I saw a post saying that two people left school 23 years ago with a combined debt of 70k. They paid 500 USD monthly for 23 years and still owe 60k.
I’m thoroughly confused. obligatory not from America.
In: Mathematics
Some payment plans have a required monthly payment that may be less than the interest charged each month, particularly for income based/driven plans for someone with a low income, and before the new SAVE plan.
This may result in a total balance that increases over time.
There are also situations such as reentering school or certain changes that add any existing interest to the principal balance
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