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>68% of personal debt is mortgage debt. Another ~10% is auto loan debt [1]. Most home owners aren't considered poor. A (largely) disproportionate share of poor
by onlyrealcuzzo 6y ago
>68% of personal debt is mortgage debt. Another ~10% is auto loan debt [1]. Most home owners aren't considered poor. A (largely) disproportionate share of poor people don't own cars, don't have access to credit, and also didn't go to college.
The idea that poor people could hold a large percentage of debt is - in itself - paradoxical / ridiculous. In order to have debt, you need something to service the debt with. Otherwise, you're bankrupt.
The major caveat here is student debt - anyone can load up on student debt regardless of ability to service - and there's no way out of the debt. You can't file bankruptcy.
[1] https://www.fool.com/the-ascent/research/average-american-household-debt/ https://www.fool.com/the-ascent/research/average-american-ho...
- ClumsyPilot 6y ago"and there's no way out of the debt. You can't file bankruptcy." To me (not from us) this sounds like indentured servitude. It's like a concept from the days when we used to burn people at the stake and executions happened on a public holiday so everyone could watch.
- imtringued 6y agoIt basically is. If you give someone money to the point where they cant pay the debt back and you never discharge the debt then you were actually just buying the ability to enslave that person. After all, you aren't in it for the money, you're in it for the debt relationship.
- onlyrealcuzzo 6y agoThis is basically what happened with Irish indentured servants, right?