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«Why choses to owe more in interest when they can afford to pay the debt?» Easy: they could expect to make more profits than the cost of interest. «I think in
by mrb 8y ago
«Why choses to owe more in interest when they can afford to pay the debt?»
Easy: they could expect to make more profits than the cost of interest.
«I think in the absence of actual numbers...»
In the absence of actual numbers, the journalist is simply jumping to conclusions by assuming everyone is unable to pay the debt.
- RIMR 8y ago>Easy: they could expect to make more profits than the cost of interest. This is all anecdotal now. You took a semantic argument and you're running entirely too far with it now. >In the absence of actual numbers, the journalist is simply jumping to conclusions by assuming everyone is unable to pay the debt. Which is a fair assumption. If you zero cash, and $15k in debt, you will not be able to pay your debt. If you have $10k in cash, and $15k in debt, you are insane not to pay off as much of that debt as you can with that $10k, because the interest will keep accruing every month. People who fail to understand these concepts likely already have a terrible credit rating because they lack the common sense to avoid making bad decisions with debt.