’t 1-3% percent is a crime.

You retards had 3 INTEREST-FREE years and a fuckload of helicopter money dropped to you. Anybody that didnt pay off their loans in that time period deserve the usury they signed up for.

>>57490951
Get a job that qualifies for PSLF and you'll have this off your credit in ten years. Fuck that doomer anon above me. Under PSLF, as long as you make 120 qualifying payments, your entire loan will be forgiven.

>>57490951
Yeah, if you only make payments that cover interest charges, you get to pay forever. Stop being retarded.

>>57491233
literally nothing lmao the goyim are just scared of a complete nothingburger (their credit score)

>inb4 but if I dont have good credit I cant buy things I cant afford

>>57491019
a scheme is brewing

>>57491206
I have a student loan I could repay at any time, but as long as my interest is frozen at 0% I'd be a fool to repay

>>57490951
>paying your federal student loans
Kek I haven't made a single payment since they restarted. Went all in on Link instead. Going for a strategic default. When Link moons I'll have enough to pay my 50k federal student loans back 10 fold.

>>57491635
how nice of your parents

>>57492360
that's awfully optimistic of you

>>57491076
I didn't know that was a thing

>>57491463
Debt slavery is far more effective than some guy with a whip. 90% of the population underestimates just how much time the central planners spend thinking about how to keep the working class tied to their jobs that keep society running.

>>57491594
Oi Vey!

>>57490951
I’m so glad I dropped out and never took out any loans. Imagine being one of these debt ridden faggots. Fuck degrees and anyone who thinks having one makes them better than anyone else for any reason.

>>57490951
What’s your income?

>>57491463
You’re not accounting for inflation. The real value of a $260 monthly payment decreases over time. A $260 payment today is substantially more than one in 10 years’ time.

>>57495341
That is true. I suppose you would have to discount in an exponential discounting factor (or a double-exponential one if you believe in hyperinflation), and also discount in the decreasing value of the principal which, over time, leads to the full 244.37 going towards paying it down.

>>57495341
this only helps if wages rise to keep up with inflation, which they definitely do not

>>57490951
OH SAAAY CAN YOU SEEE

>>57490951
>mfw Dutch student loans have a very low minimum monthly payment and are forgiven after 30 years
I will most likely pay no more more than €40k of my €90k loan, depending on my future income

>>57490951
>take out maximum student loan of £60k
>don't need that much to live so put rest into buying 10k LINK
>drop out of degree but keep loan
>now owe £70k at 7.5% interest
>earn under £27.5k at shit wagie job so I have yet to pay a penny back
>debt gets wiped off in 27 years anyway
I basically got a free 10k stack, thanks tax payers

I thought Biden bros wiped out student loans. I remember all the celebration.

>>57490951
Slavery but with extra steps

>>57495135
alright man yeah ill get a uhhhhh 2 double cheese, no pickle, a large fry, and a medium vanilla shake

>>57490951
That balance is high because either (A) you didn't work while in college, (B) you didn't live at home in college, (C) you didn't go to community college to save money on your gen-ed classes, (D) you didn't go to an in-state school to save on tuition

>>57491019
remember that the institutions that give the loans do so on a fractional reserve basis too
this means they aren't getting 5% but more like 50-100% apr on the loans they gave out.

>>57490951
hope this is a larp, but if it isn't. What made you think it was a good idea to go through 4 years of college without working part-time the entire time during the side? It isn't the 1990s anymore man, college is expensive.

>>57491076
>>57490951
>poor people playing the lottery in florida paid for all 4 years of my school
Feels good.

>>57490951
Why do people who do this to themselves blame corporations and “capitalism” instead of burning down colleges who put them in this lifelong debt in the first place?

College educated people are some of the dumbest individuals I know.