Compound interest works in both directions. Those w/ few resources are at risk of taking on debt -- which can quickly become crippling thanks to compound intere

Compound interest works in both directions. Those w/ few resources are at risk of taking on debt -- which can quickly become crippling thanks to compound interest charged by lenders. I'd argue that understanding the perils of compounding interest on debt is even more important than understanding the benefits wrt investment. [EDIT: PS Apparently Albert Einstein agrees: >"Compound interest is the eighth wonder of the world. He who understands it, earns it ... he who doesn't ... pays it."