That the amount of debt in the world grows unchecked. The video did not do a great job of explaining what happens when debt is repaid. Let's say that the amoun

That the amount of debt in the world grows unchecked. The video did not do a great job of explaining what happens when debt is repaid. Let's say that the amount of bank-created money is defined as the total amount of money in everyone's account, minus the total amount in the bank's vaults. When one makes a payment on a loan, the payment is always part interest and part principal. The latter is dropped into the vault, and does not appear in anyone's account. So, this actually constitutes a removal of bank-created money from the system. The interest becomes revenue for the bank; the bank is a business and it should make money just like any other business. That revenue is used to pay the bank's operating expenses, dividends to the shareholders, and interest to all the depositors. So, it's not constantly accumulating in the hands of a wealthy few. And that brings up another important point that the video neglected to mention. Debt may increase exponentially, but so do savings. The other important detail left out is that payments are made with government-created money. Banks cannot print paper money... only the government. So the money in your wallet was not created by the bank. When your ATM served that money, the bank had to provide real cash. When you write a check, the bank has to transfer real money (entries on the Fed reserve's books) to the other bank. However, there are systems in place to reduce the amount of government-created money necessary (intra-bank transfers don't require any at all... inter-bank transfers are aggregated and canceled out where possible). So, the payments you make paying off your mortgage happen with government-created money, and do decrease the total amount of money and debt in the system.